JSE-listed Allied Electronics (Altron) on Thursday posted positive interim results as it continued to track towards its five-year goal of doubling its earnings before interest, taxes, depreciation and amortisation (Ebitda) by 2022.

Ebitda improved by 19% to R803-million during the six months ended August 31, with strong Ebitda growth from the group's digital transformation operations of 31%.

The group's Ebitda margin on reported revenue increased to 9.4% during the period under review, compared with 8.5% in the prior half-year period.

The Ebitda growth for the half-year was largely attributable to organic growth.

“We accelerated the execution of our One Altron Strategy, which focuses on doing more with existing customers, while continuing to win new customers. This has delivered organic growth for our business,” Altron CEO Mteto Nyati says.

The technology company produced a 4% increase in headline earnings a share and basic earnings a share from continuing operations to 73c and 76c, respectively.

The group’s revenue from continuing operations increased by 8% to R8.5-billion.

“We continue to stay focused on delivering innovation that matters through technology solutions and services that deliver impact with tangible results for businesses and have positive societal impact,” he continues.

Bytes UK once again delivered a “stellar performance” with revenue growth of 13% and Ebitda growth of 46%.

Further, Altron Bytes Systems Integration achieved a successful turnaround, with Ebitda increasing 36%.

Going forward, Altron Karabina, which aims to be one of the leading Microsoft licensing solutions partners, remains strategically relevant to the group owing to its capabilities in the fast-growth cloud and data analytics environment, despite facing a significant revenue reduction from a key customer.

Altron Nexus was also negatively impacted on by the City of Tshwane Broadband Network court judgment handed down against Thobela Telecoms, as well as the suspension of key executives.

“Our focus will remain on organic growth, supplemented by acquiring select small- to medium-sized businesses in our focus areas, which will lead to enhanced capabilities and expanded geographic footprint,” Nyati concludes.

Altron declared an interim dividend of 29c a share.