Reckon Takes A Tumble On ASX
Shares in Reckon slid more than 10 percent on the ASX yesterday after the Australian accounting software outfit posted a 14.1 per cent drop in annual profit to $15.1 million.
The drop came despite a 4.1 percent rise in revenue for the 12 months to December 31. The result also reflects an ongoing switch – now largely complete – to a subscription model. That saw a $2.6 million drop in revenue but is now providing a much more sustainable business management said.
Reckon competes with the much larger MYOB and Xero cloud-based accounting companies.
Its shares closed at $1.80 – 24 cents or 11.76 percent. Some 103.000 shares changed hands on the day. The price is – from about $2.50 in mid-January.