MARKHAM, ON, June 10, 2024 /CNW/ - Enghouse Systems Limited (TSX:ENGH) announces second quarter (unaudited) financial results for the period ended April 30, 2024. All figures are denominated in Canadian dollars unless otherwise indicated. Highlights for the Second Quarter ended April 30, 2024 compared to the same quarter in the prior year: Revenue increased 10.9% to $125.8 million. Recurring revenue, which includes SaaS and maintenance services, grew 18.6% to $85.0 million, and represents 67.5% of total revenue. Operating profits increased 30.5% to $33.5 million, while achieving a 28.4% EBITDA margin. Financial results for the three and six months ended April 30, 2024, compared to the three and six months ended April 30, 2023, are as follows: Revenue increased to $125.8 and $246.3 million, respectively, compared to revenue of $113.5 and $219.9 million; Results from operating activities was $33.5 and $66.1 million, respectively, compared to $25.6 and $55.5 million; Net income was $20.0 and $38.1 million, respectively, compared to $12.5 and $29.6 million; Adjusted EBITDA was $35.7 and $70.4 million, respectively, compared to $30.2 and $62.5 million; Cash flow from operating activities, excluding changes in working capital, was $38.6 and $74.2 million, respectively, compared to $28.9 and $61.5 million resulting in record cash and cash equivalents of $263.8 million. Our strong performance this quarter is demonstrated by double-digit growth in revenue, profitability and operating cash flows. Our proficiency in executing and integrating acquisitions continues to be a crucial profit growth driver. This quarter we completed the acquisition of Mediasite, which expanded our video technology into the education and event market and increased our presence in Japan. Our business model continues to prioritize operational discipline as the demand for SaaS increases. Operational expenditures have shown improvement when compared to revenue both for the quarter and period to date, despite inflationary pressures and integrating acquisitions. Continued discipline in our business activities has increased our cash and cash equivalents to the record level of $263.8 million, with no external debt, while increasing our dividend, repurchasing shares, and completing and integrating the Mediasite acquisition in the quarter. Subsequent to quarter-end on May 9, 2024, Enghouse completed its acquisition of substantially all of the assets of SeaChange International, Inc. ("SeaChange") related to its IPTV products and services business, for a net purchase price of approximately US$23 million. This acquisition increases the scale of our IPTV business, augments our product offering and furthers our expansion into the European market. SeaChange will be integrated within the Asset Management Group from the date of acquisition. Quarterly dividends:           Today, the Board of Directors approved the Company's eligible quarterly dividend of $0.26 per common share payable on August 30, 2024 to shareholders of record at the close of business on August 16, 2024. Enghouse Systems LimitedFinancial Highlights(unaudited, in thousands of Canadian dollars)   For the period ended April 30 Three months Six months 2024 2023 Var ($) Var (%) 2024 2023 Var ($) Var (%) Revenue $ 125,813 $ 113,461 12,352 10.9 $ 246,302 $ 219,896 26,406 12.0 Direct costs 43,201 38,106 5,095 13.4 84,783 72,914 11,869 16.3 Revenue, net of direct costs $ 82,612 $ 75,355 7,257 9.6 $ 161,519 $ 146,982 14,537 9.9 As a % of revenue 65.7 % 66.4 % 65.6 % 66.8 % Operating expenses 49,031 47,712 1,319 2.8 95,211 89,422 5,789 6.5 Special charges 106 2,001 (1,895) (94.7) 197 2,029 (1,832) (90.3) Results from operating activities $ 33,475 $ 25,642 7,833 30.5 $ 66,111 $ 55,531 10,580 19.1 As a % of revenue 26.6 % 22.6 % 26.8 % 25.3 % Amortization of acquired software and customer relationships (11,146) (9,838) (1,308) (13.3) (21,520) (18,670) (2,850) (15.3) Foreign exchange losses (86) (790) 704 89.1 (1,803) (1,843) 40 2.2 Interest expense – lease obligations (148) (192) 44 22.9 (298) (359) 61 17.0 Finance income 2,602 1,006 1,596 158.6 4,963 1,982 2,981 150.4 Finance expenses (12) (124) 112 90.3 (12) (131) 119 90.8 Other income (expenses) 220 ( 528) 748 141.7 106 (655) 761 116.2 Income before income taxes $ 24,905 $ 15,176 9,729 64.1 $ 47,547 $ 35,855 11,692 32.6 Provision for income taxes 4,931 2,640 2,291 86.8 9,440 6,296 3,144 49.9 Net Income for the period $ 19,974 $ 12,536 7,438 59.3 $ 38,107 $ 29,559 8,548 28.9 Basic earnings per share 0.36 0.23 0.13 56.5 0.69 0.53 0.16 30.2 Diluted earnings per share 0.36 0.23 0.13 56.5 0.69 0.53 0.16 30.2 Operating cash flows 40,256 18,698 21,558 115.3 60,155 47,960 12,195 25.4 Operating cash flows excluding changes    in working capital 38,613 28,875 9,738 33.7 74,170 61,507 12,663 20.6 Adjusted EBITDA Results from operating activities 33,475 25,642 7,833 30.5 66,111 55,531 10,580 19.1