IT Stocks News SMS Management & Technology (SMX)

SMS Management & Technology is a leading consulting, technology and systems integration company.

SMS has been one of the hot stocks in recent months, rising from a low of $5.12 in early June, to a high of $6.45 a couple of days ago, representing a 26% surge.

SMS recently announced its FY10 results; however they failed to really move market sentiment.

Net profit after tax gained 15% on the prior year to $27.9 million, whilst revenue increased 7% to $247.6 million.

Underlying earnings of $38.1 million were up 15% whilst the group declared a dividend of 29 cents per share, up 16% on year.

Despite the decent results, SMX admitted that a return to growth has brought with it cost pressures and that demand from the ICT sector has been contracted and is not expected to lift until the end of FY11.

SMX was among the decliners in the stock market on the day of the announcement, closing lower by 2%, to $6.26.