Datalex 'on track' for 2011 targets

Travel software firm Datalex said it was on track to meet targets it laid out in March as it won more new business and increased earnings.

In the first half of the year, revenue rose 1.3 per cent year on year to £13.3 million, with transaction revenue down to $6 million as two contracts ended in December 2010. However, Datalex said it was confident of growing transaction revenues by 7 per cent for the full year, based on continued growth from existing customers and new customers that will go live throughout 2011.

The Dublin-based company began new business with Air China, global IT provider SITA and Spanair during the first half, with Air Malta due to go live in September, which is expected to drive cash and profits in the second half of the year and through to 2012.

The company also won business with United Airlines for their Mileage Plus loyalty system, which will ensure they remain with Datalex through 2017. It has also agreed contracts with Fiji-based airline Air Pacific, with Datalex's platform expected to go live at the end of the third quarter.

European travel agency TCH will also use Datalex's travel distribution platform, and the airline has been in discussions with with two unnamed airlines.

Earnings before interest, tax, depreciation and amortisation trebled to $1 million from $300,000 in the first half of the year.

Datalex reported more than $3 million in Ebitda for the full year in 2010.