Rubik's banking software division comes up dry
Financial services software supplier Rubik Financial was spared from reporting a loss for the year to June, after it recognised a one-off deferred tax asset of A$9.7 million.The company reported a net profit of A$6.3 million for the year to June, compared with a profit of $310,000 in the previous corresponding period. Without the tax asset, the underlying loss was $300,000.Revenue was up 33 per cent to $30.5 million. All the increase came from the wealth division, which supplies advisory software and ancillary services to the financial planning industry. Rubik bought COIN Software in 2013 and the 2013/14 financial year was the first full year of earnings from the business.Wealth revenue grew 59 per cent to $20.1 million and the division's underlying EBITDA grew 30 per cent to $9.2 million.The banking division, which supplies core banking software to small financial institutions, suffered a 3.9 per cent fall in revenue and a 26 per cent fall in underlying EBITDA.The company said it made significant investments in core banking tenders but did not have any new implementation projects in the June half.The company's third division, mortgages, is the product of two acquisitions this year. Rubik bought Stargate and Infinitive, which provide software to Australian mortgage brokers.The new division contributed $508,000 of revenue and $265,000 of underlying EBITDA. The company said it expected the division to produce $3.8 million of EBITDA in its first full year.