By Scott Kanowsky 

Investing.com — Shares in AVEVA Group plc (LON:) rose sharply on Wednesday, after the British industrial software provider posted a 7.7% rise in pro forma annual adjusted operating profit, rising to £365.1M, thanks in part to a jump in revenue driven by strong demand for its data management products.

According to Aveva, it also made “good progress” in its efforts to incorporate OSIsoft — a data management software maker it acquired in 2020. Aveva stated that it anticipates that the agreement will result in pretax cash cost savings of at least $30M annually by March 2019.

“Aveva delivered a solid set of results in FY22 as the business recovered following disruption caused by the Covid pandemic,” Aveva CEO Peter Herweck said in a statement.

Aveva, however, warned that revenue will fall during its next fiscal year. She cited several factors including the ongoing transition to a subscription business model, inflation in wages, and the impact of war in Ukraine on Russia’s operations.

“[T]”All of these factors are taken into consideration and revenue growth is expected lower in FY23 than it was in FY22, on an organic constant currency-based basis, while adjusted EBIT margins will be reduced, prior to resuming growth for FY24,” Herweck explained.