VIP Computer Centre sees sales top £200m
WARRINGTON based VIP Computer Centre, the wholesaler and distributor of IT components, has reported another strong year of growth.
A 13% jump in revenues, fuelled by a strong performance of CMS Computers – which it acquired in late 2011, saw the business top £200m for the first time.
In the year to the end of June, VIP, which has operations in Dubai, the US and Europe as well as in Woolston, saw turnover rise from £180.1m to £204.6m.
Operating profits rose from £2m to £2.3m and pre-tax profits at the company, which also one of the UK’s largest manufacturers of PCs, rose by £100,000 to £1.84m.
Founder and chairman Jatti Sahni said: “The directors are pleased with the sales growth and overall performance.”
He said a project begun late last year to expand its Warrington base with the construction of a new warehouse facility had been successfully completed on time and on budget.
VIP, which has 215 staff, said it was continuing to seek growth opportunites and is also investing in new software.
Mr Sahni said: “VIP remains committed to the sector and this is evidenced by continuing infrastructure investment in 2013, A group-wide ERP (enterprise resource planning) system will be commissioned in the 2014 financial year.
“The directors are optimistic that new capabilities will be added to the group via the enhanced infrastructure, acquisition and focused business development.”
During the year sales grew in all territories. In the UK they rose from £92.8m to £98.7m, in Europe from £78.1m to £88.6m and in the rest of the world from £9.1m to £17.2m.
Under its new ownership sales at CMS rocketed 41.5% to £27.1m. Mr Underlying operating profits rose from £176,000 to £905,000. Mr Sahni said the outlook for the acquired business was “very good” and it is expected to exceed targets for 2014.
