Tech giant smashes one billion pound turnover barrier
IT infrastructure technology and services provider Softcat has recorded revenues of over £1 billion in its preliminary results for the 12 months to 31 July 2020, up 8.6% on 2019 (£991.8m).
The Leeds, Birmingham and Manchester-based business marked 60 consecutive quarters of growth, with pre-tax profits of £93.6m (2019: £84.8m). Gross profit also grew by 12% during 2020 to £235.7m, with operating profit up to £93.7m.
The year also saw headcount rise by 15%, which Softcat says reflects ongoing investment across all areas of its business, in particular in its services, technical and specialist capabilities.
The results show that despite the impact of COVID-19, the company was able to extend its record of year-on-year growth in revenue, gross profit and operating profit to 60 consecutive quarters.
And the firm reports maintaining a strong balance sheet position, with net cash at year end of £80.1m (2019: £79.3m).
Graeme Watt, Softcat CEO, said: “Following a very strong first half of the year we were able to seamlessly transition to 100% home working when the need arose and, despite impact on demand from corporate customers during the last four months of our financial year, we continued to deliver growth in both our third and fourth quarters.
“We also made continued progress with both new and existing customers and are pleased to report that our customer base grew by 3% and gross profit per customer was up 8% on a full year basis.
“The robust nature of our growth and the strength of our bank debt-free balance sheet means we are well-positioned to seize the long-term opportunities within our market.
“We were able to deliver these results without the need for redundancies, and our plans for 2021 are to continue to invest in skills and talent to meet our growth ambitions and further enhance our market share.”