IT group reports pre-tax profit hike after strong first half
YORKSHIRE IT group Redentric has lifted its pre-tax profits after seeing revenues more than double in the first half of the year.
The group said it had been a period of “great progress” in which some some significant milestones were achieved, including the integration of Harrogate-based InTechnology Managed Services, which it acquired last year in a £65m deal.
For the six months to September, Redcentric saw revenue increase 123% to £46.8m (H1 FY14: £21.0m), representing 11% organic growth, while pre-tax profit was up 374% to £3.9m (H1 FY14: £0.8m).
Chief executive Tony Weaver said: “Our first half results reflect the strength and capability of Redcentric; the business continues to trade strongly in the second half of the year, giving the board confidence in our future prospects.”
Chris Cole, chairman, added: “Since joining the board in September my expectation regarding the professionalism, enthusiasm and maturity of the Redcentric team has been confirmed. These results demonstrate that Redcentric is in a strong financial position and supported by a growing, loyal client base. Tony and his team have developed Redcentric into a leading player in the market and the board is confident that the group will continue to deliver increased shareholder value in the years ahead.”
The group also announced that Ian Smith has decided to step down from his position as non-executive director of Redcentric, effective immediately, to concentrate on other MXC Capital backed investments, mainly his role as chief executive of Castleton Technology.
Stephen Puckett joins the board as an independent non-executive director with immediate effect. Puckett was group finance director at Michael Page International and a number of its subsidiaries from 2001 to 2012.
Meanwhile, Tim Coleman takes over from Paul Myhill as company secretary.
