IT expert SysGroup targeting retail for further growth
SysGroup, the managed IT services and cloud hosting specialist, is trading in line with expectations and planning further growth.
In a trading update the national operator, based in Liverpool, revealed that revenue has grown by 46% and Ebitda by 63% in the year to March 31, compared with the same period last year.
The group said this illustrates its standing as a trusted provider of managed IT services, with recurring revenue making up more than 71% of its total income.
SysGroup acquired Rockford IT last November, which has been successfully integrated leading to payment of £1m following the achievement of integration milestones.
During the second half of the year the group invested more in direct marketing, developing in-house expertise rather than relying on external agencies, and it says the results have been compelling as evidenced by the recent contract win of TJ Morris and growing order inflows.
SysGroup agreed a three-year managed hosting services contract this March worth almost £1m with the Liverpool-based firm, which trades as Home Bargains and is one of the UK’s largest high street discount retailers.
The board has, therefore, taken the decision to further increase its investment in the group’s new business capability in financial year 2019 to capitalise on the market opportunity to drive organic growth whilst also continuing to seek acquisitions of other complementary businesses like Rockford IT.
Chief executive Adam Binks told TheBusinessDesk.com that this involves expansion and recruitment at its Liverpool head office.
And he said the group is establishing a strong identity for compliance, governance and security in its chosen sector.
He revealed that the retail sector will be an area of interest for SysGroup, particularly in the field of GDPR (General Data Protection Regulation) which comes into force on May 25.
SysGroup, which also operates in the financial services, education, charity, and not-for-profit sectors, expects to publish full year results for the year ended March 31 next month.
Mr Binks said: “I’m delighted with the progress the group continues to make.
“The need for quality managed services has never been stronger, driven by increasing regulatory and security factors.
“SysGroup has an excellent product offering, a highly engaged workforce and proven go-to-market strategy.
“The investment that we are making in the current financial year will serve to drive shareholder returns for next year and beyond.”
SysGroup has offices in Liverpool, Coventry, London and Telford.