LONDON, September 27, 2012 /PRNewswire/ --
iomart (AIM:IOM), the cloud computing company, today issues a
pre-close trading update ahead of the announcement of the half
yearly results for the six months to 30
September 2012.
Group trading performance
The Group has performed strongly with revenues and profits
substantially ahead of the comparative period last year and
consequently the Board is confident that the financial performance
of the Group for the full year will be ahead of current consensus
market expectations.
The focus of the business continues to be on the provision of
high quality and high margin managed solutions to SMEs and
corporate clients. These contracts are typically for two to three
years in length underpinning the Company's very high degree of
visibility of its earnings for the coming year. Furthermore,
clients are increasingly staying with iomart on contract renewal,
underscoring the Company's established reputation as a market
leader.
The acquisitions of Melbourne
and Skymarket announced last month are being integrated
successfully into the business and are expected to complement the
Group's strong organic earnings growth. In particular, the
Melbourne business extends the UK
coverage of the Company into the North of England.
Outlook
We believe cloud computing will continue to be critical to all
companies over the next few years, as corporate budgets continue to
support online strategies, and the move to a hosting environment
which delivers significant cost savings and flexibility becomes
more compelling. The market potential remains substantial as it is
estimated that while there has been a strong increase in hosted
services in recent years, approximately 85% of all servers are
still located at a company's own premises.
We will continue to pursue further opportunities for
acquisitions of quality, high margin businesses which make a
contribution to Group profits.
Notice of Results
The Group expects to report its half yearly results for the six
months ended 30 September 2012 on
27 November 2012.
Angus
MacSween, Chief Executive of iomart, said:
"We are delighted with the continued progress of the business.
The recent acquisitions are performing in line with our
expectations. We are into our fifth year of double digit growth and
the demand for our services remains robust as businesses
increasingly see the value of outsourced cloud services."
For further information:
iomart Group plc
Angus MacSween, Chief Executive
Richard Logan, Finance Director
Tel: +44(0)141-931-6400
Peel Hunt LLP
(Nominated Adviser and Broker)
Richard Kauffer
Daniel Harris
Tel: +44(0)20-7418-8900
Newgate Threadneedle
Caroline Evans-Jones
Hilary Millar
Tel: +44(0)20-7653-9850