iomart: FY14 Financial Results

iomart Group plc, an UK and European cloud company, has announced pre-tax profits of £14.6m for the year ended 31 March 2014.

In its annual results announcement to the London Stock Exchange iomart revealed that adjusted profit before tax had increased by 37% from £10.7m in 2013.

iomart also announced revenue growth of 29% to £55.6m (2013: £43.1m), with revenues from its hosting segment growing by 40% to £44.7m (2013: £32.0m), as well as a 43% increase in adjusted EBITDA to £23.6m (2013: £16.5m).

iomart said the increase in profitability had been driven by both by organic and acquisitive growth. iomart made its two largest acquisitions this year, investing in Backup Technology and Redstation, to give it further expertise in the areas of data protection, cloud backup and dedicated hosting. iomart now owns and operates datacentres in eight locations throughout the UK to support the delivery of cloud solutions.

Angus MacSween, CEO, said: “We continue to believe in the long term opportunity for iomart as IT spending moves towards the cloud, as networks and connectivity expand and mobility increases. Our vision remains to be the best in the UK at the delivery of compute, storage and network in the cloud in a seamless, efficient and scalable way.”

iomart continues to invest in the tools and technologies used to deliver cloud services and has  completed a £ multi-million extension to its datacentre in Maidenhead to meet the computing needs of the growing number of SME and enterprise customers who are moving to the cloud.

Angus MacSween added: “To date it has mainly been the web-facing elements of infrastructure that have been outsourced to the cloud and the back-office workload continues to be handled ‘on premise.’ Most of this back-office infrastructure is bought in the same way as it was 15 years ago. We believe this will change and we can already see the early adopters starting to move to the cloud. This reinforces the ‘dripping roast’ nature of the market opportunity and as I have been saying for the last five years, it has a long, long way to go. iomart is at the forefront of this transformational shift and I expect the cloud opportunity to continue for many years to come.”

Full results statement