29th Sep 2014 09:03
LONDON (Alliance News) - Redcentric PLC Monday expressed confidence in meeting market expectations for the full year, as it said it has seen a strong performance in its first half ending Tuesday.
In a pre-close statement, the IT services provider said its revenue and earnings before interest, tax, depreciation and amortisation has been "comfortably" in line with expectations in the half year, as improving order levels helped drive revenue growth.
Redcentric said the integration of its acquisition InTechnology Managed Services Ltd is proceeding to plan, and this has helped increase its profitability substantially. As of July it has consolidated into a single brand, and as of September all of its customer support has been integrated into a single service desk at its head office in Harrogate.
The company said its cash generation has improved significantly, resulting in lower net debt. It expects to pay an interim dividend in February 2015, and emphasised that it has substantial headroom in its bank facilities.
It expects to announce its interim results November 17.
"Our market remains subject to change, which we believe will continue to offer attractive opportunities for Redcentric to capitalise on as a leading independent provider," said Chief Executive Tony Weaver in a statement.
Shares in Redcentric were trading up 3.2% at 128.00 pence Monday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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