Iomart expects to beat full year forecasts

Cloud computing firm Iomart said it expects to report full year EBITDA and profit ahead of market forecasts and remains confident of further growth as a growing number of companies sign up for their online services.

Cloud computing firm Iomart said it expects to report full year EBITDA and profit ahead of market forecasts and remains confident of further growth as a growing number of companies sign up for their online services.

The aim traded Glasgow-based group said it expects to show an adjusted EBITDA of no less than £16.4m for the year to March 31st 2013 compared to £11.2m before and adjusted pre-tax profit of around £10.6m, up from £6.9m and ahead of market consensus.

The acquisitive group, which owns a string of data centres across the UK, said it saw strong organic growth as well as good performances from its acquired businesses. It sees that pattern continuing as further consolidation takes place.

Iomart Hosting won a substantial number of contracts over the year, the group said, as companies switch to cloud services.

"The group continues to benefit from the growing adoption of cloud type services by organisations who need a strong partner with the necessary infrastructure to provide the certainty, scalability and flexibility they are looking for."

Iomart said it also benefited from the contribution of Melbourne, the hosting business acquired in August 2012. Easyspace has also delivered an improved performance in part as a result of the integration of the acquisitions of Skymarket and HostingUK.

CEO Angus MacSween said: "Iomart continues to benefit from a compelling mix of a growing market, recurring revenues, sticky customers, good forward visibility and a leading competitive position. As a result we remain very confident of further growth in the next financial year and beyond."

CJ

Recommended

Why it pays to face up to your investment mistakes
Investment strategy

Why it pays to face up to your investment mistakes

Buying stocks can be a complicated business. But selling stocks can be tricky, too – even if you sell for the right reasons. Max King explains how to …
17 Sep 2021
Share tips of the week – 17 September
Share tips

Share tips of the week – 17 September

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
17 Sep 2021
Royal Mail will deliver for investors – here's how to play it
Trading

Royal Mail will deliver for investors – here's how to play it

Royal Mail Group has found its feet in the past 18 months and looks cheap. Matthew Partridge looks at how to trade the shares.
14 Sep 2021
The times may be changing, but don’t change how you invest
Small cap stocks

The times may be changing, but don’t change how you invest

We are living in strange times. But the basics of investing remain the same: buy fairly-priced stocks that can provide an income. And there are few be…
13 Sep 2021

Most Popular

Two shipping funds to buy for steady income
Investment trusts

Two shipping funds to buy for steady income

Returns from owning ships are volatile, but these two investment trusts are trying to make the sector less risky.
7 Sep 2021
Should investors be worried about stagflation?
US Economy

Should investors be worried about stagflation?

The latest US employment data has raised the ugly spectre of “stagflation” – weak growth and high inflation. John Stepek looks at what’s going on and …
6 Sep 2021
How you can profit from the power of the grey pound
Share tips

How you can profit from the power of the grey pound

Higher life expectancy and surging asset prices have proved a boon for the baby-boomer generation, which has accumulated vast wealth. Younger generati…
10 Sep 2021