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RNS Number : 3614A Maintel Holdings PLC 22 January 2024
Maintel Holdings Plc ("Maintel" or the "Company")
Trading update
and Notice of Results
Strategic pivot and improved operational gearing deliver full year performance
above expectations
Maintel Holdings Plc, a leading provider of cloud, network and security
managed communications services, issues the following trading statement for
the year ended 31 December 2023, based on unaudited management accounts.
The root and branch review of Maintel and the markets it operates in led to a
business reorganisation which was executed within the first 2 quarters of
2023, allowing the business to refocus on growth in H2.
This acceleration in trading momentum delivered financial performance above
expectations whilst preparing the business for 2024.
2023 revenue exceeds £101m representing an 11% increase from 2022 (£91m). As
global IT equipment supply chain conditions normalised in H1, the Company
accelerated the unwinding of the order book delivering strong cash and profit
performance post the formation of the new professional services business
group. The business then built on this with significant new business wins.
During the year, Maintel secured 8 lots in the new NS3 public framework,
whilst also winning significant new value and long-term contracts that
included Vanquis Banking Group, Kingfisher IT Services, Harrods, Atos/Unify,
Northampton General Hospital NHS Trust and The Leeds Teaching Hospital.
These wins demonstrate the validity of the strategic market pivot to focus on
Unified Communications & Collaboration, Customer Experience and Secure
Connectivity.
The Company has made significant progress in profit generation and working
capital management during the financial year ending 31 December 2023,
delivering Adjusted EBITDA in excess of £9m (2022: £4.4m).
The Company also embedded margin improvements in 2023, delivered cost
structure improvements and continues its focus on streamlining operations,
evolving the market and product strategy, which underpins sustainable future
profitability.
Next generation products and services continue to be the investment focus
along with exploring the role of new technology and customer service delivery.
Net debt at the end of the period amounted to £18.1m (31 December 2022:
£16.6m).
Converting its solid pipeline of opportunities in both the public and private
sectors and with a leaner organisation, the Board is confident that the
Company starts the new financial year with solid foundations to deliver
revenue, profitability and cash generation in line with market expectations.
The Company expects to publish its final results on 23 April 2024.
Adjusted EBITDA - EBITDA adjusted for exceptional items (including one-off
restructuring costs) and share based payments.
Net Cash Debt excludes IFRS16 lease liabilities.
Comment from the CEO Carol Thompson:
"2023 has been a challenging year, following on from 3 previous challenging
years; as such to have the Maintel team support, deliver and build on the
changes in focus, operational and cost effectiveness, is an outcome one can
only have hoped for when we started on this journey.
The team are positive, energised and keen to engage with clients, both
existing and new.
Post pandemic the rate of technological change in our markets is significant,
with changes in business working practices and how and where they use and
locate their resources. This is both exciting and challenging; but change is
where opportunity lies, and we intend to be part of that new generation of
service to clients.
Our people are the heart of our business and the reason we succeed, and, in
that regard, I thank them for their hard work, dedication and commitment."
This announcement contains inside information for the purposes of Article 7 of
EU Regulation 596/2014
For further information please contact:
Maintel Holdings Plc
Carol Thompson, Executive Chair 0344 871 1122
Gab Pirona, Chief Financial Officer
Dan Davies, Chief Technology Officer
Cavendish (Nomad and Broker)
Jonny Franklin-Adams / Emily Watts / Hamish Waller (Corporate Finance) 020 7220 0500
Sunila de Silva (Corporate Broking)
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