Glasgow-based Iomart, the web hosting group, is looking at another year of growth, building upon a strong performance in 2011.
Announcing that the company had a “healthy pipeline” of potential acquisitions to complete, Angus MacSween the chief executive pointed to cloud computing as the driving force.
Throughout all business sectors, companies are looking to save money and cut back on hardware by moving their applications to the cloud. Many of them are choosing Iomart to do this with.
This growth, which doubled profits in the year to March, allowed the firm to buy three rivals last year. Whilst there will be up to four similar deals in 2012, the Scottish company is not presently looking at expanding its operations globally.
MacSween went on the clarify why:
“The opportunities for us in the UK are still big enough for us not to have to go elsewhere to continue the growth levels we’ve seen.”
Whilst a doubling in profits may not be being achieved by all Scottish companies, many are still finding the ability to grow and acquire rivals with the help of other forms of funding. Invoice factoring is helping many for example.
Unlocking cashflow this way is also helping not just to take opportunities as they arise, but is also helping other companies retain staff, maintain customer service levels and replenish stocks.
Iomart’s full year revenue increase of 33%, saw pre-tax profits rise to £6.9million. This year’s expected profits will be fast approaching £10million too, so there could be an extended period of growth for the firm.