Harrogate’s Redcentric ups H1 revenue 33% to £82m

Harrogate-based IT firm Redcentric plc said its revenue in the six months ended September 30, 2023, rose 33% to £82 million and its pretax loss narrowed to £721,000 from £6.6 million.

Redcentric has maintained its interim dividend at 1.2p per share.

Redcentric CEO Peter Brotherton said: “The integration of the businesses acquired over the course of the last two financial years is on track to be fully completed by the end of this financial year. 

“The acquisitions have added considerable scale and broadened our product and solutions offerings, both of which have driven underlying recurring revenue growth of 8.3%.

Since acquiring Sungard DCs, we have put considerable effort and resource into reducing electricity volumes.  All major energy efficiency initiatives have now been completed and we are yielding very significant gains as a result. 

“The reduction in electricity volumes, alongside the forward purchasing of electricity, brings certainty to our forecasts and will result in an expected reduction in electricity costs of £8.4m next financial year.

We look forward to the next financial year and beyond with confidence that we can continue to build on the impressive platform we have built. 

“With the integration work complete, exceptional items will cease and capital expenditure will return to more normalised levels both of which, alongside a significant reduction in operating costs, is expected to drive strong cash flow generation in FY25 and beyond.”