Data Centre Upgrades Help SCC Boost Sales And Profits For The Year
The company’s operations are growing well in France, Vietnam, Spain and Romania, but the UK unit’s showing was particularly eye-catching in both the public and private sectors, as improved data centre facilities helped to keep and generate new work.
Pan-European IT services firm SCC saw its sales and profits boosted by investment in its UK data centres. Total company revenue jumped 10% year-on-year to £1.8bn, and EBIDTA rose 9% to £45m.
Just as they did last year, the UK and France operations continued to dominate SCC’s turnover (96%) and profitability (94%). The UK saw pre-tax earnings of £16m, following upgrades to SCC’s Tier 3+ data centres in Birmingham and Hampshire.
The company generates a large chunk of its UK business through the UK government’s G-Cloud procurement framework, with the firm selling cloud products, data centre services and other managed services.
SCC is owned by Rigby Group plc, the Stratford-upon-Avon, UK-headquartered group, which has total sales from numerous countries of £2.4bn. Rigby says it wants to reach £4bn in turnover by 2025.
The company moved to acquire the business processing outsourcing (BPO) arm of Hobs Group earlier this year. That buisness provides services around document digitisation, document process re-engineering and digital mail management, and its main customers are in the public sector and the legal, financial services and construction markets. SCC also has growing operations in Spain, Romania and Vietnam.
Martin Courtney, an analyst at TechMarketView, said of the results: “While cloud application and service migration and hosting are driving current performance, SCC cannot afford to rest on its laurels. Ongoing investment in artificial intelligence and cognitive computing are laying a base for future success, but we’d also like to see SCC build out its managed security service proposition to address one of the fastest growing areas of the market.”
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