Top Vars 100 - 56

Top VARs is a report into the fortunes of the 100 biggest UK resellers and the priorities of CIOs across a variety of vertical markets. The research reveals that there are plenty of resellers on the list that continue to grow sales, but it also shows how much margins are coming under pressure.

100 - 92  |  91 - 83  |  82 - 74  |  73 - 65  |  64 - 56  |   55 - 47  |  46 - 38  |  37 - 29  |  28 - 20  |  19 - 11  |  10 - 8  |  7 - 5  |  4 - 2  |  1

 

100
Total Computer Networks
£16.6m
The fast-growing Kettering-based VAR has added an extra £2m to its top line since we made this list last year, while operating profit has spiked from £423,496 to £773,453. The firm recently opened a northern outpost in Manchester, an operation that will be led by former Equanet exec Blaine Castle.
99
TET Limited
£16.9m
The City-based reseller, better known as Trans European Technology, endured a tricky year in 2011. Sales dropped from the prior-year level of £18.7m, while operating profit of £63,436 is only about a quarter of the total posted in 2010.
98
Keltec
£17.1m
The Bracknell-based reseller added more than £3m to its turnover in the 2011 calendar year. Operating profit was up just over 13 per cent to £374,518. The company lists HP, IBM, Oracle, Microsoft, VMware, Symantec, Citrix and Veeam as its strategic vendor partners.
97
Axial
£17.1m
The Berkshire-based security VAR saw sales decline from the £18.3m posted in FY10. But operating profit grew from £1.5m to more than £1.7m last year. During FY11 the ambitious company revealed that it is actively hunting acquisitions in the security and performance management space.
96
Datapoint
£17.1m
The Avaya house added about £1.4m to its top line in FY11. Earlier this year the firm signed an exclusive 12-month agreement with US firm Knowlagent to help contact centre managers increase staff productivity.
95
South West Communications
£17.4m
Last year was a difficult one for the Exeter-based VAR, with revenue declining by £600,000 and operating profit falling from £822,556 to £434,565. The company, which also runs offices in Portsmouth, Reading, Bournemouth, Plymouth and Bristol, counts Toshiba, Alcatel-Lucent, Cisco and LifeSize as its key partners.
94
Blue Chip
£17.8m
Particularly eagle-eyed readers may note that this is one of two companies on this list bearing exactly the same moniker. Based in Poole, this Blue Chip counts Microsoft, Citrix, EMC, Cisco and VMware as its key partners. Revenue for FY11 was up 10.4 per cent.
93
Prolinx
£17.8m
Revenue grew 7.6 per cent for the Oxfordshire-based VAR during FY11, but more than £1.5m was wiped off its operating bottom line during the year. However, operating income still stood at a healthy-looking £2.2m for the HP, Juniper, Aruba, Microsoft and McAfee VAR.
92
Expansys
£18m
The online retailer grew its global sales past the £100m mark in its recently completed fiscal year, but the UK IT operation was very much the laggard, with sales suffering a double-digit decline. The company counts Dragons’ Den star Peter Jones among its major shareholders.
100 - 92  |  91 - 83  |  82 - 74  |  73 - 65  |  64 - 56  |   55 - 47  |  46 - 38  |  37 - 29  |  28 - 20  |  19 - 11  |  10 - 8  |  7 - 5  |  4 - 2  |  1

 

91
Millgate Copmuter Systems
£18.4m
FY11 saw more hefty growth for the Sheffield VAR, with revenue growing by almost a third. Operating profit also enjoyed a big bump, rising from £423,792 in FY10 to £789,329 last year. The firm was also expanding physically during the year, after acquiring the building next door to its HQ.
90
Orange IS
£19.2m
It has been a busy 12 months for the London VAR, with the opening of a leasing division and a specialised security reseller. Meanwhile, sales keep on growing, rising from the £16.8m posted in FY11. Vendor partners include IBM, NetApp, Cisco, Oracle and Lenovo.
89
Bechtle
£19.5m
The UK arm of the German-headquartered €2bn giant saw sales grow nine per cent last year as operating profit increased almost a quarter to £867,556. The Bechtle group claims to sell 47,000 products online from 239 manufacturers.
88
ACS Systems
£20.6m
The Northampton-based IT and office supplies VAR put an extra £2.5m on its top line in FY11, with operating profit rising from £477,511 to £638,763. The directors’ report for the year characterises the results as “an excellent vindication of the strategies undertaken to deal with the difficult economic climate”.
87
SoftwareONE
£21.6m
The Swiss company is a relatively new name in the UK market, having launched in this country in 2008. But growth has come quickly, with sales more than doubling last year from their 2010 level of £10m. Operating profit jumped from £17,548 to £383,466.
86
Northdoor
£21.6m
The London-based VAR and consultancy suffered from “the absence of large infrastructure projects” in FY12 as more than a quarter of its top line was eradicated. Despite this, the drop in operating profit was less than £200,000, leaving the operational bottom line at a healthy-looking £2.7m.
85
Sabio
£22m
This Avaya specialist grew its pre-tax profit from just £81,000 in FY10 to more than £1m last year, as sales increased from £18.5m to £22m. The firm also set up shop in Singapore and bought its way into mainland Europe with a German acquisition.
84
Richardson Eyres
£21.6m
This VAR reaped the benefits of its investments in services and cloud provision in 2011, as sales rose by more than £4m and the £70,779 operating loss of 2010 was turned into a £407,675 profit. HP and VMware are key vendor partners.
83
Grey Matter
£22.3m
The Devon-based software licensing specialist was one of a select few to see its bottom-line growth outpace its top-line expansion in FY11, with pre-tax income up 32 per cent to £669,240. Meanwhile, sales grew 28 per cent.
100 - 92  |  91 - 83  |  82 - 74  |  73 - 65  |  64 - 56  |   55 - 47  |  46 - 38  |  37 - 29  |  28 - 20  |  19 - 11  |  10 - 8  |  7 - 5  |  4 - 2  |  1

 

82
Technoworld
£22.7m
After narrowly missing out on this list last year, the online retailer and VAR arrives with a bang, having almost doubled in size in FY11. Sales in the prior year stood at less than £12m. Operating profit growth did not match the top line, rising from about £230,000 to £280,000.
81
Stormfront
£22.8m
This VAR is the most prolific Apple Premium Reseller in the UK, running 18 APR outlets across the country. It has almost quadrupled in size in the last two years, with turnover growing from less than £6m in FY09 to almost £23m last year.
80
Excell
£23.1m
The telecoms VAR enjoyed a revenue boost of £3m in FY11, but it claims more than £700,000 in potential profit was swallowed up by an investment in staff designed to help it make a bigger splash in the commercial world. Operating profit consequently fell from £2m in FY10 to £1.7m last time out.
79
Cisilion
£23.6m
Revenue growth of 51 per cent reportedly “exceeded the directors’ expectations” for the central London Cisco partner in FY11. Much of the growth was chalked up to increased success in the commercial sector. Operating profit stood at £719,383, compared with a loss of £95,380 in the prior year.
78
Selection Services
£23.6m
Increased profitability was the name of the game for the Kent reseller in FY11, with operating income more than trebling to £1.6m as revenue grew only marginally on the prior year. Its directors’ report for the year lays out three key prongs to its future growth strategy, including new CRM and remote management offerings along with the launch of a new website.
77
Esteem Systems
£23.1m
Last year was a tough one for the Leeds VAR as its historic Sun business was hit to the tune of £7.1m, following the hardware vendor’s acquisition by Oracle. Some uptick in sales around other partners mitigated the revenue downturn to £5.9m. Operating profit also took a big hit in FY11, falling from £2.8m to £1.2m.
76
Blue Chip
£23.8m
The IBM VAR is a non-mover on last year, as FY12 results are yet to filed as we go to press. The Bedford-based firm also operates in locations across Europe, and has a software development division in Sri Lanka. Blue Chip styles itself as “the largest maintainer of IBM mid-range systems outside of IBM itself”.
75
Computer Systems Integration
£23.9m
Sales were up 11.6 per cent at the Leeds-based reseller during the 2011 calendar year, but operating profit fell from £582,000 in 2010 to £396,000 last year. Leading vendor partners include Microsoft, IBM, SAP, Infor, VMware and HP.
74
CSA Waverley
£25m
The HP, VMware and Symantec partner is a new entrant this year, having posted some of the most astronomical growth figures of anyone on this list. Revenue runrate for the 11-month FY11 period was at £25m – up from just £9m in FY10. Predictably, margins suffered a little though, with operating profit growth coming in somewhat slower, rising from £559,333, to £938,693.
100 - 92  |  91 - 83  |  82 - 74  |  73 - 65  |  64 - 56  |   55 - 47  |  46 - 38  |  37 - 29  |  28 - 20  |  19 - 11  |  10 - 8  |  7 - 5  |  4 - 2  |  1

 

73
Comparex
£25.4m
The software licensing specialist joined the £25m club in FY12 after growing sales 14.2 per cent. Operating profit was also on the rise, increasing six per cent to £409,112. During the year the firm, formerly known as PC-Ware, changed its name to that of its German parent company. A satellite office was also launched in York, where it will operate in close proximity to a clutch of other Microsoft LARs.
72
Apsu
£25.6m
The VAR and services player has grown steadily since coming into existence in 2011 through the merger of Apex Computers and AssurIT. The company operates primarily in the mid-market, where it aims to win the custom of businesses who feel overlooked by the larger integrators.
71
DTP
£25.8m
Turnover was up 47.4 per cent for the Leeds-based HP VAR in FY11. The company has plans to ascend through the £40m barrier in the next couple of years, fuelled by growth in its managed print services business and an increased presence in the corporate market.
70
Maintel
£25.9m
The 2011 fiscal year was a robust one for the VAR with revenue up 18 per cent and pre-tax profit growing 15 per cent to almost £3.1m. There was a decent lift in product sales, particularly around Avaya wares, following its acquisition of a chunk of Redstone’s business.
69
Viadex
£26.1m
The Surbiton-based VAR is more than £10m bigger than last year, as it claims it benefited in its last fiscal year from a heightened focus on core markets and providing more products and services to its base of key accounts. Profit before tax stood at £750,000 and the business is investing in a three-year growth plan, including increasing its sales headcount by 50 per cent last year.
68
Square Group
£28.1m
The Apple Premium Reseller claimed it was able to cash in on the buzz around the vendor’s products during FY11 as revenue more-or-less doubled. The firm also recently bought its way into the audiovisual sphere with a deal to acquire VAR Digital Vision AV.
67
Commercial Limited
£28.9m
On top of its IT services, print and office supplies business, this VAR also offers workplace consultancy and interior design services. Recent investments include the doubling of its managed print team, with the addition of four new staff members.
66
Tectrade Computers
£29.2m
This VAR was negatively impacted by the soft economic climate in both this country and the Netherlands last year, with group turnover down 7.3 per cent. Operating profit was more than cut in half to £461,069. But following “a number of important changes to both its vendor alliances and managed services business”, it expects “a strong rebound” in FY12.
65
MTI
£30m
The integrator grew its core revenues by a third to more than £20m in FY11, with operating profit rising from about £750,000 to almost £925,000. In 2010 the VAR also became the owner of security VAR GSS, which posted sales of almost £10m in its last available accounts.
100 - 92  |  91 - 83  |  82 - 74  |  73 - 65  |  64 - 56  |   55 - 47  |  46 - 38  |  37 - 29  |  28 - 20  |  19 - 11  |  10 - 8  |  7 - 5  |  4 - 2  |  1

 

64
Academia
£30m
The education-focused VAR continues to grow nicely and recently featured for the third year in a row on the Sunday Times Tech Track list of the UK’s fastest-growing technology firms. The company has also made a swathe of high-level appointments in recent months, including the addition of former Trustmarque boss Ross Miller.
63
Q Associates
£31.6m
The 2011 fiscal year was a tough one for the firm, which the directors’ report attributes to the economic slowdown and “the acquisition of a key supplier to the business”. Sales were down from the previous year’s level of £43m while gross profit margins were down from 18.2 to 15 per cent.
62
M2 Digital
£31.7m
The Manchester-based managed print specialist boosted its top line by six per cent last year. The 20-year-old firm will be looking to cash in during the coming years as it forecasts the MPS market as a whole will enjoy annualised growth of 20 per cent.
61
Trams
£35.4m
The B2B Apple specialist has nigh-on doubled in size in the last year following the acquisition of the UK arm of German-based rival Cancom, coupled with double-digit organic growth. Revenues at its existing business jumped about £2.6m to almost £21.8m, with operating profit rising from less than £450,000 to £627,125. The new addition has recently been renamed Tramscom.
60
AVM
£35.5m
The audiovisual specialist maintained revenue and profit levels during a solid FY11. Sales rose by about £700,000 during the year, with operating profit growing at a somewhat faster rate, increasing by almost £100,000 to just over £1m. During the year AVM also dipped into its pocket to acquire video­conferencing specialist VC World.
59
Intrinsic
£36m
The Merseyside VAR continued on its quest to become a £100m player inside three years with a revenue jump of about a third this year. Reported sales rose 13.5 per cent to £31.4m, while 2011 acquisition Dataplex Systems arrives with a top-line not far off the £5m mark. There has been a shake-up in the firm’s executive line-up of late, including the promotion of Adam Jarvis from sales director to chief executive.
58
NextiraOne
£36.25m
The comms integrator has suffered in the last couple of years in light of the swingeing cuts to public spending, but it still managed to increase its top line in 2011, albeit at the expense of reduced profit levels. Sales crept up by £300,000 on the prior year’s levels, but operating profit before interest declined by a similar amount to £659,000. The order book ticked over briskly during the year, with £44.2m of deals coming in, taking the book-to-bill ratio from 0.97 to 1.22.
57
Probrand
£36.6m
The Brummie reseller’s top line took a big hit in 2011 as it “followed a policy of moving away from high-turnover, low-margin business”. Its revenue has consequently come down from well above the £50m mark, although gross margins improved from nine to 11 per cent last year. However, operating profit also took a hit, decreasing more than 50 per cent to £356,547.
56
TSG
£37.1m
The 2011 fiscal year was a solid one for the Geordie VAR bankrolled by Sage founder Graham Wylie, with revenue up more than a fifth and the £467,000 operating loss of FY10 turning into a profit of &pound83,000. The acquisitive firm was also in consolidation action in 2011, buying CRM specialist Concentrix and SharePoint consultancy Rocket Solutions – its 25th acquisition.
100 - 92  |  91 - 83  |  82 - 74  |  73 - 65  |  64 - 56  |   55 - 47  |  46 - 38  |  37 - 29  |  28 - 20  |  19 - 11  |  10 - 8  |  7 - 5  |  4 - 2  |  1