Compel Group recorded revenue of #121.6 million for the six months ended 31 December 1998 - an increase of 40 per cent on the previous year.
Pre-tax profit for the interim period rose at a similar rate, up 36 per cent to #4.97 million from #3.67 million in 1997. However, the figures did not include charges related to Compel's acquisition of Info'Products, which was not formalised until 8 January.
Neville Davis, chairman and chief executive of Compel, said the growth was evenly spread across all areas of the reseller.
'All our activities in both desktop services and the mid-range area with Hamilton Systems have seen similar levels of very strong growth courtesy of the usual mix of existing customers spending more, as well as significant wins such as the BBC,' he added.
Davis said the second half of last year was 'particularly strong' for Compel and he expects the reseller to maintain similar growth this period.
Info'Products will continue to operate as a separate subsidiary until July, when it will be integrated into Compel's main business.
Davis claimed the timeframe of the integration was not dependent on Info'Products breaking even. Instead, it will be governed by how long it takes Compel to institute management practices at the loss-making computer services provider.
He said: 'We are very confident that we can turn Info'Products around by July. We are controlling costs more rigorously, but the primary change we have made is to empower the good people within the organisation to do what they do even better.
'We're very pleased with the quality of people within Info'Products,' he added.
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