Rocom factor gives Nimans a profit boost

Distributor upbeat about the future after filing encouraging 2010 accounts

The addition of Rocom gave Nimans' 2010 figures a healthy glow, with sales up more than 50 per cent and operating margins increasing more than threefold.

For the 12 months to 31 December, the Salford-based comms distributor saw sales rise 52 per cent to £77.84m. Operational profit rose from £435,000 to £2.28m. This means operating margins rose from less than one per cent in 2009 to more than three per cent last year.

Documents recently filed with Companies House reveal that, since the beginning of 2009, Nimans has grown its top line by more than £30m. When it acquired Rocom two years ago, some onlookers speculated that the two firms' shared ground could stymie growth levels. But Nimans has now realised the bulk of Rocom's £45m revenue in its own sales.

The acquisition has also added considerably to the Mancunian distributor's pool of sales talent. In 2010, average monthly staff numbers were 206, up from 166 the previous year. Sales and distribution roles grew from 118 to 155, while admin employees increased from 48 to 51.

Nimans' 2010 directors' report hails the impact of Rocom's addition, and displays a bullish outlook for this year.

"The reorganisation following the acquisition of our major competitor has consolidated our position as the UK's leading independent telecoms distributor," it said. "[We have] restructured into cohesive business units and delivered considerable sales and profit growth in 2010.

"Although UK economic conditions remain uncertain, we believe the measures we have put in place will lead to further improvement in our overall performance, and we face 2011 with renewed confidence and optimism."