Kcom boss looks to PSN sales boost after upbeat statement

Integrator's new chief Stephen Long lauds recent improvement in customer service and eyes closer ties with sister firm Smart421

Kcom's recently appointed managing director has hailed the strength of the integrator's public sector pipeline as it posted a cautiously upbeat interim management statement.

The IMS, issued to the market this morning, claims the firm "secured a number of key contract renewals" during its third fiscal quarter, which closed at the end of December. One deal sealed during the period was a managed communications services contract with East Sussex County Council, for which Kcom has been named preferred bidder.

Kcom claims the deal speaks to its burgeoning credentials in the public services network (PSN) arena. Stephen Long, who was unveiled as Kcom MD last week, told ChannelWeb that he sees great opportunity in the public sector, but stressed that both public and enterprise customers will be instrumental in realising his ambitious growth plans.

"We have a very great deal of opportunity in the public sector and the pipeline, certainly in the near term, is very good. The PSN is particularly interesting," he said. "But we want to keep a balance between the public and the private sector.

"There is a lot to do in Q4 but certainly the opportunity is there. It just takes a bit longer to bring things home [in the current market]. Then we have to start looking at the pipeline longer term, not just the next financial year, but the year after that."

Kcom has taken a number of strategic moves in recent years to exit lower-margin businesses and improve profitability and Long has been quick to assert that he wants to get the top line moving forward just as quickly. But profit levels remain important, he stressed, and recent improvements in customer relations will help keep margins healthy.

"Some of the issues we have had that impacted on customer satisfaction have been dealt with very effectively," he said. "[Revenue] is growing, but not in double digits. But there is a lot of really exciting stuff going on."

The performance of fellow KCOM Group company Smart421was singled out for praise in today's statement. Long added that he wanted to foster closer ties with the integrator.

"Smart421 can help deliver some of the innovation that our customers are demanding," he said. "We need to formalise the way in which we engage with them."