Redcentric optimistic as it unveils first-ever results

Newly demerged firm rakes in £21m in revenue in its first eight months

Newly demerged Redstone spin-off Redcentric is positive about its future following the publication of its first-ever interim statement which showed higher-than-expected profit.

The company was incorporated in February this year after splitting from Redstone and was listed on the London Stock Exchange's Alternative Investment Market (AIM) at the end of April. Its first set of results look at its first eight months in business – since February – although trading only began on 8 April when it officially demerged.

For that period, its sales reached £21m, in line with management's expectations, while its adjusted EBITDA reached £3.6m, topping its forecast of £3.5m. Its net debt was better than expected too, reaching £12.1m – lower than its expectations of £12.3m.

Last month, the company announced it was to double in size after acquiring rival firm InTechnology Managed Services (IMS) for £65m and Redcentric chairman Richard Ramsay said early indications are positive for the company, especially in light of its recent purchase.

"The board is excited about the prospects of Redcentric as an independent business; early signs are that the company is successfully winning further business from its existing customer base and new customers," he said.

"Following the successful acquisition of IMS, the company has a stronger competitive position in the market, with increased scale and capability, and is well placed to benefit from increasing demand for outsourced managed services."