Civica feeling chipper after 12 years of consecutive growth

Global VAR claims to be in strong position after positive FY 2014 financials

Public sector behemoth Civica is celebrating 12 years of consecutive growth, with the UK acting as the powerhouse behind its success.

For the financial year ended 30 September 2014, Civica posted group revenues of £220m, compared with £213m the previous year, with recurring revenues increasing 12 per cent to £110m.

Civica boasts over 4,000 customers in 10 countries, with more than 2,500 employees, and last year it added over 300 new staff to its books, the company said.

Simon Downing, CEO of Civica, was feeling confident: “The increasing pace of change has considerable consequences for the markets we serve, and there is a growing expectation for technology-based transformation,” he said. “With a proven track record and a clear vision, the group is well placed as a strong and trusted partner adding value to our customers as they continue to transform the way they work.”

The UK and Ireland arm of the business put in a stonking performance, accounting for 77 per cent of overall turnover, with sales of £170.5m, compared with £151.3m in 2013.

Sticking with the UK, local government revenues grew 13 per cent, education sector revenues grew 17 per cent and health-based revenues grew 27 per cent year on year. Civica completed two UK acquisitions in 2014: Coldharbour Systems Ltd, and Keystone Asset Management Solutions.

In comparison, the US business turned over £3.8m for the year, Asia £9.1m and Australia and New Zealand the second-largest market at £36.7m.

Gross profit for the group as a whole stood at £163m for the year, compared with £156m the previous year, and EBITDA was £43.6m compared with £42.4m in 2013.

Phil Rowland, CFO at Civica, was also bullish in his outlook: “During 2013, Civica achieved further growth driven by a strong UK performance. Given the sustained agenda for change and the investments we are making in our core markets, the outlook for the business remains very positive.”