Bytes boasts double-digit sales growth in preliminary full-year results

CEO Neil Murphy praises ‘another record set of results’ for Bytes with increases across software, hardware and services

Bytes boasts double-digit sales growth in preliminary full-year results

Bytes has logged double-digit growth in gross invoiced income in its preliminary full-year results, with growth across all areas of the business.

The reseller's gross invoiced income (GII), which includes deferred and accrued revenue, increased by 26 per cent for the 12 months ending 28 February 2022 to £1.21bn.

Revenue under IFRS 15 standards similarly surged by 13.8 per cent to £447.9m over the same period.

Operating profits meanwhile jumped by 57 per cent year on year to £42.2m, while adjusted operating profits, which are based on its underlying operations and ignores one-off costs, soared by 23.6 per cent.

The CEO of the Surrey-based firm, Neil Murphy, disclosed at the start of the year that Bytes had surpassed £1bn in revenue for its first 10 months of its financial year telling CRN that the secret to the firm's success is "sticking to our knitting".

Bytes claims that growth was spread across software, hardware and services sales, commenting that corporate demand strengthened during the period and growth continued among public sector customers.

The reseller said the spike in operating profits in FY22 is partly due to one-off costs of £8.1m in its FY21 related to its IPO, while noting that FY22 carried an increased share-based payment charge compared to the previous year.

Bytes' board is proposing a final dividend of 4.2 pence a-share and a "special" dividend of 6.2 pence a-share which will be paid on 12 August 2022 pending shareholder approval.

"This is another record set of results for BTG, with positive contributions from all parts of the business. During the year we continued to strengthen our market position, by deepening our relationships with key software vendors and expanding our expertise in areas such as cloud, security and annuity software and services. These steps enabled us to make meaningful progress against our strategy and ensure our customers continue to receive the highest quality of service," said CEO Murphy.

"I would like to thank all my colleagues who have done an outstanding job supporting our clients through the past year. The progress we have made is a direct result of their efforts and would not have been possible without them. With our growing customer base, strong reputation with key vendors and focus on sustainable growth, our business remains well placed to deliver against our strategy and capitalise on the exciting market opportunities ahead."

Bytes claims it has "already made a good start in this new financial year" but noted that it "remains mindful" of domestic and global macroeconomic pressures.