38. Storm Technologies

Revenue: £107.49m

Watford-based Storm Technologies is one of the UK’s largest independent IT VARs, supplying a broad mix of products and services to corporate and public sector organisations. Its focus is on enhancing user IT experience and performance through strategic advice, implementation, and long-term support.

2023 proved a bruising year for the business. Revenue dropped 15 per cent to £107.5m amid inflation, rising interest rates, and cautious customer spending. Project delays and a post-pandemic slowdown in infrastructure refreshes also impacted the top line. While Gross Profit Margin improved to 21 per cent, reduced volumes meant Gross Profit fell 2.7 per cent to £22.6m, and net profit before tax shrank by nearly two thirds to £749k.

Despite the headwinds, Storm stayed committed to its long-term strategy, investing in AI, automation, cloud computing and cybersecurity. It also made progress on its international expansion ambitions in the US and Europe. Sustainable IT remains a cornerstone of its approach, with hardware refresh programmes gaining traction among green-conscious customers.

In July 2024, Storm made at least 25 staff redundant, with 70 roles reportedly under review. Former employees told CRN of chaotic communication around the process, while Companies House records show the exit of long-serving operations director Mark Smith. These cuts came after a turbulent few years, including the 2021 departure of sales director Trevor Nickolls and his team to Computacenter. Multiple distributor credit lines have since been reduced or withdrawn entirely, according to CRN sources.

Yet the firm’s fundamentals remain steady, according to its annual report. No single client or sector makes up more than 5 per cent and 10 per cent of revenue respectively, insulating the business from sharp shocks. Management stated that it continues to monitor cash flow and credit exposure closely and remains bullish about a recovery as IT spending rebounds. With a broadened sales and technical team and tighter cost control, Storm is aiming for a return to growth in revenue, margin, and profitability in 2024.