Iomart on hunt for acquisitions as profits leap 47%

Published on Tuesday 24 November 2009 21:25

IOMART, the data centre and web-hosting specialist, yesterday said it remains on the lookout for acquisitions after reporting a 47 per cent rise in first-half revenue to £8.4 million.

The Glasgow-based group, which provides remote computer networks for businesses, is looking to buy smaller rivals after taking on extra storage capacity through the 5.25m acquisition of Rapidswitch.

Chief executive Angus MacSween said Iomart is seeking more deals, but with "little distress" in the market the scope for bargains is less than expected.

Iomart reported earnings before interest, tax, depreciation and amortisation of 840,000 in the six months to 30 September, with its corporate business taking on 60 new customers.

MacSween said the spare capacity following the acquisition of Rapidswitch meant its fixed costs would be relatively stable as revenue increases. The shares rose half a penny to 45.5p.