CloudCoco shares soared 11.7% to 1.9p on Monday morning with strong results and a jump in EBITDA.
CloudCoco, the IT service and communications solutions company, saw an increase in EBITDA by 185% increasing from £261k in 2020 to £745km in 2021 as a byproduct of the acquisitions of Systems Assurance Limited and More Computers Limited.
Vantage Motor Group, Kings College London and boohoo signed renewed multiyear contracts during the group’s successful year. The contracts were billed in advanced, reflecting the growth of £130k in revenues to £8.1m in 2021. The liabilities also increased with renewed contracts to £1.3m in ’21 from £0.9m in ’20.
The pre-tax loss dropped from £2.9m in 2020 to £2m in 2021. However, to cater to profitability in the future the group has managed to raise £2.1m in fundraising for future acquisition prospects. With acquisitions, the firm expects to increase their services resulting in higher revenues and profitability.
Mark Halpin, Chief Executive Officer, CloudCoco said, “I’m delighted to report on another period of significant progress for CloudCoCo, with our platform now primed for sustainable, long-term growth.”
“FY21 was a landmark year for the Group and we are now a very different proposition in terms of scale and opportunity, which will be reflected in our FY22 financials. With an exceptional team in place, improving market conditions and having demonstrated our ability to overcome challenges as and when they arise, we remain confident in our ability to continue making good progress towards our growth ambitions.”
In Q1 post 2021 results, recurring managed services make up 72% of the sales in Q1 2022 which was only 41% in 2020.
IDE Group Connect and Nimoveri has been successfully acquired from IDE Group Holdings.
“Customer feedback remains exceptionally positive. We have a growing reputation for consistently delivering quality which, coupled with our enhanced service propositions, has allowed the Company to record its most successful sales quarter yet at the start of FY22,” stated Simon Duckworth, Chairman, CloudCoco.