Strong trading at cloud computing firm iomart

Iomart CEO Angus MacSween

Shares of Glasgow-based cloud computing firm iomart rose about 5% on Friday after it announced a strong trading statement for the six months ending September 30 and revealed its intention to introduce an interim dividend.

“At the end of our last financial year we revised our dividend policy due to our robust cash generation and low level of gearing,” said impart.

“As a result, we increased our final dividend for that year by 90% to 6p per share.

“We now intend to introduce an interim dividend payment in this financial year and further details of this will be given with the publication of our half year results.”

iomart said it has seen strong demand for its services as enterprises continue to move their services into the cloud.

“With our wide range of cloud products, services and consultancy offerings covering private, public and hybrid cloud solutions, iomart is ideally placed to advise these enterprises on the best solution to fit their needs and then to implement the chosen solution.

“In May 2017 we acquired Dediserve, expanding the geographical reach of our cloud operation.

“The business has performed well since acquisition, in line with management expectations.”

In its outlook, iomart said: “The market opportunity remains strong and we are well positioned to take advantage of it.

“The board is confident in the outlook for the full year and optimistic for continued success.”

iomart Group CEO Angus MacSween said: “The group has performed strongly in the period as we consolidate our competitive advantage within the hybrid cloud market.

“There is growing demand from enterprises moving their services into the cloud and our reputation as the UK’s leading cloud computing company means we are ideally placed to service this demand.”