Iomart shares soar as it outlines £200m revenue plan

Iomart CEO Reece Donovan

Shares of Glasgow-based cloud data centre operator Iomart Group plc rose about 8% on Thursday following its Capital Markets Day presentation to investors on Wednesday afternoon where it outlined its aspirations to exceed £200 million in revenue within five years and make “complementary” acquisitions.

The company said the speed and accuracy of reaching targets “will depend on specific timing of investments and M&A made.” 

Iomart’s revenue rose 9% to £112.6 million in the year to March 31, 2020.

The cloud computing firm also said it has appointed Andrew Sinclair as head of product to spearhead the development of new products and services.

“For the past two years, Andrew has been leading an internal transformation programme for Iomart,” said the Glasgow firm.

“He will now oversee the strategic development of new products and services to help customers design their digital workplace and implement cloud transformation projects.”

The appointment follows the recent promotion of Neil Christie to chief operating officer and the external hire of Sharon Mars Leach as chief marketing officer.

Iomart CEO Reece Donovan told investors: “Today we outline the start of a new chapter for Iomart, building on the strengths of our current business model.

“Our customers expect highly reliable connectivity and infrastructure services, and a seamless user journey across all platforms.

“They are looking for the support to protect their information and that of their customers.

“We have the infrastructure, expertise and track record to meet those expectations and guide businesses as they prepare to adapt to new ways of working now and in the future.

“The future of work has shifted in light of the global pandemic with a sharp increase in combined remote and in-office working practices being adopted throughout the UK market and beyond.

“We believe we are in a fantastic position to support these accelerating trends by building on our proven delivery model and further augmenting our offering with additional focus on the tools and services required for businesses to connect, secure and scale operations in the new hybrid working environment.

“We have identified a significant market opportunity, growing our propositions in hybrid cloud, security, the Digital Workplace and connectivity.

“With a clear strategic route-map in place for future growth, I am confident in our ability to capture the opportunity ahead.”