Redcentric results boost share price

AIM-listed managed IT services provider Redcentric (LON:RCN) saw its share price climb by 3.77% to 136.97p (as of 13:05 BST) as reported operating losses narrowed slightly for the year ended 31st March. Revenues for the period dropped by 6%, although the second half was stronger and the proportion of recurring revenues continued to increase.

CEO Pete Brotherton commented:” We have had a very productive year with many of the initiatives undertaken giving rise to long term benefits. After three years of decline, recurring revenues are now growing and account for 89% of total revenues. The efficiency and integration initiatives undertaken during the year have resulted in annualised savings of £3.5m, which will boost future profitability. Our network and operational platforms have all been upgraded, resulting in modern, resilient and scalable infrastructure to support future growth. The settlement with the FCA means that the Company’s management team is now free to focus solely on the business and able to sell to all markets, including those regulated by the FCA“.