The Channel logo

News

By | John Oates 27th November 2006 10:35

Phoenix IT results show contract pain

Holding up

Phoenix IT Group managed to hold up revenues and profits despite contract changes at its biggest customer.

For the six months ended 30 September revenues were down to £54.4m from £54.8m for the same period last year.

Profit before tax was £9.2m compared to £8.9m for the same six months of 2005.

There are some delays in contracts at Phoenix IT Services but good growth in disaster recovery division NDR (Network Disaster Recovery). NDR made revenues of £9.2m, up from £7.3m, and signed its largest ever contract at £700,000.

Results were hit by changes to Phoenix's largest contract, desktop support for a government department, which meant reductions in the scope of work as well as more pressure on price.

The takeover of Servo Computer Services, announced earlier this month, will help Phoenix better target small and medium businesses.

Read the whole release here. ®

alert Send corrections

Opinion

Neil McAllister

Claims that cloud will drive Oracle's future growth ring hollow
Pure Storage array

Neil McAllister

How the cloud taught Redmond to play by a new set of rules

Features

Pebble Steel
Meet the man who accidentally created the smartwatch hype
No, silly... he was the fall guy for years of Finnish folly
Fraud image