What was the key to FY15’s massive profit increase?
Moving more towards service delivery helped improve the profit margin a lot, and we were much more focused on our own products.
The UK system builder space has had an up-and-down few years. How have you prospered?
The market seems to be right for bespoke manufacturing, and we are seeing far less competition there than ever. We see customers with a requirement for hardware and services with a tailored approach, rather than a corporate approach. Now the customer is much more careful in terms of specifying their exact requirements.
Your background is as a public sector specialist – how much have you evolved?
We moved into high-end workstations with BOXX Technologies, as well as our own products, and that has taken us more into the private sector. In both the private and public sector we are seeing that customers are not just buying because of the brand, but because of the specification and what their needs are.
Where does the cloud fit into your plans?
I heard a good analogy about this: If you are going to London for two nights, you book a hotel. If it is six months, you rent a flat. If it is two years, you buy a house. That explains how the cloud can sometimes be a shorter-term solution, rather than a long-term one. There is definitely a place for it, but it is not the be-all and end-all. It will definitely be a hybrid world.
Ci VAR overview from CRN :
The Hampshire-based VAR and system builder’s turnover was relatively flat in FY15, but net profit spiked more than threefold to £1.9m. The company claimed it enjoyed significant success during the year in winning service-delivery contracts, and the aim for 2016 is to grow its cloud business. It is also hoping its distribution agreement with BOXX Technologies will give it a leg-up into providing high-end workstations into the media market.
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