London tech company’s profits treble as stock soars over 130 per cent

London tech company Maintel said pre-tax profit more than trebled in 2023 following a major strategic review last year.

Adjusted profit before tax jumped from £1.6m in 2022 to £5.5m in 2023, due to revenue growth and lower operating expenses.

Maintel, which is a cloud provider for businesses, said revenue for the year, ending December 2023, was £101.3m, up 11.3 per cent year-on-year, thanks to accelerated trading momentum in the second half.

Additionally, adjusted EBITDA soared by 107 per cent to £9.1m, up from £4.4m in 2022, as reorganisation efforts in the first half of the year paid off.

The London tech company’s strategic review honed in on products with greater growth potential, streamlined delivery and support structures to cut costs and established a scalable cost base to support future expansion.

It has driven the AIM-listed stock up more than 133 per cent over the past year. Shares spiked up nearly one per cent when the market opened on Wednesday.

Dan Davies, interim chief executive officer, said: “2023 was a year of business transformation and performance turnaround for Maintel, thanks to the successful implementation of a strategic review and a new focus on three technology segments: Unified Communications & Collaboration, Customer Experience, and Security & Connectivity.

“We are strong as a business and have made a confident start to 2024, with trading at the end of quarter one being in line with management expectations.”

“While we continue to navigate challenging global macro-economic and political issues, the Board expects FY2024 to reflect a consolidation of the progress made in 2023, as management continues to focus on the strategic organic growth initiatives, with a focus on margin improvement and revenue expansion opportunities,” he added.

Maintel says it delivers expert cloud and managed services for the digital workplace.