Business
Trading Update & CEO Appointment
Trading Update & CEO Appointment.
About this update from Redcentric Plc
[{"type":"text","content":"\n\n7 May 2025\n \nRedcentric plc\n('Redcentric' or the 'Company')\n \nPre-Close Trading Update\n \nAppointment of CEO\n \n'Progress made across key financial metrics in FY25'\n \nRedcentric plc (AIM:RCN), a leading UK IT managed services provider, announces a pre-close trading update for the financial year ended 31 March 2025 ('FY25' or the 'year') and the appointment of Michelle Senecal de Fonseca as the Company's new Chief Executive Officer, ('CEO').\n \nFY25 Financial Highlights (unaudited)\n\n\n\n\n\n\n\nFY25\n(£ million)\n\n\nFY24\n(£ million)\n\n\n \n\n\n%\nChange\n\n\n\n\nRevenue\n\n\n170.0\n\n\n163.1\n\n\n\n\n\n+4.2%\n\n\n\n\nRecurring Revenue\n\n\n155.1\n\n\n149.1\n\n\n\n\n\n+4.0%\n\n\n\n\nRecurring Revenue %\n\n\n91.2%\n\n\n91.4%\n\n\n\n\n\n-0.2%\n\n\n\n\nAdjusted EBITDA*\n\n\n37.0\n\n\n28.3\n\n\n\n\n\n+30.7%\n\n\n\n\nAdjusted Net Debt\n\n\n41.8\n\n\n42.0\n\n\n\n\n\n-0.5%\n\n\n\n\n \n*Adjusted EBITDA is EBITDA excluding exceptional items, share-based payments, and associated National Insurance.\n \nSummary\n \nThese results highlight the ongoing benefits of the Company's acquisition strategy and the positive impact of enhanced operational efficiencies. During FY25, the Company successfully completed the migration of the data centres business, a key milestone in Redcentric's transformation strategy. Segmental financial reporting will be introduced alongside the release of audited financial statements in August 2025.\n \nThe separation of the Company's two core business entities, Data Centres ('DC') and Managed Services Provision ('MSP'), presented operational and accounting complexities. While these challenges required considerable management focus, it was essential to establish two distinct and well-structured business units for the future and this initiative has been successfully concluded.\n \nAdjusted net debt remained stable and showed a slight improvement compared to FY24, despite adverse year-end working capital movements and dividend payments of £5.7 million to shareholders during FY25.\n \nFY25 Operational Highlights\n \n· Recurring revenue: Recurring revenue grew 4% to £155.1 million, comprising 91.2% of the Group's total revenue, reinforcing Redcentric's resilient revenue base and high-quality offe...