Portfolio News

Record results for Giacom as turnover surges

  • Business on target to reach turnover in excess of £13m in 2017
  • Giacom revenues up 74 per cent to £6.6m in 2015-16
  • Growth driven by increased demand for cloud-based services

Giacom World Networks, the fast-growing cloud IT and communications solutions provider, has announced record financial results for the year 2015-16. 

The business, which continues to capitalise on the growing demand for cloud-based solutions among the SME market, achieved revenues of £6.6m in its latest financial year, up from £3.8m. Gross profit also increased by nearly a third to £3.5m, up from £2.6m the previous year. 

Based in Hull, Giacom supports a network of more than 4,000 IT consultants, service providers and resellers through its MessageStream platform. It is Europe’s largest channel-based cloud marketplace and the network uses MessageStream to supply more than 30,000 SMEs with products such as email, file management and backup solutions, anti-virus software, secure file transfer and email encryption. 

Giacom was backed by private equity firm LDC in May 2016 and has since expanded its platform with the addition of new, complementary software products for its SME end-user market. This includes BitDefender, the number one ranked cybersecurity software. The business is now on track to record revenues in excess of £13m for the current financial year. 

Mike Wardell, MD at Giacom, said: “While delivering efficiency and cost savings is important for all businesses, it is critical to those of a smaller scale. As a small business ourselves we understand this more than anyone and our ethos is built on providing IT consultants and SMEs with a cost-effective, high-quality and easy-to-use service. This unique proposition has underpinned our growth in recent years and as demand continues to rise we’re committed to further developing the service we provide. 

“Partnering with LDC was a key step in helping us to achieve our ambitions as a business. Since working with the team we have been able to accelerate our investment in the MessageStream market place platform, identify new software vendors and expand our product portfolio, all of which have enhanced our offering and enabled us to service a broader range of businesses.” 

Simon Braham, Investment Director at LDC, added: “Giacom has all of the ingredients for a successful business – a targeted audience, a strong value proposition, a network of trusted partners and the ability to innovate at pace. This has laid the foundations for rapid growth and with the direction of a strong management team, Giacom has established itself as a market leader in a highly-competitive environment. There is a healthy pipeline of activity in place and with continued investment in its market place platform to add products to the offering the business is set for another record year.”  

Giacom is also one of only 10 Microsoft 2-Tier Cloud Solution Provider (“CSP”) partners in the UK and is able to offer Microsoft SaaS and IaaS products, such as Office 365 and Azure, to service providers. Since being awarded the status in 2015, the business has grown to become the number one CSP partner in the UK, based on the volume of seats.

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Article Footnotes

Notes to Editors

  1. LDC is part of the Lloyds Banking Group and is authorised and regulated by the Financial Conduct Authority
  2. LDC back ambitious management teams from UK-based companies seeking between £2m and £100m of equity for management buy-outs, institutional buy-outs or development capital transactions.
  3. LDC invests in a broad range of sectors and has particular experience in Construction & Property, Financial Services, Healthcare, Industrials, Retail & Consumer, TMT, Travel & Leisure and Support Services.
  4. LDC has a UK regional network of 9 offices.