Vianet Group cheers profit return as demand rises

A data monitoring firm helping pub landlords cut waste says “confidence in its prospects has never been stronger” after robust demand swung it back to profit.

Vianet Group has cheered “building momentum” after “another period of solid growth amid evolving market conditions”.

And officials say the Stockton-based company is primed for further success, with recent Budget changes to the hospitality sector providing further opportunities to secure supply agreements.

According to a trading update covering the six months to September 30, the firm, whose software helps vending machine operators manage payments, has continued to benefit from a switch from 3G to 4G technology, which has created a “very robust and growing pipeline” of work.

Like-for-like sales were up 16.5 per cent to 3,659 in the half-year, with more than 1,050 3G devices upgraded to 4G equivalents.

Bosses say the firm, whose technology allows landlords to monitor alcohol readings with greater precision, was also aided by its previous acquisition of US-based Beverage Metrics.

Revealing new long-term deals with Heineken and Greene King, they said Beverage Metrics  has allowed the company to make “considerable progress towards securing substantial rollouts” across both sides of the Atlantic.

The optimism was unveiled alongside financial results that showed half-year revenue was seven per cent better off at £7.69 million.

EBITDA was more than 25 per cent higher at £1.55 million, with the company reversing a £171,000 pre-tax loss to record a pre-tax profit of £18,000.  

James Dickson, chair and chief executive, said: “I am personally delighted with this set of financial metrics.

“It is a testament to the dedication and work ethic of the entire team.

“Our performance continues to build momentum and is supported by a strong sales pipeline and exciting commercial opportunities across the business, which enable me to feel very confident about the group’s future performance.

“We are well-positioned to deliver sustained growth and execute our long-term vision.

“My confidence in the group’s prospects has never been stronger.”

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