Troubled MSP IDE is seeing the green shoots of recovery with earnings swinging from loss to profit.
For the six-month period ending 30 June, IDE saw revenue drop 32.4 per cent year on year to £14.7 million. EBITDA for continuing operations went from a £7.6 million loss to profit of £1 million.
Executive chairman Andy Parker said: “The first six months of the year has been a period of stabilisation following the upheaval of the restructuring which took place during 2018. Towards the end of 2018, several of the group’s material customers renewed their contracts with IDE, some on a multi-year basis, and I am pleased to say that during the period under review, the group secured several other significant renewals including a three-year contract for cloud and hosting services with a total contract value of over £1 million.”
Parker said the the first half of the year show a significant turnaround from the upheaval of the previous year and it was exploring further areas where costs can be saved while investing in areas that will help drive growth.
IDE got into trouble after the previous administration made a series of acquisitions. It purchased 365 ITMS, Selection Services and C4L in quick succession, and has since offloaded 365 ITMS.
IDE said that revenue declined as a result of some projects and contracts coming to an end, as well as a “general level of churn”.
