KCOM's decision to pull away from low margin business continues to show signs of delivering better financial results for the firm as it looks for more high-end contracts to keep the profits flowing.
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In a trading statement the comms provider revealed that even in the enterprise and public sector markets it had managed to increase its contracts and its Eclipse ISP arm had been making inroads into the SME arena.
The interim numbers are expected towards the end of November but it has already indicated that it remains on track to deliver against expectations.
Earlier this year KCOM announced plans to exit low margin business, which initially hit its revenues but in the most recent preliminary results for its year ended 31 March the 4.2% decline in revenue to £395.4m but more than offset by a rise in pre-tax profits by 40% from £29.4m to £41.2m.