Julien Eichinger - stock.adobe.c
DataSolutions surfs security and cloud wave
Distributor shares revenue growth numbers for past fiscal year and expects market momentum will continue in commercial space
The channel continues to challenge the downbeat narrative around the economy, with DataSolutions Group the latest to indicate that market growth continues.
The distie has shared its revenue performance for the year ended March 2023, with things improving by 29% year-on-year to £109m.
Those numbers were largely driven by the performance of the channel player’s cyber security and cloud divisions.
The security side of the business improved revenues by 36%, with them rising in the UK specifically by 64%. Cloud revenues improved by 26%, with strong demand for helping reduce the complexity and security of multi-cloud environments.
“The past year has been challenging for the entire IT industry, so to be in a strong position and posting record numbers for the UK is testament to our team and the expertise we have as a collective,” said Michael O’Hara, managing director of DataSolutions. “This time last year, we decided to double down on our cyber security and cloud divisions, and that has really paid off in the UK.”
Looking ahead, he said the dynamics of the market favoured further growth. “Enterprises will continue to invest in IT infrastructure to enable them to reduce costs, become more efficient, reach new customers and grow their businesses,” said O’Hara. “This is our sweet spot as a business, so we are confident of continued growth in this market.
“However, the IT consumer market will find it more challenging,” he added. “With higher interest rates, slow economic growth and the cost-of-living impact combined, these factors will create difficulties for growth in the year ahead.”
Diversity and sustainability
The distributor also provided an update on the progress it had made on the diversity and sustainability fronts.
The fiscal year closed with women making up 41% of the workforce, and the firm was committed to getting that level to 50%.
“I’m a firm believer that what matters most in any business is your people,” said O’Hara. “We have always prided ourselves on how we recruit and develop people, but also how we support them both personally and professionally.”
In terms of sustainability, the distie has continued to get behind efforts that promote positive action, such as Techies Go Green, which has hundreds of IT firms pledging to decarbonise.
“Sustainability remains a core mission for us and Techies Go Green in the UK and Ireland,” he said. “Despite the economic pressures, we’re still seeing a significant number of business leaders recognise the importance of sustainability on their businesses and wider society.”
The DataSolutions numbers can be added to recent disclosures by Softcat and Computacenter which indicate the channel is still tapping into growth and keeping positive about the prospects for the 2023 fiscal year.