Maintel’s group revenue dropped to £91m (down 12.4%) in its latest financial results due to several economic headwinds.
These are listed as supply chain issues surrounding semi-conductor hardware, delays in public-sector tenders, lower revenue from large scale projects and £0.5 non-repeating revenue due to the sale of Document Solution division in FY21.
Maintel also saw gross profits drop 18.2% from 34.1m to 27.9m. Adjusted EBITDA fell 54.6% from 9.6m to 4.4m.
To combat 2022’s struggles, the company conducted a strategic, organisational and operational review in Q1 FY23. “This ensured we entered FY23 with increased clarity on future market and product strategy with a lean and flexible cost base on which we can return the business to strong economic performance in the years to come,” said Executive Chairman Carol Thompson.
This has meant changes to senior management with the loss of our CEO Ioan MacRae and Sales Director.
Thompson adds: “We have had constructive conversations with HSBC which resulted in Maintel entering into an amended agreement that better aligns the covenants with the business transformation plan and supports the return to growth agenda and reshaping the business.”