Maintel wants to achieve a significant increase in its base of mobile customers over the next 12 months with the expansion of its sales team and possible acquisitions.
The Vodafone Gold Partner posted growth in both revenue and profit in a positive set of 2013 results published last month, and CEO Eddie Buxton (pictured) wants mobile to play an increasing part in future operations.
He told Mobile: ‘Our objective in terms of mobile is to penetrate our existing base. Our current figure for mobile is 5-6% of our base. We want to significantly increase this over the next year.
‘We have increased our sales resource; we’ve got a new graduate sales team and a new sales leader starting soon who is highly experienced in mobile. Our revenues and profits are up. Revenue is now 77% of turnover, which is a great place for us to be.’
The London-based dealer purchased the UK and Ireland operations of Irish firm Datapoint for £3.5m last year, and Buxton said the takeover contributed to its steady results. The chief exec added that Maintel’s strategy over the last six months was integrating Datapoint, although if attractive acquisition propositions in mobile came up, Buxton told Mobile Maintel would be open to a possible move.
He added: ‘We are still in the market for acquisitions, although in the very short-term we will concentrate on finishing the integration of Datapoint. We are actively looking for acquisition possibilities, and if a good mobile proposition came up we’d be interested, although mobile is slightly overvalued at present.’
Buxton is ‘pleased’ with results that have ‘continuously grown’ for the past five years. In 2013 revenue increased by 10% to £31.1m, while profit before tax was boosted 5% to £5.23m. Dividends increased and are expected to grow over the next few years, while the company was awarded Avaya Technical Partner of the Year status for its development of cloud and hosted services.
Aside from the Datapoint purchase, Buxton said that good results were significantly aided by the margin increase from its mobile division.
Margins jumped from 54% to 63%, and the CEO said: ‘The margins for the mobile division were good because the cost of sale is quite low. We inherited quite a low-spending base and have since taken them out. Taking away 10% of our customers has made growth margins improve.’
Maintel originally got into mobile after its acquisition of a firm called Totality two years ago, giving the organisation a ‘suite of products across the spectrum’. Buxton said that Maintel had a good mix of customers and a base of around 2,700.
He said: ‘We have a base of over 2,000 customers, ranging from FTSE100 companies to smaller firms. Our sweet spot is the medium to larger companies that hold 50-500 connections rather than huge enterprise or smaller SOHOs, however the Datapoint acquisition gives us more scope to deal with larger organisations.’