Compel Group Plc has continued to find success with its strategy of concentrating solely on supplying UK blue-chip and public sector customers with client-server systems, networks, personal computers and workstations. The Welwyn Garden City, UK company turned in a 21% rise in pre-tax profits to 3.2m British pounds on revenue that climbed 22% to 85.6m pounds, which was broadly in line with its expectations. Compel moved into new premises in Welwyn Garden City midway through the year. The new location replaced existing sites in Welwyn and Hatfield and the company more than doubled its floor space to 66,000 square feet. Trading throughout the year went soundly on all fronts, and chairman Neville Davis said he was looking for no thing more exciting than a similar performance this year. The company has managed to establish itself in the blue chip market in the UK and said it has no aspirations further afield. Several major contracts were signed during the period, but the group shied away from revealing specific names or market sectors for fear of offending clients. But while Compel may not be looking for different places to sell computers, during the year the company has extended its range of services. It now has over 100 of its 320 staff working on customer sites in a help-desk capacity, and Davis said it is this type of facilities agreement that will enable it to continue to turn in a growth in profits. Cash balances stood at 3.9m pounds at the year-end, up 7 7% from last time, but there has not been a conscious attempt to build up cash reserves for any ulterior motive, assured Davis. When there’s still plenty of potential for growth in our core business, why look elsewhere, he reasoned. A final dividend of 3.11 pence has been recommended, which brings the total to 4.65 pence for the year, up 8% on last time.
