(Alliance News) - Restore PLC on Wednesday said 2022 performance was in line with expectations, as it enters 2023 with "positive momentum".
Restore shares were up 12% at 334.00 pence per share on Wednesday morning in London.
The Redhill, England-based document management and IT recycling business said its records management division saw net box growth of about 1.5%, up from 1.3% growth last year, as a result of increased activity levels and service contract wins.
The company said it achieved strong sales, including major contracts including a GBP22 million 10-year contract with BBC Heritage and a GBP1 million per year contract with the Department for Work and Pensions.
Restore said due to its growth, its property estate has been reconfigured in order to optimise its space usage, which has resulted in non-recurring property costs in the second half of 2022.
The company also noted that its digital division saw a strong performance driven by contact wins, as its Datashred product also delivered growth. Meanwhile, its technology division saw improved customer demand and efficiency in the fourth quarter, Restore said.
Five acquisitions were made across its technology, records management and Harrow Green divisions for a total of GBP12.4 million in 2022, the company said.
Restore said it has continued to see "substantial growth potential" in its strategies, and can improve margins through pricing and cost synergies.
"Restore delivered another year of revenue and profit growth and I am pleased how the whole team navigated the uncertainties of 2022 to finish in a strong position with major contract wins and excellent operational execution for customers, together with a robust financial position," Chief Executive Officer Charles Bligh said.
"Whilst the macro-economic outlook is uncertain, our markets remain attractive as our essential services are needed more than ever to help customers reduce their costs while delivering improvements in security and data management."
By Harvey Dorset, Alliance News reporter
Comments and questions to newsroom@alliancenews.com
Copyright 2023 Alliance News Ltd. All Rights Reserved.
Restore (RST)