LONDON (SHARECAST) - Computer security and software escrow firm NCC said group revenues in the first four moths of the financial year rose seven per cent from the same time last year as it continues with legal advice over its failed IT system project.
Revenues at the Manchester-based firm rose to £29.6m from £27.5m in September 2011 while group escrow saw organic revenue rise 3% in the four-month period.
NCC said group escrow renewals are now forecast to be £17.9m for the current financial year. The Assurance division saw a 10% increase in revenue, helped by an increase in operational response, managed services and forensics.
Chief Executive Rob Cotton commented: "We have continued to trade well, in our traditionally quietest quarter and are on course to deliver strong levels of growth and profitability, in line with our expectations for the financial year to May 31st 2013."
Revenues in North America, where it recently acquired Matasano and Intrepidus, increased 6%.
"The two acquisitions completed during the summer in New York have further widened and strengthened our US information security capability. With our Escrow business showing solid growth and the continued strong demand for all aspects of information security, we remain well positioned to maintain our long term, sustained growth," Cotton noted.
The group, which has a revolving credit facility of £35m and an additional £5m overdraft, said net debt rose to £31.7m from £26.7m in October 2011.
NCC added that discussions continue with the system providers and lawyers over the failed IT system project, which cost the firm £6.9m. The group said it is following contractual steps before commencing legal action.