Vianet makes first-half progress as it integrates Vendman

Technology-based data and business insight provider Vianet Group updated the market on its trading for the half-year ended 30 September on Tuesday, reporting that it was ahead of the same period last year with the growth in operating profit being in line with market expectations.

The AIM-traded firm said it intended to maintain its interim dividend at 1.7p per share.

It said its ‘Smart Machines; division delivered a “strong” year-on-year increase in the number of connected devices deployed.

Vianet said it had made “particularly good progress” with the integration of Vendman, with early-stage success in transforming around 200,000 Vendman mobile connections to higher value Smart Machines connections said to be validating its strategic approach and opening up “attractive” cross selling opportunities.

Helped by investment in pubco data analytics capability and its increased automation of transactional processes, Vianet said it ‘Smart Zones’ division’s first half contribution was satisfactory.

That performance was reportedly achieved despite delays due to pubco corporate activity and its managed compliance service being held back by the UK beer supply chain being adversely impacted by the Europe-wide shortage of carbon dioxide gas over the summer months.

“The team continues to make good commercial progress, particularly with our telemetry and payment solutions for the coffee vending market, where momentum is being boosted by good progress integrating the Vendman acquisition,” said chairman James Dickson.

“Vianet's medium to long term prospects are exciting as we are increasingly demonstrating that our strategy of leveraging the power of our cutting edge technology to bring game changing business insight to our customers is the right one.”

The company said it would release its results for the half-year ended 30 September on 4 December.