Feeds

AIT Group back from the brink

CRM pureplay makes strong comeback

  • alert
  • submit to reddit

Protecting against web application threats using SSL

CRM pureplay AIT Group is making a strong comeback after its near-death experience during the latter part of 2002. With interim results showing a 19 per cent increase in revenue, it now looks like AIT could have a chance at future success.

For the six months ending September 30, 2003, customer interaction software vendor AIT's revenue rose to £10 million producing a profit of £1 million, compared to a loss of £37.8 million on revenue of £8.4 million during the corresponding period last year.

Having over-extended itself last year, AIT needed an emergency injection of cash from one of its original founders plus two other directors, and underwent a complete management change, reorganization and rationalization program. It slashed operating costs from £22.8 million to £9.5 million. It also raised GBP5 million of funding through the issue of convertible loan notes, which have now been converted into ordinary shares.

Although it is not complete, AIT's turnaround has been impressive - something that could not have been predicted with any certainty this time last year. It has achieved this by reverting to its original proven business plan of focusing tightly on the vertical industries it knows such as retail financial services, plus controlled expansion into complementary segments.

Its expertise lies in providing process and customer-interaction management capability to organizations with large numbers of customers and transactions plus complex products or services. These include retail banks, telcos, utilities and more recently the emergency services.

During the worst of its troubles, throughout the period May to October 2002, customers largely refrained from buying from AIT, and the company did not secure new customers. However, once refinancing and new management was in place, the interim figures show that they have resumed spending, indicating their faith not only in the product but also in AIT's management team. The team includes Nick Randall, who was instrumental in putting AIT into its original position of strength.

A clear candidate for acquisition a year ago, AIT's vertical market focus and deep expertise gives it a fighting chance for success in something like its current form.

Source: Computerwire/Datamonitor

Related Research
The CRM Outlook
Operational CRM 2003: Identifying Niche Opportunities in a Challenging Market

Choosing a cloud hosting partner with confidence

More from The Register

next story
Wanna keep your data for 1,000 YEARS? No? Hard luck, HDS wants you to anyway
Combine Blu-ray and M-DISC and you get this monster
US boffins demo 'twisted radio' mux
OAM takes wireless signals to 32 Gbps
Google+ GOING, GOING ... ? Newbie Gmailers no longer forced into mandatory ID slurp
Mountain View distances itself from lame 'network thingy'
Apple flops out 2FA for iCloud in bid to stop future nude selfie leaks
Millions of 4chan users howl with laughter as Cupertino slams stable door
Students playing with impressive racks? Yes, it's cluster comp time
The most comprehensive coverage the world has ever seen. Ever
Run little spreadsheet, run! IBM's Watson is coming to gobble you up
Big Blue's big super's big appetite for big data in big clouds for big analytics
Seagate's triple-headed Cerberus could SAVE the DISK WORLD
... and possibly bring us even more HAMR time. Yay!
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.