Pennine is set to see revenues at its fast-growing Pennine Radio division breach the £4m barrier this year.
Sales at the specialist two-way radio operation grew by nearly 80 percent between 2015 and 2017, with trading for the first six months of 2018 some 25 percent ahead of last year.
Whilst significant growth has been secured for both radio sales and hire, it is Pennine’s managed services business which has benefited most from the sales surge.
Here revenues grew year-on-year (2016-17) by nearly 175 percent as clients increasingly took advantage of the flexibility and cashflow benefits offered by fixed-fee managed service contracts.
“We’ve seen a major shift in the market with managed services proving an increasingly popular option, much as hosted solutions have in the telecoms sector,” commented Pennine’s managing director, Andrew Roberts.
“Not everyone wants or is in a position to commit to capital investment for two-way radio projects. Managed services provide an excellent alternative, with clients able to benefit from knowing exactly what their operating expenditure will be over the term of their contract.”
He added that the division has also benefited from its acquisition last year of Bristol-based Co-Channel and Durham’s M Telecom this April. The Co-Channel operation, which acts as a regional technical and sales support hub, is currently delivering managed services at the EDF Energy’s massive Hinkley Point C site. It also counts fast-growing Bristol Airport among major clients.
Originally founded as a two-way radio specialist in 1976, Pennine remains one of if not the biggest players in the market. Offering independent consultancy services, the company provides access to a broad portfolio of two-way radio systems and accessories, including Hytera and Motorola equipment.
Its national client base spans from SMEs through to public sector, NHS, education, facilities management companies and the Nuclear Industry.