The firm has also revealed an adjusted profit before tax of approximately £17m, compared to £19.6m in 2021.

The group said that its strong profit margins remain stable, with adjusted EBITDA and adjusted profit before tax at 36.7% (FY21 37.0%) and 16.8% (FY21: 17.5%) of revenue, respectively.

The group’s cash generation continues to be strong, with the year-end net debt expected to be approximately £43m (31 March 2021: £54.6m), reducing ahead of expectations. This represents a net debt to adjusted EBITDA ratio of 1.1 times.

iomart’s board is pleased that renewal levels have improved in the second half, meaning that recurring revenue, which is c. 93% of full-year group revenue, was more stable in the second half. While the inflationary pressures being experienced across the UK business market are being monitored and addressed.

Reece Donovan, CEO of iomart Group plc, commented: “I am pleased by the progress we have made during the year and reporting financial results in line with market expectations. We have launched a number of new solutions to the market, recently entered into an exciting alliance to accelerate our managed cyber security offering, reshaped the commercial team and invested in our customer service tools and resources.

“It is these steps, along with the ongoing execution of our strategic plan, which give us confidence that we will continue to be successful within the wider growing Cloud sector.”