Redcentric says full year trading in line

AIM-listed IT managed services provider Redcentric said on Friday that trading in the year to the end of March was in line with the board's expectations.

The company said it had experienced good sales momentum in the year, with a number of key contract wins and renewals in both the public and private sectors. Net debt as at 31 March 2017 was £39.5m, which marked an improvement over the previously-reported average net debt position to 30 November 2016 of £42m, despite the significant exceptional items related to the forensic review.

Redcentric said its lending banks have remained supportive over recent months and amended debt facilities are now in place. Waivers in relation to historic covenant breaches have been secured such that the company is fully compliant with its facilities, it said.

In addition, good progress has been made with regard to the remedial programme outlined at the interim results in December.

"The finance team has been further strengthened and a number of improvements made to internal systems and controls."

At 0910 BST, the shares were up 3.7% to 90.50p.