Vianet revenues recover strongly in H1

Vianet said interim turnover was up 55% at £6.3m, slightly above internal expectations as restrictions ran late into the period and its supply chain costs increased marginally.

The AIM-listed group added that whilst new device sales were "encouraging", recurring revenues from long-term customers also bounced back to around 90% of turnover.

Vianet stated that subject to no further lockdowns or restrictions on the hospitality sector and no deterioration of semi-conductor supply, it expects second-half cash generation to enable it to reinstate a dividend in July for the 2022 trading year.

Chairman James Dickson said: "Whilst Covid-19 and Brexit related challenges may endure for some time, our ongoing investment in product and people is creating real momentum, and I am confident that the group has the team and financial wherewithal to drive growth for a sustained period, as the demand for both data and contactless solutions grows.

"I am pleased to confirm that, subject to no further lockdowns or restrictions on the hospitality sector in H2, and a degree of relative stability in the semiconductor supply chain, we expect to reinstate a dividend in July for FY2022."

As of 1050 BST, Vianet shares were up 4.73% at 97.40p.