Trans-Tasman IT service provider Datacom Group Ltd has grown revenue by 6.3 per cent to NZ $937 million (A$920.5 million), with a number of major contract signings and projects driving the strong result.
Datacom New Zealand increase increased revenue year on year by 9.2 per cent, with major data centre and outsourcing projects for Fonterra and New Zealand Ministry of Business some of the highlights for the year. According to IDC, Datacom New Zealand is now the largest IT services provider (including business consultancy services) in the New Zealand market.
The Australian Systems business also increased its revenue by 6 per cent, with several new contract signings, including a five-year contract valued at A$242 million to supply ICT systems and support services to the Australian Government Department of Health.
The deal moved away from a traditional IT services outsourcing model to instead focus on an outcomes-based fully managed service, featuring consumption-based pricing and a strong focus on service delivery.
“This contract reflects the changing way these services are required to be delivered to customers and is a positive sign that our focus on developing highly flexible ‘As a Service’ models is the right direction for customers,” said Jonathan Ladd, CEO, Datacom Group.
Another notable highlight during the year was the delivery of the largest global production SAP migration to the Microsoft Azure Cloud platform for New Zealand-headquartered Zespri. Datacom was also the first Australasian partner to pass Amazon Web Services’ Managed Services Partner audit.
During the 14/15 year, the group positioned for further growth by investing $11.3 million in operational expenditure in programs of business enhancement and the evolution of new products and services, predominantly in Datacom’s intellectual property and vertical markets specialisation. The group has also grown its staff numbers 9 per cent to 4095.
This investment also encompasses programs of work to reinvent its IT service models, enhance automation and standardise repeatable IT processes to be able to provide flexible service delivery across hybrid cloud and on-premise environments.
“To continue to grow, Datacom is focused on leading the IT service evolution by delivering business-relevant outcomes to our customers in a highly flexible and rapid fashion,” Ladd said.
The company’s data centres, software development and integration practices, and Datacom Solutions business, which focused on delivering IT products and services to the payroll, local government, healthcare and education sectors in Australia and New Zealand, all delivered strong performance during the 14/15 year.
