However, the company expects to post a half-year loss due to a decline in its traditional business and a strategic shift towards different services.

In a trading update for the six months ending 30 September 2025, the Glasgow-based company announced that group revenue reached approximately £77.7 million, up from £62.0m in the previous year. This growth includes a £21.7m contribution from the Atech business, which was acquired in October 2024.

Excluding the impact of acquisitions, iomart’s traditional business saw revenue fall by around £6m. The company attributed this to the impact of customer churn from the prior year. Despite this, order bookings have remained robust and customer renewal rates have improved, leading to positive net order bookings.

This shift in business performance resulted in an adjusted EBITDA of approximately £12.7m, down from £17.0m. The company is now forecasting an adjusted loss before tax of around £2.3m, a significant reversal from the £4.3m adjusted profit recorded in the same period last year. The loss reflects the lower earnings, alongside a £2.0m increase in interest expenses related to funding the Atech acquisition.

iomart highlighted a successful strategic pivot towards Microsoft-connected activities, which now account for 30% of group revenue, a substantial increase from just 7% two years ago. The company has also achieved £4m in annualised cost efficiency improvements, which are expected to benefit future performance.

Looking ahead, the board anticipates an improved performance in the second half of the year, supported by positive order bookings, reduced churn, and the full impact of cost reductions. The company’s half-year results are scheduled for release on 26 November 2025.