KCOM 2017 results – up on consumer but down on enterprise

KCOM’s 2017-2018 results look set to show business is up in consumer (4%) and down in enterprise (-3%).
The drop in enterprise revenues is a result of lower spending in the government sector the company claims, and two software contracts now exited and replaced.
KCOM says it has adopted a higher risk appetite for its enterprise business and that resulted in a loss against one customer contract of £5.3 million. The company says it has invested in management, key skills and partnerships in the enterprise sector and expects this to generate growth in the medium term. It is optimistic that the momentum behind cloud services will boost its business in this area.
KCOM’s chairman, Graham Holden, says: “We remain focused on capitalising on the growing trend for business applications moving to the cloud, our enterprise team’s greatest strength.”