Shares in Surrey-based IT supplier, Bytes Technology, experienced a significant jump, rising by as much as 15% in early London trading, fuelled by “high demand” for its software and artificial intelligence products.

The company announced that its gross invoiced income had surpassed £2bn for the first time in the 12 months leading up to the end of February, driven by increased customer spending. Bytes reported double-digit growth across its key financial metrics, including gross invoiced income, gross profit, and operating profit.

“These results demonstrate the positive trajectory of our business which benefits from an ever-evolving industry,” stated CEO Sam Mudd. “Our unwavering focus on great customer service drives expansion in our customer base and an increasing share of wallet from our existing customers.”

The firm is poised to capitalise on the growing emphasis on digitisation within the public sector. According to Bytes’ previous annual report, a substantial 62% of its invoiced income originated from public sector contracts, encompassing organisations such as the NHS and HMRC. This year, the company highlighted that its second-half profits were evenly distributed between corporate and public sector clients, contributing to a full-year growth of approximately 12%.

The company’s success comes as the government recently announced its ambition to save up to £45bn in public service expenditure through technological upskilling and the integration of AI for civil service outsourcing.

In a speech delivered last Thursday, Prime Minister Kier Starmer emphasised the need for digital transformation to “deliver for working people,” acknowledging that the state had expanded but weakened.

Image source: Bytes Technology – CEO, Sam Mudd