Half-year sales at Liverpool-headquartered IT managed services and cloud hosting provider SysGroup have fallen because of the continued impact of the Covid-19 pandemic.
The listed group, which also has a base in Manchester, has revealed it expects to report revenues of £7.58m for the six months to the end of September 2021, down from £9.01m.
In a statement to the London Stock Exchange, the group said its customers have continued to defer and curtail expenditure decisions as a result of the pandemic and its sales teams have "continued to face restrictions in their ability to have in-person interactions with customers and prospects to develop the sales pipeline".
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However, the firm said that operationally, "performance has been robust" and that it "continues to benefit from lower overheads as a result of integration synergies delivered from past acquisitions and the group has diligently managed its operations whilst continuing to invest as required in the business".
SysGroup added that it expects its adjusted EBITDA to be £1.34m, down from £1.41m, for the first half which is in line with management's expectations.
Chief executive Adam Binks said: "Whilst the economic uncertainty of last year has continued through H1 and has affected customer decision making, I am pleased to report that our adjusted EBITDA performance is in line with our expectations.
"Our team's dedication to delivering for our customers has been excellent and I thank them for their hard work during the first half of the year.
"The long-term outlook for our business and market remains very positive and we are continuing to see an increasing number of companies seeking to move towards cloud rather than on-premise solutions.
"We expect IT projects and investment decisions, as a business critical agenda item, to recover strongly once there is more certainty around the economic environment and the on-going impact of Covid-19.
"The board remains confident that adjusted EBITDA for the current financial year will be in line with its expectations."
