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Posted (edited)
we're expecting an announcement at the end of the month, there is strong rumour that the deal has gone through. I would like to think that they would keep the Viglen brand & staff as we have such a good rapport with our customers but who knows! I'm going to be careful what i say as i dont want to get myself into trouble. It may be just rumour but noone at VHQ is getting any clarification at the moment. Edited by mmm_cake
  • 1 month later...
Posted

Let's look at thes numbers, from the article;

 

In the year to 30 September 2007 – Viglen’s latest audited accounts – revenues dropped nearly 11% to £45.6m, and profits dived 97.2% to £117,276. The firm blamed this on the loss of a contract in Northern Ireland and on the management team’s focus on the relocation of the business.

 

In the 12 months to 31 December 2007, Stone revenues grew nearly 43% to £52.8m as profit after tax rose from £2.04m in the year before period to £3.07m. These results included an £11m contribution from the acquisition of Compusys.

 

so viglen take 45.6m in revenue but a mere £117,276 in profit. Based on those drops the previous years figures wouldn't look that much better....just over 50m in revenue and just over £200k in profit.

 

stone meanwhile pre the 43% increase in revenue would have brought in over nearly £30m in revenue and £2.04m in profit for the previous year.

 

Firstly, why were viglen making such piddling little profits compared to a company like stone and more importantly i think stone's priority had the merge/acquisition gone ahead would have been to improve on those viglen profits over time because they would get a huge jump in revenues from the combined group, plus lot's of key viglen customers etc.

 

Also, the article seems to assume the benefits of a stone-viglen merger would be in the size of the enlarged business as a 'pc maker'. Professional services is where the money is....that's how you bump up those profits is my guess.

Posted

You are right, professional servcies appears to be the nirvana for any technology provider but hardware has always been seen as a good door opener...

 

This may be changing but there are a number of suppliers that have dismissed hardware and years later tried to rebuild a product business, you only need to look at Morse and Fujitus Servcies as examples.

 

Does RM still make its own kit? I heard they pretty much lead with branded vendors such as Dell or HP?

Posted
Does RM still make its own kit? I heard they pretty much lead with branded vendors such as Dell or HP?

 

I'm pretty sure they are mainly integrating thier own systems still, they would have made quite a large investment in tooling with regards to the RM One.

Posted
Million times better than RM imo :)

 

when I comes to cost, Viglen always win, pluss I have found the support is a loads better.

 

We are totally RM here atm including some wonderful ancient machines with 20 - 30 min from cold logons :(

 

I long for a dell or something without RM tagged on the front!

Posted

It certainly makes it more plentiful, with a managed solution you’re tied to that supplier, often having to pay for extras etc

 

It's much easier to recruit staff with generic MS Windows 2003 knowledge than Viglen Classlink experience for example.

 

Our last version of Classlink was really just a web front end to Active Directory....

 

It may have moved on some since then of course

 

I'm not saying plain vanilla is for everyone as if you don't have any in-house skills you will be a little swamped.....

 

 

Steve

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