Voxpro profits hit €3m as it plots rapid expansion
Voxpro, the Cork-based outsourcing company, saw its underlying profits soar by 168pc in 2015 to just over €3m.
Turnover at the group, owned by husband-and-wife team Dan and Linda Kiely, jumped from €19m to €33m according to newly filed accounts.
Pre-tax profits were €1.8m while earnings before interest, taxes, depreciation, and amortisation (Ebitda) were €3m, up from €1.1m and giving the business an Ebitda margin of close to 10pc.
The company has grown significantly since then and is to create 400 new jobs after opening its new office in Dublin's docklands late last year.
The new jobs, a mixture of engineering and customer service roles, will bring the company's total headcount in Ireland to more than 2,000 and to more than 3,000 globally.
Some market sources believe the company may be a takeover target and Dan Kiely recently signalled he would be open to a private equity investor.
The accounts state: "Business growth continues to put pressure on current cash flows.
"The board plans to review its funding structure to introduce longer-term funding to the business to enable it to realise future strategy."
The threefold increase in Ebitda was attributed to a significant growth in turnover "allied to the close monitoring of its cost base".
Kiely said last year that he had changed his mind about a long-held plan to file for an IPO. The Voxpro co-founder had originally planned to float the tech outsourcing company as soon as it made €100m in annual revenue.
"I've revised my thinking on all of that," said the entrepreneur. "We're going to hit the €100m mark sooner rather than later. In my view, we need to be a much bigger company before we consider the IPO route now."
The company had targeted a doubling in revenue in 2016.
Voxpro has also strengthened its board with the appointment last year of Louise Phelan, Paypal's vice-president of global operations for EMEA, and Aidan O'Shea, Voxpro's managing director, as directors of the group.
Last April, the company said it would expand into the US where it aims to create 500 jobs. It has also signalled that it make look to expansion in Asia in future.
Voxpro, which was established in 2002 has built up an impressive client list.
Clients include Google, Nest, and Airbnb. It also services the €8bn online payments firm, Stripe, started by Limerick brothers Patrick and John Collison.
In December 2015, the company employed 1,114 people. Staff costs were €23.2m, suggesting an average salary of just over €21,000.
Sunday Indo Business