UTAX (UK) posts results that show a double-digit increase in turnover for the sixth year running
A focus on reinvestment and dealer growth has resulted in a 10.2 per cent increase in turnover for UTAX (UK). FY2015-16 is the
sixth year in a row that the company, one of the UK’s fastest growing dealer networks, has posted a double-digit increase. Last year’s turnover of £13.7 million represented a 17.6 per cent increase on 2014, when the firm recorded an annual turnover of £11.6 million, an 18.4 per cent increase on the 2013 results.
Employee numbers have also increased in line with business growth, five years ago headcount was just 22 and today UTAX employs 57 people. Recent new recruits include Kevin Budd and Steve Hickson who filled two newly created Business Development Manager roles, and other appointments made this year centred on the technical and direct service departments, were designed to maintain UTAX‘s high customer satisfaction levels.
In addition to turnover and headcount increases, UTAX also signed up over 60 new UTAX partner accounts during the last year – an increase of some 20 per cent.
Managing Director, Shaun Wilkinson who joined UTAX ten years ago attributes the consistent success to a strategy that ensures continued focus on reinvestment and dealer growth. He also believes that UTAX’s sales underline his view that UTAX is steadily increasing market share in every sector.
Increased market share
As an example, he cites the fact that UTAX’s internal market analysis has shown that the cross-market sales of mono A3 MFPs have effectively shrunk by almost 30 per cent over the last three years. “Conversely however, our sales in this sector are up by 35 per cent, which suggests an awareness of the reliability and speed of our models,” he said.
“It’s a similar story in the mono A4 MFP market,” he continued. “Here, according to our internal data, we are confident that we have outperformed the overall market growth of some 20 per cent with our improved sales performance of just over 30 per cent.”
Wilkinson admitted that the the mono A4 printer sales picture is less clear. “But unlike many of our competitors we’ve seen around 70 per cent increase in volume sales over the last three years,” he pointed out.
In line with the market, UTAX colour MFPs are continuing to take a strong foothold in both the A4 and A3 sectors.
“Every year we are seeing a significant increase in our market share,” Wilkinson said. According to our own data, the A3 market overall has increased by just over 30 per cent but our own overall sales have improved by nearly 200 per cent over the same period.”
Reinvesting for growth
Commenting on the results, Financial Controller, Kevin Good said: “The consistent results that we generate are testament to the reinvestment we continue to make in providing a complete portfolio of solutions for both our partners and their customers.”
He added: “Managed Print Services, bespoke software packages for both complex and SME networks and all with a focus on security and after sales care, lie at the heart of the results.”
Wilkinson insists that the commitment of UTAX’s partners is key to its success. “Thanks to the commitment of our UKwide team and the support of our partners, we’ve had another successful year which has also been helped by a significant increase in A3 colour sales which has contributed to many of our partners’ business growth.”
UTAX is committed to supporting its partners with technical, marketing and service support. This year, with its product range growing rapidly in response to customers’ needs, the company initiated a programme aimed at giving the UTAX dealer channel the widest possible access to product knowledge and training.
And, at the end of last year a group of partners were invited to visit the new Vietnamese manufacturing plant where they could see for themselves the expertise, diligence and care that goes into making each UTAX model so reliable.
“Access to convenient showrooms is also useful and earlier this year to support the growing network of UTAX Partners in London and the South-East, we opened our new London Technology Suite in Wembley,” Wilkinson said.
“There’s no reason, given the success, that we’ll change our approach. If anything, we’ll do even more to strengthen our position in the dealer channel and, in the process, take the support and assistance we offer dealers to even greater heights,” he concluded.