Fast50 company SOCO reaches record revenue of $19.8m

Brisbane-based Microsoft partner and IT consultancy SOCO Corporation has posted preliminary unaudited financial year 2023 (FY23) results, reaching revenue of $19.8 million, growing 47.5 per cent over FY22.

The ASX-listed Fast50 firm, which specialises in cloud solutions, business applications, enterprise information management, support services and integration projects, said its revenue result is 7.1 per cent higher than the prospectus forecast of $18.5 million.

Its preliminary unaudited earnings before interest and taxes (EBIT) was $3.4 million, which is a growth of 34.2 per cent from the previous FY.

SOCO also shared its preliminary unaudited statutory FY23 net profit after tax (NPAT) which was $1.5M, up 3.4 per cent from the prospectus forecast.

The company also said it has a strong cash balance of $6.4 million, and reaffirms its dividend policy as stated in its initial public offering prospectus.

During the second half of FY23, SOCO’s client base expanded in-line with its expectations, including four new state government clients along with 3 new federal government organisations.

SOCO has now started expanding its offering to include AI consulting, as Microsoft’s AI offering, Copilot is currently in beta testing.

“Our expanded service offerings in the areas of Azure AI and information security have been extremely well received by our government clients," the company’s chief executive Simon Forth said.

We expect our corporate sector clients will also take advantage of our wider range of services," Forth said.

SOCO expects to announce its FY23 full year audited results to the market on August 24, 2023.

Capitalising on its success in FY23, SOCO said they will look for opportunities to expand in Melbourne, Sydney, and Perth.

It will also continue exploring merger and acquisition opportunities.

The company shared that its sales pipeline is strong across all categories, especially in government.

In April, SOCO was named a winner at the International Association of Microsoft Channel Partners awards.