Chairman Nikhil Patil says 2023 was a ‘pivotal’ year filled with ‘considerable change’ for BMIT

Nikhil Patil, Chairman at BMIT Technologies Group, has described 2023 as a transformative year for the company, marked by its acquisition of GO plc’s cell tower network.

He was addressing shareholders in BMIT’s Annual Report for the year ended 31st December 2023, released on Monday, in which it posted a pre-tax profit of €7.7 million, 8.2 per cent lower than that of 2022 (€8.3 million).

Revenue for the year amounted to €28.7 million, a sharp 11.2 per cent increase from the previous year (2022: €25.8 million), mainly due to record results in its data centre, cloud and managed services. Cost of sales and administrative expenses, including depreciation and amortisation charges, but excluding finance costs, increased by €3.5 million to €20.7 million (2022: €17.2 million).

BMIT’s total assets expanded significantly over the course of the year, going up from 2022’s €25.5 million to €80.7 million in 2023. The Board of Directors proceeded to recommend that at the forthcoming Annual General Meeting, the shareholders approve the payment of a net dividend of €0.02456 per share, amounting to a total net dividend of €5 million, paid by way of scrip.

Mr Patil, who was reappointed Chairman last January, having previously served in the role between 2019 and 2022, remarked that during 2023, the group experienced a “significant transformation.”

In 2023, it acquired the 278 sites that make up GO’s passive telecoms assets, necessary for the telecoms company to function, for a total figure of €46.6 million. BMIT is now responsible for maintaining the cell towers and providing GO with hosting and co-location services for an initial 30-year period. This milestone acquisition was the primary reason behind the growth in assets, together with BMIT’s increased investment. This is also expected to lead to increased revenues in the future.

“We live in a fast-paced world driven by technological change and an ever-fluid business landscape. As a business we face several challenges, and it is our ability to proactively address them that sets us apart. This commitment has been a key factor in presenting another positive financial year for BMIT Technologies,” Mr Patil said.

He remarked that the past year was pivotal for the group, as the acquisition of the cell towers from GO “ensures stable revenues and margins for BMIT in the foreseeable future,” while new business opportunities in this space are also being explored.

“Amidst this transformation, I am pleased to report that our core business continues to perform well, even though considerable challenges remain,” he stated.

Mr Patil affirmed that BMIT has recognised the importance of integrating sustainable practices into its business model and is pushing to minimise its environmental impact and to promote ethical business practices. “Responsible business practices not only benefit society, but also contribute to the overall resilience and longevity of our company,” he added.

He thanked the Board of Directors, the management team, and the group’s employees, before concluding with: “The year under review has been one of considerable change, positioning our company for sustained success in the evolving business landscape. I am confident in our ability to confront challenges head-on, leveraging our strengths and embracing opportunities as we continue to create long-term value for our shareholders.”

BMIT Technologies Group is made up of BMIT Technologies plc, BM IT Limited, BM Support Services Limited, and Bellnet Limited. It provides customers with data centre and hosting services, public, private and hybrid cloud services, as well as managed IT services. It falls within GO Group, of which Mr Patil is CEO.