UXC flags channel model

UXC flags channel model

Services integrator, UXC, has hinted future growth could involve adding resellers into its business model. The news comes on the back of the company's record half-year profit of $6.8 million for the year ending December 2005.

The profit was recorded on revenues of $133 million - a rise of 16 per cent on the previous year.

CEO of UXC's Business Solutions Group, Cris Nicolli, said the strong figures were a reflection on several areas of the business including storage and VoIP. Business solutions - which grew 28 per cent during the year - was a star performer.

UXC was well placed to record an internal revenue target of $280 million for the full financial year, Nicolli said. The $6 million contract it scored in December with the Department of Finance and Administration, for example, wasn't factored into the $133 million half-yearly figure.

Although UXC currently delivered solutions direct to customers, Nicolli said it was examining a channel model as a way of achieving future growth.

"We are looking at how we can franchise our offerings through resellers but that market is quite complex and we need to take our time to make sure we do it well," he said. "We are in the very early stages of looking at the channel as another avenue to market."

Nicolli said the move to incorporate resellers would reduce costs and enable UXC to enter new markets without necessarily growing headcount.

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