Published on: May 20, 2021

On track Q1 performance

Gamma’s AGM trading update confirms the continued momentum in the business during Q1 2021E as the group sees its mix of acquired and organic growth bear fruit with additions of key products ‘in line with historical levels’. The announcement states that revenue, adjusted EBITDA and adjusted EPS for FY 2021E are expected to be at the higher end of the current range of market forecasts. With our estimates for the latter two metrics roughly in mid-range, we leave our numbers unchanged while noting the upside risk which is building. Gamma continues to exhibit its resilience in the current operating environment as its bad debts remain at low levels, and it retains a range of growth opportunities in both the UK and European unified communications (UCaaS) markets. We look forward to further positive updates and await more news on Gamma’s new products across its business segments during the Capital Markets Day event scheduled for 10 June 2021.