UK-based IT repair company CRC Group Plc has reported net profits up 99.5% at 1.2m pounds on revenue that rose 76.4% to 22.3m pounds. The figures were boosted by the acquisition last year of AIDL group, which specializes in mobile phone repair and replacement.
Repair of IT equipment has been a lowly regarded activity that has tended to be the preserve of small outfits. What CRC has realized is that by providing a pan-European service organization that actually manages the repair process it can appeal to major IT suppliers who want to outsource the warranty and repair business.
The European parliament will shortly give a boost to the whole business. It has legislation in its final stages that will force firms to offer a warranty service across Europe and not just in the country where the equipment was bought, and to extend the legal guarantee period to two years compared with one year at present. CRC has also extended its activities into a full range of after sales services including telephone help desk and dealer warranty verification.
