Telent sees growth despite 'unusually challenging' year after CEO's death

Jo Gretton takes up CEO baton unexpectedly dropped with passing of Mark Plato last September

Telent has reported a five per cent rise in revenue in a financial year that saw its former chief executive Mark Plato suddenly pass away.

The network services giant posted revenues of £568.2m and saw operating profit rise 2.5 per cent to £32.2m for its year ending 31 March 2020.

However, despite seeing its topline increase across its services, chairman David Naylor-Leyland struck a sombre tone as he reported on the loss of long-term boss Plato and economic uncertainty in the UK.

Long-term CEO Plato died suddenly in early September. He had led the company since its inception in 2006.

"As CEO, Mark built a strong executive team and led the group through some difficult times into a period of great success, earning the respect of colleagues, customers and suppliers along the way," Naylor-Leyland wrote.

"To many people, he was more than an inspirational CEO, he was a friend and mentor, and his loss was keenly felt by all who knew him. Mark's legacy to Telent is his ethos of placing the wellbeing of our customers and employees at the forefront of every decision we make."

Last month, the services giant named Jo Gretton as Plato's successor. Gretton has been on Telent's senior executive team company its formation in 2006 and was head of its legal and commercial unit until being appointed as COO earlier this year.

She takes the reins as CEO from Frank McKay, who temporarily stepped into the role following Plato's death. He will resume his role as a non-executive director.

"Jo's appointment as chief executive officer is the realisation of a longstanding plan initiated by Mark Plato," wrote Naylor-Leyland.

"Her long experience with Telent and previously Marconi, coupled with her in-depth knowledge of Telent's business, provide a solid foundation for her taking on these new responsibilities. The board is confident that Jo will lead Telent to further success in delivering the excellent services on which its customers depend."

The chairman also noted that the "majority" of Telent's work has continued without interruption from the Covid-19 pandemic and it is confident that it will continue to trade profitably in the medium-term.

Despite this confidence, Naylor-Leyland warned that projected success is dependent on the ongoing pandemic and the health of the British economy as it faces renewed uncertainty over Brexit. Telent has recruited more people into "key" technical roles to mitigate any immediate impact from Brexit, he added.