Zonal Retail Data Systems saw its turnover grow 14.2% to reach £41.3m in what it called a “truly transformational year” to 30 June 2013, during which it secured contracts with major operators including Mitchells & Butlers.

Pre-tax profits fell from £986,388 to £158,667 during the year, in which it spent in excess of £4m on research and development. “This has enabled us to deliver a market-leading, innovative and broad product range that supports our continuing journey of supplying the hospitality industry with products that positively affect our customers’ businesses.” Gross profit increased 9.3% to £16.1m.

The company said: “The year ending June 2013 was a truly transformational year for the business with yet another significant increase in our turnover, passing the £40m threshold.

“Again this year we have heavily invested in all areas of the business, further strengthening our senior management team with several key experienced, high-quality people to drive our business to new levels of sophistication, efficiency and quality. People are our greatest asset at Zonal and money spent on training and people development is crucial to our continued success and we invest appropriately in this core area.”

The group said it has won “many new contracts in different sectors of the hospitality industry”, including regional brewers, small and medium pub companies, restaurant chains, theatres and bowling alleys, as well as M&B.

“Our market share in all of the sectors we operate in has increased and the board of Zonal is delighted in the progress made.

“Our order book and sales pipeline are stronger than ever and as we move into our thirty fifth year as a company, we are in a strong position to make the most of the opportunities that we are confident will materialise for our business.

“The board is not afraid to commit to long term projects and this year shows how determined we are to invest significant capital in projects that will in future years deliver a strong return for the company. Out acquisition of [digital marketing company] TXD adds a different dimension to our company, complements our consumer engagement toolset and firmly places us at the forefront of the digital age.

“The future is bright for Zonal and we will continue our policy of investment in products and people for longer term growth, confident that this will sustain our journey of continual improvement and success.”

Regarding the performance since the FY end, Zonal managing director Stuart McLean told M&C Report: “We’re still going well, we’re still producing market leading products and winning new business.”