Major contract renewals with accounts such as Talk Talk and Ladbrokes, both of which went to competitive public tender, were cited for the company's steady financials with sales up £500,000 to £62.5m on 2010.

BMC, part of the group's Business Critical Services division, contributed more than a third (£62.5m) to the £193.5m revenues made by Office2office in its last financial year. Adjusted EBITDA for the division was £6.6m, up from £5.4m in 2010.

Burke said the renewal of the two major contracts, both on "sustainable margins", were complemented by the addition of new business, including a five-year £7.5m contract with Hastings Direct Insurance.

She said: "The year was a difficult one for the group as a whole, but a strong 12 months for BMC. We will see marked improvements across the group in 2012 when certain contracts start to kick in."

Burke added that the retention of several large contracts and the addition of new business can be attributed to "the strong emphasis we continue to place on customer service".

"Customers are still looking to make savings but not at the cost of effective communications and marketing. I believe that clients value the pro-active approach we take to offering new services and products," Burke added.

Underlying pre-tax profit for Office2office was £8.4m, down from £11.2m in 2010; non-recurring costs of £2.4m, largely arising from redundancy costs, improved from £5.3m the year prior.

Group operating profit was £5.8m (2010: £5.6m), while pre-tax profit fell slightly to £4.3m (2010: £4.6m). Net profit was static at £4.3m following an income tax credit of £22,000 versus a tax expense of £336,000 last year.

Meanwhile, the group was forced to take a £50,000 hit in its restated 2010 results, which had to be adjusted as a result of having overvalued contracts of the former TPF print management arm Office2office acquired out of administration in February 2010.

The value attributed to customer relationships for the accounts to 31 December 2010 was therefore written down by £1.1m, while a deferred income tax liability was also reduced by just over £1m.

Office2office chairman David Callear said that while the economic environment remains challenging, 2012 has started in-line with expectations.

"While we expect the economic environment to remain challenging, we believe this will be mitigated by extracting value from our mainly contracted customer base, maintaining margins and tightly controlling costs while, at the same time, focusing on cash generation," he added.

Last month BMC boosted its cross-channel media production capability with the acquisition of the trade name and certain assets of integrated production agency Adversion.