Datalink Sees Strong Sales Growth, Plans to Move HQ

The Pioneer Press reported that the company is enjoying a huge growth spurt this year and that it plans to move its headquarters to Eden Prairie in April to accommodate the growth.

Chanhassen-based Datalink Corporation-which designs, installs and supports data centers for mid-size to large companies-is enjoying a huge growth spurt this year, according to the Pioneer Press.

Revenue for the first half of the year reportedly grew 25 percent to $175 million, and the company is on track to hit $350 million in revenue by the end of this year, up from $294 million last year.

The company is reportedly planning to move its headquarters to Eden Prairie to accommodate the growth. CEO Paul Lidsky told the Pioneer Press that while the new leased offices will have about the same total square footage as the company's current headquarters in Chanhassen, a lot more of the space will be functional, giving the company's employees the elbow room they need to continue to grow the company.

Lidsky, who became CEO two years ago, added that the new office-to be located in the tech-centric Golden Triangle Business Center-will be closer to some customers. Additionally, Datalink will receive signage from the building owners that will be visible from Interstate 494.

While some of Datalink's growth is from recent acquisitions, the company's fortunes are also rising on several trends, according to Lidsky. These include an expansion of Datalink's data storage focus to include networking and servers, several customers' movement toward cloud computing, and large companies starting to pay more attention to growing their data centers.

Datalink's customers include Maplewood-based 3M, Fridley-based Medtronic, Eden Prairie-based C.H. Robinson, and the Rochester-based Mayo Clinic. Datalink is among Minnesota's 80-largest public companies based on revenue.

To read more in the Pioneer Press about the trends contributing to the company's growth and an industry analyst's take on these trends, click here.