Europe's largest networking reseller Dimension Data reported an
overall loss of $1.2bn (£845m) for its 2001 financial year, after
exceptional items and write-downs were taken into account.
The reseller, which has cash revenues of £650m, reported an
operating profit of £96.7m for the period and turnover of £1,735m -
a 24% increase on the same period last year.
Jeremy Ord, Dimension Data's executive chairman, said 9% of the
growth in turnover came from continuing operations. The remainder
is the result of acquisitions.
Dimension Data's recent acquisitions in the US include Proxicom,
TimeBridge, Premier and Matrix, together with several other
businesses.
Ord warned that IT spending was unlikely to improve significantly
in the current financial year, and that the prospects for future
demand looked poor.
However, the company's cost-cutting measures - which included
reducing its staff by 14% - had left Dimension Data "well placed
strategically, financially and structurally to take advantage of
the resumption in economic growth and IT expenditures", Ord said.