Julien Eichinger - stock.adobe.c

Computacenter ahead of expectations for 2018

The channel player has updated investors with a trading statement indicating that it exceeded its own expectations in the last fiscal year

Computacenter has given investors some cheer with a trading statement outlining a strong performance that puts the channel player ahead of expectations for 2018.

The firm consistently signalled throughout last year that trading was going well, and has issued a pre-close update confirming that its fiscal year ended on a high.

Some of that was helped by the performance of the two businesses it acquired last year, with the US purchase performing above expectations and helping contribute revenue in excess of £220m in the fourth quarter.

Computacenter splashed out $70m on San Francisco-based professional services player FusionStorm in October 2018. That deal came just a month after it had snapped up Misco’s operations in the Netherlands.

In the UK, Computacenter saw revenues rise by over 10% overall, with technology sourcing revenue up by 17% but services down by 5%.

Germany was strong, delivering 9% growth, with both the services and technology sourcing sides of the business improving year on year, by 6% and 11% respectively.

France cast a shadow, however, with a 3% decline for the year, with services and sourcing revenues dropping by 5% and 3%.

The firm indicated that although it was going to be tough to beat last year’s performance, it was optimistic about the year ahead and the prospects for further growth.

“We believe that we will again show financial progress during 2019. The first-half performance in 2018 will create a challenging comparison, but positive market momentum, driven by our customers’ appetite to invest in digital technology to enhance their business, gives the board confidence in the future. We will also see a full-year contribution from the acquisitions we made in the second half of the year,” the firm stated.

Read more on Finance and Credit