Feeds

Datrontech issues profit warning as share prices fall

Is it a buy, buy, buy again?

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

Distributor Datrontech has issued its second profits warning in 15 months, blaming a sluggish performance from the PC assembler market in the UK. Now the group financial director Gerry Connolly is leaving Datrontech with a £115,000 pay-off following the profits warning. Datrontech now expects pre-tax profits of £2.6 million for the six months to 30 June, down from £3.2 million, and profits for 1998 as a whole to be down from £6 million to £5.2 million. The profits warning - which follows similar warnings from other rival distributors including Ilion - drove Datrontech shares down 23p to 60p on the UK stock market yesterday. Chief executive Mark Mulford said that the profits warning came after component sales this summer to UK assemblers were slower than expected. He said that the reason for the slow-down was unclear, but followed overstocking in the channel in Q2. The slow-down meant that the component distributor had to decide whether to try and keep margins up, or to lower prices to try and kick-start the market. Mulford said that Datrontech was trying to maintain margin on components. Ideal Hardware shares also fell 25p to 247.5p.

Secure remote control for conventional and virtual desktops

More from The Register

next story
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.