Feeds

Computacenter sales down on PC slump

Profits hold steady-ish

  • alert
  • submit to reddit

Slumping product sales were to blame for a big drop in half year sales at Computacenter, the UK's biggest reseller produced group revenues £975m for the six months to June 30 (2001: £1,173.7m). It notes a 20 per cent fall in product sales during the period.

But improved margins on the back of better service revenues contained the fall in profits before to tax to £24.3m (£29.3m). Net income was £16.24m, down 18 per cent on 2001 (19.8m)

Computacenter generated £25m of cash during H1 (2001 £56m), closing the half year with a net cash position of £66.3m. Also it notes a "strong improvement" over the second half of 2001, with sales up 6 per cent and profit up 32 per cent.

Computacenter France saw revenues rise to £140.1m (2001: £117.1m), probably reflecting the first contribution of GECITS France, acquired during the period. Operating profit was a measly £0.2m (2001 £2.1m), which means that the business is almost certainly making an net loss. France's performance represnets a softening in market conditions, Computacenter says.

The reseller is calling the bottom of the market - it is "highly unlikely" that conditions will get worse. However, it does not detect an uptick yet. It is forecasting full year profits at a similar level of last year's £51.1m. ®

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.