Computacenter meets 2002 profit target

Flat sales

ComputerWire logo Computacenter Plc has met its profitability targets for full year 2002 after experiencing a flattening out of demand in the last quarter of the year.

Hatfield, UK-based Computacenter said its operating profit for the year ended December 31, 2002 would be no lower than £51.1m ($79.2m), effectively flat on the previous year, and in line with its previous statement made last November. It said: "Trading for the year has ended satisfactorily, and we expect to report profits not less than this figure."

Computacenter continues to experience strong demand for its managed services and professional services offerings, which are continuing to offset the sluggish demand within its core hardware reselling activities.

It has been aggressively growing its business acting as one of the main consolidators in the European reseller sector. In late November, the company paid £121m ($187.5m) to acquire Germany's largest computer reseller GE CompuNet from GE Capital IT Solutions (GECITS), adding to its purchase of UK and French reseller operations of GECITS in October 2001 for £2m($3m). GE CompuNet will establish Computacenter as the largest reseller in Europe, with additional revenue of €1.24bn ($1.92bn), of which 25 per cent comes from IT services.

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