Articles about Operating Profit

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BT sees 35% sales gain as it digests hearty EE meal

Sales jumped by 35 per cent for BT's first quarter to £5.7bn, with profit before tax up 16 per cent to £802m - mainly due to its £12.5bn slurp of EE. The mobile operator contributed £1.2bn for the quarter and £84m in operating profit. Elsewhere other parts of the biz were lacklustre. Its Wholesale biz fell 10 per cent to £ …
Kat Hall, 28 Jul 2016

Official: AMD now stands for Avoiding Miserable Death

AMD fans are over the moon today as their favorite processor designer has sold more chips than expected in the three months to June 25. The Sunnyvale, California, biz beat analysts' estimates on revenue and earnings per share in a billion-dollar quarter that ended in the black rather than the usual red: the Radeon maker banked …
Chris Williams, 21 Jul 2016

The cloud ain't making it rain for Intel right now: Tech giants pause server chip sales

Analysis Intel's stock price fell on Wednesday after it became clear the processor maker is not selling quite as many server processor chips as investors had hoped. The Silicon Valley giant reckons its CPU sales into data centers will hit double-digit growth by the end of the year. So far, with half the year gone, we're staring at mid- …
Chris Williams, 21 Jul 2016
 Good GCSEs should cost parents a Jesus-phone

RM: School spending on tech is soft, soggy and downright subdued

School spending on tech remains “subdued”, according to specialist education supplier RM at the half-way stage of its fiscal year 2016, ended 31 May. Revenue slid 3.8 per cent year-on-year to £76.8m, but excluding the disposal of SpaceKraft, which made sensory learning devices for children with special needs, sales fell 1.4 …
Paul Kunert, 04 Jul 2016
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Intrinsic: We have no CEO. Otherwise everything is tickety-boo

Cisco Gold partner Intrinsic Technology has confirmed it is CEO-less - which Reg readers already knew - but that all is OK, everything is working out as planned. Honestly. As revealed by us this week, the Merseyside-based reseller has burned through four leaders in five years with the latest departure – Mark Bates – having …
Paul Kunert, 23 Jun 2016
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Count 'em and weep: Intrinsic looking for fifth CEO in five years

The high office revolving doors at Intrinsic Technology are clearly still swinging - the company is on the hunt for its fifth CEO in five years after attempts to find a buyer ended unsuccessfully. Top dog Mark Bates has left the organisation after two years in charge and been replaced on an acting basis by non-exec chairman …
Paul Kunert, 21 Jun 2016

SCC blows up tech sevices balloon, fiscal '16 profits swell

‘Thank god for our IT services biz’ might be the general sentiment expressed by top brass at SCC after another year when the shelf life for firms reselling hardware and software got a little shorter. Services might not be coming good for all IT vendors - for that see the gloom at some of the majors - but they accounted for the …
Paul Kunert, 06 Jun 2016

Microsoft's biggest UK reseller flashes fuller figures for '15

Microsoft licensing mountain Trustmarque won’t have done its chances of snaring a new private equity backer any harm by pushing out a decent set of trading figures for calendar year 2015. The York-based reseller, which merged with sister biz TES at the start of last year, reported turnover of £191.9m, up eight per cent on a …
Paul Kunert, 06 Jun 2016
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Go Comparex: Microsoft house counts cost of dealing with Gov.uk

The cost of righting historic accounting wrongs and winning lower margin or empty calorie government business has left Microsoft licensing slinger Comparex UK nursing losses. The firm piled on the British Pounds in the year ended 31 March 2015, growing turnover organically by a whopping 31 per cent to £41.95m, P&L accounts …
Paul Kunert, 02 Jun 2016
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It's a Hull of a thing: Kcom takes a break from 8-year sales slide

Telecoms provider Kcom stemmed its declining revenue for the first time in eight years, reporting growth of 0.4 per cent to £349.2m for the full year 2015/16. However, operating profit fell to £6.3m from £50.9m mainly due to increased investments, compared with the previous year. That was mainly due to its fibre roll-out in …
Kat Hall, 27 May 2016
Lenovo TinyOne PC and monitor

Lenovo: Markets for our products 'will remain challenging'

Mergers and acquisitions and restructuring costs led to Lenovo booking its first annual loss since 2009, but crappy demand for PCs and smartphones didn’t exactly help to wax the bottom line either. The Beijing HQ’d biz reported sales for fiscal ’16 ended 31 March of $44.9bn, down three per cent year-on-year, after ending the …
Paul Kunert, 26 May 2016
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Hungry UK services slinger swallows hosting biz for £65m – sources

UK managed services slinger Pulsant has agreed to fork out £65m for data centre and hosting biz Onyx, multiple sources close to the situation have claimed. A "for sale" sign was erected outside Onyx’s Stockton-on-Tees HQ in January and the process was managed by Deloitte, as we exclusively revealed. “The deal is done,” said …
Paul Kunert, 26 May 2016
HP's Multi Jet Fusion 3D printer

HP Inc-eption: Our new 3D printers print themselves, says CEO

Just like Leonardo DiCaprio and his photogenic pals crafted dream worlds out of dream worlds in the hit flick Inception, we're told HP Ink prints its 3D printers using its 3D printers. Take one of HP Ink's new and expensive 3D printers, and you can print out half of the components needed to build another one, CEO Dion Weisler …
Chris Williams, 26 May 2016
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Hardware sizzles for HPE – and brings home the bacon

Software and IT services might make the world go round – at least in the heads of Wall Street moneymen – but it was hardware that once again brought home the bacon for Hewlett Packard Enterprise. For the three months ended 30 April (second quarter fiscal year 2016 – summary, tables [PDFs]), HPE's turnover edged up one per cent …
Paul Kunert, 25 May 2016
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'Grey tech' broker DP Data Systems has gone titsup

DP Data Systems has given up the ghost just months after committing to quit the grey market in favour of “authorised” tech. The company’s website stated, “Sorry we have now ceased trading”. Suppliers and customers were then directed to email addresses of the firm's accounts and credit control departments respectively. Back in …
Paul Kunert, 25 May 2016
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Steady as she goes at Softcat, Q3 trading in line with forecasts

London Stock Exchange-listed reselling machine Softcat has issued a steady as she goes update to the market though it was stat light and made no further mention of economic storm clouds gsathering. The Marlow-based biz that floated late last year, warned at the half-way stage of fiscal ’16 ended January of “risks posed to …
Paul Kunert, 24 May 2016
£10 notes. Pic: Howard Lake

Mega UK distributor DCC Tech: 2016 was our annus horribilis

The once seemingly unstoppable distribution juggernaut DCC Technology hit some unmovable barriers in fiscal ’16 caused by slumping tab and smartphone sales and the loss of a retail gig. The parent of UK trading arm Exertis admitted today it had endured a "very difficult year". The LSE listed firm still managed to bump up …
Paul Kunert, 17 May 2016
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Symantec: I know we said things'd get better when we sold Veritas...

Symantec is slipping back into cost-cutting mode just months after the split with storage arm Veritas was supposed to provide the healing balm the business so clearly needed. The standalone security biz wants to carve out savings of $400m via an “efficiency programme” that includes “eliminating stranded costs” from the sale of …
Paul Kunert, 13 May 2016

Arrow ECS top dog parades $200m (run rate) cloudy biz

Cloud computing is on track to be a $200m plus annual business for Arrow ECS, the enterprise IT distie's big boss has claimed. The reliably boring firm - in a good way if you are an investor - notched up its umpteenth straight quarter of expanding sales, jumping nine per cent to $1.8bn for Q1 of fiscal ’17 ended 2 April. …
Paul Kunert, 04 May 2016

Argos defection to Tech Data whips Ingram Micro's bottom... line

The loss of a retail supply contract with Argos helped push Ingram Micro’s European sales growth into the barrier’s during car crash Q1 financials. The US-headquartered tech distributor reported sales of $2.66bn on this side of the pond for the period ended 31 March. This was down 13.35 per cent year-on-year. Ingram is being …
Paul Kunert, 03 May 2016
Happy business people celebrate. Photo by Shutterstock

There's never been a better time to be a product reseller... if you like pain

Tough times are here again for the on-premise infrastructure providers with Insight Enterprises the latest to report top line slippage. The global reseller filed sales of $1.17bn for calendar Q1, down four per cent year-on-year, as declines in European and Asia Pacific ops wiped out the slight progress made in North America. …
Paul Kunert, 29 Apr 2016

Samsung chuckles, swerves around Apple's Q1 phone sales crash

Samsung delivered what Apple couldn’t in the first three months of 2016 - increased smart phone sales. The chaebol today reported overall group net profit of 5.25 trillion won ($4.5bn), up 5.6 per cent for calendar Q1 on sales that grew 5.6 per cent to 49.7 trillion won ($43bn). The giant’s mobile unit reported eight per cent …
Gavin Clarke, 28 Apr 2016
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Flat sales, falling earnings? That will be FY'16 for Datatec

The parent of integrator Logicalis and distie Westcon is to report a double digit drop in earnings and flat sales for the fiscal ’16 ended February, it warned today. Progress on both fronts was downed by the “significant strengthening of the US dollar and mixed global economic conditions”, South African stock exchange-listed …
Paul Kunert, 26 Apr 2016
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Goodbye: XPoint is Intel's best exit from NAND production hell

Analysis 3D XPoint memory represents a door way to non-volatile profits for Intel and a passage away from NAND production, which is bedevilled by over-supply from costly fabrication plants with high costs. This idea starts from a simple question: how is Intel’s flash business doing? Not well, according to a financial analyst. In its …
Chris Mellor, 21 Apr 2016
Yawning Cat by Johnc24 at Flickr, CC-20 License at https://creativecommons.org/licenses/by/2.0/

SAP's results are a right Waldorf salad: Core sales dip, yet support biz is stable

SAP has confirmed a sudden and sharp drop in sales of its software with continued, escalating sales of cloud. Sales of new licences for its core, on-premises software fell 13 per cent in the first three months of 2016 to €609m, compared to the first quarter of 2015. It was a sharp about-turn given SAP closed the last three …
Gavin Clarke, 20 Apr 2016
Sad man stares glumly over boxed contents of desk. Image via shutterstock (Baranq)

Intel literally decimates workforce: 12,000 will be axed, CFO shifts to sales

Intel will axe 12,000 employees globally – more than one in ten of its workforce – as it moves further away from being a PC chip company. The layoffs are among the biggest into the company's history, and come as PC industry continues to tank harder than Intel expected. The Santa Clara-based biz sees a lot of growth in the …
Chris Williams, 19 Apr 2016

SAP warns: Americas slowed our 2016 start

Europe’s largest software company has warned its first-quarter results could be weaker than expected, thanks to a slow start in the Americas. SAP announced preliminary first-quarter revenue results on Friday showing continued growth in cloud but a drop in new licences for on-premises software. New software licences for its …
Gavin Clarke, 11 Apr 2016
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Troubled Azzurri Comms offloaded to AIM-listed Maintel

AIM-listed comms and networking integrator Maintel has conditionally agreed to slurp struggling rival Azzurri Comms for £48.5m - a company that is twice its size. At the same time, the London-based Maintel confirmed it is also to place Ordinary Shares on the market at 700 pence each with the aim of generating roughly £24m to …
Paul Kunert, 08 Apr 2016
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Exertis slurps wireless distie Siracom

One of the UK’s bulkiest tech distributors Exertis has piled on a few more pounds by acquiring wireless infrastructure and security minnow Siracom for an undisclosed sum. Siracom, which also has offices in beautiful Basingstoke, sells products and services from vendors including Samsung, Fortinet and a bunch of lesser knowns. …
Paul Kunert, 07 Apr 2016
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Web hosting and domain name merchant UK2 Group puts up for sale sign

Hosting and domain name registrar UK2 Group is using the services of an investment banker to find a buyer - the second such attempt in a year, sources have claimed. Torch Partners is running the process on behalf of owner LDC, the mid-market private equity wing of Lloyds Banking Group, which took a majority stake in the group …
Paul Kunert, 24 Mar 2016
Apple iPod touch

Apple's largest UK reseller Jigsaw24 is for sale

The UK’s largest Apple reseller, Jigsaw24, is for sale, multiple industry contacts have told The Channel. The Nottingham-based B2B seller has hired Deloitte to run the process, a move that comes just three years after private equity outfit NorthEdge Capital (NEC) moved in to back a roll up by the management team. In recent …
Paul Kunert, 18 Mar 2016

UK tech supplier Softcat shows off fuller figures

Mid-market reselling monster Softcat is still piling on the pounds after adding hundreds of new punters and squeezing more out of existing ones. But the tech supplier agrees with Chancellor Osborne - storm clouds are gathering over the UK economy. At the half-way stage of fiscal ’16 ended 31 January, turnover at the Marlow- …
Paul Kunert, 17 Mar 2016
Michael Dell, photo: Dell

Private Dell mostly makes PCs – and its sales of those are down

Dell isn’t exactly in rude financial health as it marches ever closer to the $60bn+ acquisition of EMC – at least, judging by P&L accounts the privately-held Texan tech firm filed with the US SEC. The mammoth Form s-4 is supposed to paint a painfully honest picture of the businesses current position and the potential risks of …
Paul Kunert, 15 Mar 2016

Computacenter eyes investment plans for growing cash mountain

Computacenter's centre of gravity shifted eastwards in 2015, as the mega reseller’s German operation fired on all cylinders while its UK box-shifting business sputtered. At the same time, its CEO and chairman both seemed to suggested it could be looking even further afield as it ponders what to do with its enormous cash pile …
Joe Fay, 11 Mar 2016
Stop Light by Horia Varlan, CC license from Flickr

Broker DP Data Systems calls time on selling grey imports

Manchester-based broker DP Data Systems will no longer trade in “grey” market tech, according to its boss. Of course, this will only be the case once a new home is found for existing inventory already in the warehouse. The company told us it has just “ceased” buying grey market kit, which IT vendors term as any product …
Paul Kunert, 07 Mar 2016
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Hardware – yes, hardware – is driving Hewlett Packard Enterprise's top line

Hewlett Packard Enterprise spends much of its time talking about hybrid IT taking over the world, but it was good old fashioned hardware - boosted by a $3.5bn buy - that made Q1 of fiscal year 2016 better than it might have been. In the period ended 31 January, the first full quarter of since HPE split with the PC and printing …
Paul Kunert, 04 Mar 2016
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XMA shutters its City pad, will service London from St Albans

XMA is to shutter its London offices because too few staff were based there to justify the relatively expensive lease. The office in the heart of the City, established in September 2012 and initially run by former BT Engage exec Chris Leah, was set up to win over more corporate customers and at one point housed upwards of 20 …
Paul Kunert, 03 Mar 2016
Marc Benioff of Salesforce. Pic: Techcrunch

Life's three certainties: Death, taxes and Salesforce losing money

Three things in this life are certain: death, taxes, and SaaSy player Salesforce reporting losses. And so it has come to pass that another quarter has gone by and CEO Marc Benioff’s biz is still finding ways to burn cash. For the three months ended 31 January, the online software slinger reported revenues of $1.809bn, up 25 …
Paul Kunert, 25 Feb 2016
Life of Brian

British Airways, IT staff job cuts, an outsourcing biz ... you get the point

Techies working at British Airways are staging a protest at the airline's corporate HQ over plans to outsource and offshore work to Tata Consultancy Services. According to the GMB trade union, which is organising a 15-minute walk from the corporation’s head office in West London to a local hotel on 29 February, all 900 of BA’s …
Paul Kunert, 25 Feb 2016
HP ZBook 17 mobile workstation

Who hit you, HP Inc? 'Windows 10! It's all Windows 10's fault'

HP Ink – the PC and printers half of the Hewlett-Packard split – has blamed Windows 10 for a ho-hum quarter of declining sales. "Windows 10 is a tremendous operating system platform," HP Ink CEO Dion Weisler told analysts and investors on a conference call on Wednesday afternoon. "But we have not yet seen the anticipated Win10 …
Chris Williams, 25 Feb 2016
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Brit bit barn and hosting slinger C4L Group sold for £23m

LSE-listed Castle Street Investments has slurped network services and bit barn hosting biz C4L Group Holdings for circa £23m. Under the terms of the sale, the investment vehicle - born out of its online dating firm Cupid - will pay £20.2m for C4L’s equity (£14.2m in cash, the rest in shares), and assume £2.8m of debt. C4L …
Paul Kunert, 16 Feb 2016
Money falling, image via Shutterstock

Insight Enterprises CEO: our EMEA ops are firing... no not staff

Managed and cloud services picked up some momentum for Insight Enterprises’ EMEA ops in 2015 but not at the pace to offset declines in the traditional hardware and software reselling lines. Locally, the firm reported a 13 per cent rise in year-on-year sales for calendar Q4 to $342m but in constant currency the decrease was …
Paul Kunert, 11 Feb 2016

Lenovo: China biz down, PC and mobile down

The relatively weaker economy in China and slumping demand for gadgets puts Lenovo between a rock and a hard place. The company spent last year swamped with PC stocks as it had failed to recognise the oncoming slowdown, but has of late started to clear the decks helped in part by write-downs in Europe. Evidence of this can be …
Paul Kunert, 04 Feb 2016
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Former Oracle man Block fills Salesforce's COO slot

Oracle's former US sales chief Keith Block has been handed the keys to Salesforce by his boss Marc Benioff. Block has been named chief operating officer but will continue to lead global sales in addition to alliances and channels, industry strategy, and consulting. He was lifted from Oracle in 2013, where Block was executive …
Gavin Clarke, 03 Feb 2016
Boy with a backpack hides his eyes and cries. Pic by Shutterstock

RM's core tech division suffered a 12% revenue dip in 2015

Ditching PC production, the running down of the old Building Schools for the Future contracts, and relatively “subdued” government spending on education ate into RM’s lunch money in 2015. The specialist education supplier turned over £178.2m in the year ended November, down 12 per cent on the prior fiscal, and it was all the …
Paul Kunert, 01 Feb 2016
Amazon CEO Jeff Bezos

Investors furious that Amazon only made $482m last quarter

Amazon is taking a beating on Wall Street as the retail and cloud giant posted numbers that, although strong, were short of analyst expectations. The house of Bezos saw its stock price fall 13 per cent after the release of its quarterly and full-year financials. However, Amazon noted large gains in key areas, including the AWS …
Shaun Nichols, 28 Jan 2016

Puppet master investors tug on Citrix as 'wind turns'

Puppet master-cum activist investor Elliot Management appears to be pulling virtualisation vendor Citrix's strings in the right direction… for shareholders if not for some staff. Elliott Management upped its stake in Citrix last summer and made it known it wasn’t happy about the state of the business or share price, and …
Paul Kunert, 28 Jan 2016
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Samsung: Is gadget lust still a thing in 2016? Nope

Samsung Electronics has forecasted weaker smartphone and tab sales for 2016 amid concerns consumers’ gadget lust is waning - well, if there’s no compelling reason to upgrade, folks don’t upgrade. “[We are] expecting challenges in 2016 to maintain earnings due to a difficult business environment and slowing IT demand,” the …
Paul Kunert, 28 Jan 2016
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Onyx to erect 'for sale' sign outside corp HQ, say sources

Data centre and hosting slinger Onyx will erect a "for sale" sign outside its Stockton-on-Tees HQ in 2016, and the expectation from multiple sources is this will happen sooner rather than later. The private equity-backed business is working with adviser Deloitte to run the sale but as yet no Information Memorandum has been …
Paul Kunert, 19 Jan 2016
Shuffle, image via Shutterstock

SAP UK and Ireland shuffles management cards

The ever-exciting SAP, Europe’s largest software maker, has kicked off 2016 with a management reshuffle. The firm’s UK and Ireland group has hired or moved nine executives around the corporate org chart in the cloud, data, analytics, database and sales business areas. The changes were announced by SAP UKI managing director …
Gavin Clarke, 19 Jan 2016