It was a good year for information and communications technology firm Datatec after it posted a rise in revenue and and pre-tax profit, boosted by a strong performance in Brazil.
Profit before tax increased from $78.2m to $138m on revenues of $5.0bn, up from $4.3bn the previous year. Group earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 34% to $190.2m, from $142.2m in the previous year.
The group ended the period with net debt of $20,5m (2011: net cash of $48,1m), after deducting long-term debt of $13,9m and short-term debt of $8,4m.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Jens Montanana, Chief Executive of Datatec, said: "Our unrelenting focus on operational performance has meant that once again we have been able to substantially increase revenues and expand margins, resulting in the bottom line growing at twice the rate of revenues.
"Our global reach and diversity continues to serve us well, helping to insulate the group against the challenging trading conditions in North America and Europe. South America and Asia Pacific remain our best performing markets, with Brazil, once again, doing exceptionally well.
"We remain cautious about the near term. While Europe looks likely to remain challenging, we expect trading to improve in the US and a continued strong performance from our businesses in the rest of the world."
The group is forecasting revenues in the current financial year will be between $5.5bn and $5.8bn, while underlying earnings per share is seen coming in at around 55 cents, up from 47.9 cents in the year just ended.
The share price rose 2.41% to 340p by 15:15.
NR
-
Going part-time could leave a £58,000 hole in your pension: how to plug the gapThere are many reasons for switching to part-time work, but some savers don’t consider the impact on their pension until it is too late
-
Three bargain investment trusts to add to your portfolioThese three investment trusts are bargains compared to their net asset value (NAV), but one fund analyst thinks the deep discounts are unwarranted.
