Computacenter shares dip on back of profit dive
Computacenter plc, the European IT infrastructure services provider, saw its shares dip after profits and revenues took a big hit in the year to the end of December.Computacenter plc, the European IT infrastructure services provider, saw its shares dip after profits and revenues took a big hit in the year to the end of December.
The pre-tax profit was more than halved to £34m from £67.9m in 2004 on group revenues down to £2.29 bn from £2.41 bn. Some £27m of the profit decline was attributable to lower vendor rebates in the UK. The second half profit considerably outweighed the first – £25.8m compared to £8.2m.
Chairman Ron Sandler said: “ There is no denying that 2005 was a difficult year for Computacenter, and that the financial performance of the group was disappointing. But the year was not without its positive features.
“Significant steps were taken in the UK to create an organisation that is considerably better equipped to respond to the challenges posed by the continuing commoditisation of IT.
“The long-running dispute in Germany with GE was brought to a satisfactory resolution. And across the group, trading improved as the year progressed, and was particularly strong at the year-end.”