Computacenter 'comfortably ahead' of last year after strong Q3

(Sharecast News) - Computacenter said on Thursday that it was "comfortably ahead" ahead of the prior year's trading following a strong performance in the third quarter. In an update for the quarter to 30 September, the company said it continued "to execute well".

The group said it maintained strong momentum in North America, driven by continued volume growth with both enterprise and hyperscale customers, while the UK delivered further improvement.

After a more subdued first half, Germany returned to growth in Q3 with indications towards the end of September of the expected recovery in public sector activity in the fourth quarter.

As expected, trading in France remained challenging, largely due to significant political and economic uncertainty.

Technology Sourcing revenue increased strongly in Q3, driven mainly by North America and the UK. Computacenter said revenues in the services segment grew solidly, driven by strong growth in Professional Services, especially in the UK and North America, partly offset by a modest decline in Managed Services.

"Looking to the full year, as usual Q4 is our largest quarter of the year and we remain mindful of the ongoing uncertain geopolitical and macroeconomic backdrop," it said.

"While we also face a tough comparative following a strong finish to 2024, we are encouraged both by our progress year to date and our committed product order backlog, which remains healthy in all geographies. The current backlog is ahead of both the position a year ago and at the end of the first half. As a result, we continue to expect full year adjusted operating profit in FY 2025 to be ahead of the prior year.

"Looking further ahead, the combination of the strength of our integrated Technology Sourcing and Services model and our geographic diversity, gives us continued confidence in our long-term growth prospects."