Sees falling sales in UK, France, but claims strong managed services pipeline
Computacenter PLC says its 2016 pretax results should be in line with management expectations as revenue to the year-end rose 6%, but at constant currency it stayed flat, the service provider said.
Computacenter's not-so-good performance in France brought a 10% fall in revenue in the country, Computacenter said. Trading in the UK saw revenue declining 1% even as trading in Germany was good, with revenue increasing by 3%. More detailed figures will become available in March, as at constant currency, group revenue was flat.
In the UK revenue fell 1%, with a 3% rise in Supply Chain revenue offsetting an 8% decline in Services revenue.In Germany revenue rose 3%, with Services revenue up 7% and Supply Chain revenue up 1%, whilst in France revenue fell 10%, as Services fell 3% and Supply Chain by 11%. It noted that whilst it was "reliant on a small number of large opportunities" in the UK, its "Managed Services pipeline across the group is strong".
"We are encouraged by our performance in 2016 in Germany and pleased with the progress we have made in France. In the UK, the second-half performance has been in line with our revised expectations, set at half year after a disappointing first half performance," Computacenter said.
Looking to 2017, Computacenter said it expected "another year of progress for the group as we continue our momentum in Germany, maintain our position in France and marginally improve on our 2016 performance in the UK."