29th Apr 2021 10:04
(Alliance News) - Computacenter PLC on Thursday said it has seen "strong demand" in the UK and Germany, but cautioned on currency headwinds due to dollar weakness.
Shares in the company were 0.3% lower at 2,632.00 pence each in London Thursday morning.
The Hatfield, England-based computer services provider said it was "pleased" by its profit growth in the first quarter ended March 31.
"There has been a strong demand across the business particularly for our Professional Services in Germany and the UK, and significant revenue growth in Technology Sourcing in the UK. The cost base reductions we experienced since the start of the Covid-19 pandemic have been maintained through the quarter," Computacenter said.
The company added that the combined performance of its existing US business and recently-acquired unit Pivot was ahead of expectations. However, dollar weakness is an "unavoidable headwind". At current levels, Computacenter expects annual to profit to be hit by GBP4 million as a result.
"Due to the strong organic profit performance we expect 2021 to be a year of good progress in our reported profits," the company said.
"Obviously, we are living through unpredictable times and much work remains to be done, but our good performance in Q1 and our internal forecast for the rest of the year gives us a great deal of confidence in our likely outcome."
By Eric Cunha; [email protected]
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