Datatec posted a 37% rise in first-half underlying earnings on Wednesday after it said the recovery in the United States and parts of Europe strengthened.
The firm, which is a major reseller for networking giant Cisco Systems (CSCO.O), reported a 19% rise in revenue to $2,13 billion. Underlying earnings per share were 15,8 cents, towards the top of its 15-16 cents guidance given in a trading update last month.
“Overall we are cautiously optimistic about the market’s recovery, which is still fragile in places,” Chief Executive Jens Montanana said in a statement.
“We are confident that our profitability and margin expansion across all divisions will continue in line with our previously published forecasts.”
The company said it had robust top-line growth in the United States, its largest market, and stable growth in Europe, although the UK remained challenging.
Datatec on Tuesday upped its offer for South African-based distributor Comztek to 101 million rand ($15 million).
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