Reseller Becthle reported a six per cent increase in business volume to €1.9 billion in its third quarter of 2023.
The outfit’s earnings before tax (EBT) increased 6.4 per cent to €93.9 million, and its EBT margin grew from 6 per cent to 6.3 per cent.
The company’s incoming orders during the third quarter surged 18.3 per cent.
Bechtle chairman of the executive board, Dr Thomas Olemotz, said: “Although our medium-sized customers, in particular, are still rather reluctant to invest, we can compensate for this situation using the positive performance of our software and service business as well as the stable demand of our large customers and public-sector clients.”
Bechtle’s IT system house and managed services segment experienced a 10.8 per cent business volume increase, mainly attributed to increased software and service projects.
Revenue within this segment grew organically by 5.8 per cent to €996.2 million.
Demand from large customers and public sector clients remained high. Complex digitisation projects for transforming IT architectures drive the system house business.
EBIT within this segment rose by 13.8 per cent to €66.3 million, accompanied by a raised EBIT margin of 6.7 per cent, up from 6.2 per cent.
The IT e-commerce segment faced a 3.5 per cent decline in business volume and a 7.5 per cent drop in revenue.
The decrease was put down to medium-sized customers delaying conventional IT infrastructure projects.
Although EBIT dropped by 3.3 per cent, the EBIT margin increased to 6.2 per cent.
Operating cash flow in the first nine months of 2023 reached €190.2 million.
Bechtle claimed that significant enhancements in inventories and trade receivables contributed to this improvement.
Bechtle said it remains optimistic for next year.
“Although we still lack positive economic impulses spanning all business segments, we are ready to accompany our customers in all aspects of the digital transformation,” said Olemotz.
“Our acquisitions in recent months have further strengthened our market position and our competitive position in Europe.
“I am therefore convinced that, despite the challenging economic framework conditions that exist at the moment, we will continue to grow and gain market shares.”
