Computacenter is seeing the green shoots of recovery thanks to its US business.
The services giant stated that revenue and profitability “remain well ahead” of 2018’s figure on a like-for-like basis according to an unscheduled trading update for the 11 months to 30 November 2019.
It expects the full-year trading result for 2019 to be ahead of current market expectations which were assessed at being £136.2 million on 9 December.
The US business had “bounced back” in the second half of the year, with Computacenter praising its contribution to revenue growth.
The company said: “The ‘negative impacts’ that hampered Computacenter’s growth in H2 2018 have either not been seen this year or have been somewhat negated. The strong 2019 performance is coming from Computacenter’s established businesses and, in the second half of the year, from the acquired business in the US which is now performing in line with our expectations following a difficult start to the year.”
“The group has not seen a repeat of the negative impact that occurred in the second half of 2018 due to contract provisions and these existing difficult contracts continue to perform in line with, or slightly ahead of, our expectations. Computacenter’s board acknowledge, as is the case every year, that there is still a significant amount to do in December, which is always our busiest month of the year. However, visibility on this critical month’s outturn is starting to improve.”
