Datatec has posted a double-digit rise in both revenue and profits for the year as both Westcon and Logicalis aced their results.
Revenues for the technology group were up 12.8 percent to $4.6 billion while EBITDA climbed 30.3 percent to $154.5 million.
Datatec CEO Jens Montanana said the group delivered a strong operational and financial performance across all divisions during FY22 despite global semiconductor shortages and ongoing supply chain constraints which have resulted in a growing backlog.
“While we see continued demand for our products and services across the world, and have positioned our operations to take full advantage of this, the supply chain headwinds compounded by various factors, including the war in Ukraine, lockdowns in China and global inflationary pressures will impact our performance in 2023”, he said.
Logicalis saw revenues grow 14.2 percent to $1.6 billion, the VAR had a rubbish year last year and dragged down its parent company’s revenues in 2021.
Datatec said that while Logicalis is “ideally positioned” to continue to respond to changing market needs as technology plays an even more integral role in the global economy, the supply chain shortages experienced as the world emerged from the Covid-19 pandemic remain “mostly unresolved”.
This, coupled with recent geopolitical issues such as the war in Ukraine, energy prices, economic uncertainty in South America and China’s ongoing response to Covid-19, have created a lot of uncertainty, both in the short and medium-term, that will impact the division’s performance, it claims.
Logicalis also had a strong order intake during FY22. Shipment delays as a result of the global supply chain issues resulted in a significant increase in backlog impacting EMEA with South America suffering the most.
On the technology side of things, Datatec said Logicalis continues to develop its capabilities within cloud, IoT, software, security, data management and intelligent networks.
It added that Logicalis remains confident about the long-term prospects for the industry and its positioning within it, however, macroeconomic conditions are expected to remain volatile in the short term.
Westcon saw revenues grow 11.8 percent to $2.8 billion during the year due to strong demand for networked infrastructure, remote access solutions with enhanced cybersecurity for flexible working and virtual office environments and unified collaboration.
