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Datatec pays 30c a share

By Iain Scott, ITWeb group consulting editor
Johannesburg, 16 May 2006

JSE-listed Datatec has announced a capital distribution of 30c (about $0.05) a share, to be paid out of share premium.

The group, which this morning published its results for the year to end-February, says the payment will take place on 10 July.

Datatec CEO Jens Montanana also says the group is considering a secondary listing on London`s AIM stock exchange.

Datatec recorded revenue of $2.98 billion for the period, 17.9% up from the $2.52 billion for the previous year.

The operating profit before deductions (EBITDA) rose from $28.42 million to $85.15 million, while the group recorded a profit of $39.19 million for the year, compared with a previous $51.86 million.

On a continuing operations basis, the year-end profit amounted to $39.26 million, compared with $4.61 million previously.

Basic earnings per share of 26.54 US cents compare with 37.48c previously. Headline earnings per share rose from 3.59c to 26.91c.

Divisional performance

The Westcon division increased revenue from $2.06 billion to $2.28 billion, with EBITDA rising from $25 million to $67 million, and the operation generated cash of $37 million, compared with $6 million a year before.

Logicalis boosted revenue from $340.9 million from $545.6 million, with EBITDA rising from $9.6 million to $16.7 million.

Analysys Mason`s revenue increased from $52.1 million to $59.8 million, while EBITDA of $6.2 million compares with a previous $3.3 million.

"In spite of continued monetary tightening in the USA, and general interest rate increases expected in the rest of the world, demand for IT hardware, networking and services has remained robust even as growth rates have moderated," Montanana says.

"We continue to plan prudently and expect ongoing improvements to our performance over the cycle."

The group is scheduled to present its results at a briefing in Sandton this morning.

Related story:
Datatec revises update

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