London- and Johannesburg-listed Dimension Data grew revenue in the three months to December, compared to a year ago, it says.
The company this morning released its interim management statement for the months between October and December. It says revenue grew 6% in the first quarter to December. In the six months to March last year, the company reported revenue of $1.95 billion, an 8.1% improvement in constant currency.
However, on a constant currency basis, turnover for the quarter to December was down about 9% year-on-year, and flat compared to the last quarter of 2009. Dimension Data says this is in line with what it expected, as the first quarter of 2009 was “a very strong comparative period, having enjoyed the benefit of a strong order book from the prior year”.
Cautious outlook
While it says its performance for the first quarter was sound, and demand for its products and services is improving, the company does not expect to grow revenue in constant currency for the six months to March.
Orders have grown in the first quarter, compared to the last quarter of 2009. It says, while demand is growing in some regions, overall demand seems to be mixed.
For the full year, Dimension Data expects single-digit constant currency growth in revenue. In addition, assuming the currency does not fluctuate wildly, its results for the first half will benefit from the strength, relative to the comparative period, of its major trading currencies against the dollar.
“We remain optimistic about the positioning and prospects for Dimension Data, both in the short- and medium-term, and continue to see good opportunities for growth in many parts of the group,” it says.
The company's interim results are expected to be published on 12 May. Dimension Data's shares moved up a cent to R9.44 in early morning trade.
Related story:
Merchants renews Australian deal
Share
