EOH, one of South Africa's leading technology and business solution providers listed on the software and computer services sector of the JSE, today announced bumper annual results for the year ending 31 July 2007.
EOH reported a 40% increase in revenue to R703 million, with profit before tax increasing by 30% to R72 million. Headline earnings per share are up 24% to 79 cents. EOH had R114 million cash on hand at the end of the period.
EOH is very satisfied with the period under review. The strong revenue growth is a result of organic growth within core businesses as well as from acquisitions. Earnings remain healthy, with growth continuing to be funded internally and cash reserves growing significantly.
"These results indicate we are well ahead of our growth targets, which is very good news for the group. Our three-dimensional approach, offering product, service and industry expertise has ensured we are well placed to meet the evolving needs of our customers and to successfully differentiate ourselves in a competitive market place," says Asher Bohbot, chief executive of EOH.
He says the financial year under review has seen the birth of some significant businesses aligned to the company's three-dimensional approach: "EOH Interim Talent is an exciting venture which focuses on the provision of highly-skilled IT staff. This has a very positive impact on the lack of skills in the country and greatly assists our customers." In line with this focus on people, Bohbot says the company is also growing its training and education business.
From a technology perspective, EOH has bolstered its infrastructure, networking and hosting businesses with the acquisitions of Bromide Technologies and LMX. Bohbot says there are further plans to build the networking and hosting offering.
"We see industry knowledge and industry-based businesses as key differentiators going forward and will thus continue to focus on these areas. We will also continue to build our application-based businesses with the ultimate aim of offering end-to-end solutions."
Among the areas of growth Bohbot views with excitement are developments in the technology optimisation space: "Technology optimisation is a key growth area within the software sector and we expect great things from our recent initiatives in this arena."
On transformation, EOH now has 33.3% effective black ownership which involves all of its PDI employees. Of the group's 1 200 employees, 40% are black, as is 50% of the board. "We are committed to transformation as an ongoing process, in which all of our people and stakeholders are involved," concludes Bohbot.
Share
EOH is a technology and business solutions provider creating lifelong partnerships by developing business and IT strategies, supplying and implementing solutions and managing enterprise-wide business systems and processes for medium to large clients.
EOH operates as a fully integrated business in the following three broad areas of business:
Consulting operates in the private and public sector offering services ranging from strategic process consulting, project services, change management and education. This cluster also develops IT strategy, advises on enterprise architecture, IT governance and risk management.
Technology through a number of subsidiary companies, EOH is able to sell, implement and support a range of world-class business applications including: ERP, CRM, business intelligence, advanced planning and scheduling, e-commerce, manufacturing execution systems (MES) and technology performance management solutions.
Outsourcing EOH offers comprehensive maintenance and support of clients' IT infrastructure and applications through the rendering of full IT outsourcing, application hosting and managed services as well as desktop support services and the provision of onsite resources.
EOH has a presence in all major centres in South Africa, also operating elsewhere in Africa.
Editorial contacts