Solid DiData maintains favourable outlook

Johannesburg, 14 Feb 2008

Dual-listed ICT group Dimension Data says its financial position is solid, with upcoming results expected to be as forecast.

That's according to its first interim management statement, released this morning.

The company has its primary listing on SA's JSE, with a secondary listing on the UK's LSE. The LSE requires that its companies issue an interim management statement twice a year, one in each six-month period.

DiData's statement covered the trading period from 1 October 2007 to 14 February 2008, and noted that no material events of transactions had been effective over the period.

However, it said the group had continued to experience good demand.

"Revenue and profitability improved in all regions and across all lines of business compared to the same period in the previous year. The group's operating margin has improved year-on-year, evidencing continued operating leverage," it said.

Noting global economic uncertainties, DiData's management says the outlook for the organisation's six-month period, to 31 March, remains favourable.

"Our managed service offerings, broad client base and exposure to diverse geographic markets underpin our confidence in a healthy first-half performance. The underlying macro industry trends, including the ongoing refresh cycle in networking; the adoption of IP-based IT infrastructure; the emergence of unified communications; the trend to multi-sourcing; and the deregulation and expansion of telecommunications remain significant opportunities for the group. Supported by a strong balance sheet and ongoing investment, Dimension Data is well positioned to capitalise on these opportunities," it said.

However, it reminded shareholders of its contention at its annual results that growth rates were expected to be slower than those achieved last year.

The company is scheduled to release its interim results for the six months to 31 March 2008 on 14 May.