Computacenter sees 'strong top-line growth' in Q1

Computer services provider Computacenter said on Friday that it saw "strong top-line growth" in the first quarter, with growth in adjusted pre-tax profits at a more modest level due to a "very large volume customer" diluting overall margins.

Computacenter stated that adjusted pre-tax profits at the end of the first half were likely to be behind 2021 but will still be in line with "the historical seasonality" of the business.

The FTSE 250-listed firm added that the "substantial removal" of lockdown measures in its geographies had meant a return to a "more normal, and more sustainable" post-Covid-19 cost base.

"We remain confident that FY 2022 will be a year of further progress, and we remain on track for the year as a whole," said the group.

Computacenter added that the first half of 2021 created "a more challenging comparison" than the year as a whole, so to be ahead of 2021 in profit terms after the first quarter was "pleasing".

"There are clearly many challenges in the world and we, like most companies, are affected by wage inflation and supply chain shortages, but these offer us opportunities to differentiate from our competition with superior execution. The momentum Computacenter has built over many years and the strength of our balance sheet gives us confidence for the future," Computacenter concluded.

As of 0830 BST, Computacenter shares were down 3.73% at 2,636.0p.