Frank Prenesti Sharecast News
19 Mar, 2025 08:00 19 Mar, 2025 16:08

Softcat shares spike after FY guidance upgrade

Softcat

1,673.00p

17:00 20/03/25
-3.24%
-56.00p

Shares in Softcat surged on Wednesday as the company lifted expectations for operating profit growth after interim earnings jumped by 12%.

FTSE 250

20,097.98

17:09 20/03/25
n/a
n/a

FTSE 350

4,749.79

17:09 20/03/25
n/a
n/a

FTSE All-Share

4,697.93

16:44 20/03/25
n/a
n/a

Software & Computer Services

2,544.68

17:09 20/03/25
0.20%
5.06

The IT services provider said operating profit growth for 2025 should be in the low double-digit percentage range, up from previous guidance of high single-digits, supported by an “encouraging” second half pipeline. Shares were up 11% in early London trade.

Gross profit, Softcat’s primary measure of income, grew 12.1% to £220.2m, consistent with full year guidance for low double-digit growth and slightly ahead of expectations for the first half.

Operating profit for the six months to January 31 came in at £73.7m on revenue of £546m, up 16.8%.

“Market conditions have remained relatively challenging with continued macroeconomic uncertainty, and our performance in these conditions highlights the resilience of our business model, including the benefit of having a very broad portfolio of solutions catering to a diverse customer base,” the company said on Wednesday.

Reporting by Frank Prenesti for Sharecast.com

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