Datatec Limited Reports Strong Performance in H1 FY24

Sandton, 5 October 2023 – Datatec Limited (JSE: DTC), a leading international Information and Communications Technology (ICT) company, has released its trading statement for the six months ending 31 August 2023, indicating robust financial performance and positive growth trends.

The company reported that it continues to experience strong demand for its technology solutions and services worldwide, despite ongoing supply chain challenges. In comparison to the same period in the previous year, all divisions within the Group have shown improved financial performance.

Highlights from the Trading Statement

• Westcon: Datatec’s division, Westcon, has once again delivered an outstanding performance, contributing significantly to the Group’s positive results.
• Logicalis International: Logicalis International also reported a strong financial performance for H1 FY24.
• Logicalis Latin America: The Latin American division of Logicalis demonstrated a substantial improvement in performance compared to the same period last year. However, it continues to grapple with regional macro-economic pressures, including currency weakness and hyperinflation in Argentina.

In accordance with the JSE Limited Listings Requirements, Datatec released its trading statement due to the significant difference expected in its financial results compared to the previous corresponding reporting period.

Earnings Per Share (EPS) Expectations

For H1 FY24, Datatec anticipates the following earnings per share ranges:

• Earnings per Share: Datatec expects EPS to range between 6.1 to 6.5 US cents, representing a 22.0% to 30.0% increase over H1 FY23, which recorded 5.0 US cents.
• Headline Earnings per Share: The company forecasts headline EPS to be between 6.1 to 6.5 US cents, marking a 29.8% to 38.3% increase over the 4.7 US cents reported in H1 FY23.
• Underlying Earnings per Share: Datatec expects underlying EPS to fall within the range of 9.4 to 9.8 US cents, representing an impressive increase of more than 100% over H1 FY23, which recorded 3.6 US cents. This metric excludes various adjustments outlined in the trading statement.

Forecast Information

It is important to note that the estimated financial information provided in this trading statement has not undergone review or reporting by Datatec’s external auditors. The company is planning to release its interim results for H1 FY24 around 23 October 2023.

Datatec’s solid performance in H1 FY24 is a testament to its resilience and adaptability in navigating a challenging business landscape. The company remains optimistic about its future prospects, despite global economic uncertainties.

This release was sponsored by Pallidus Exchange Services Proprietary Limited.