Exertis hauls in over £1bn sales in first half
Anglo-Irish distributor posts eight per cent growth in first half
UK and European distributor DCC Technology – which trades as Exertis – has landed one in the eye of the US-based broadliners by announcing an eight per cent sales spike.
Revenue at the distributor, part of London-listed group DCC, rose by 8.2 per cent to £1.038bn in the six months to 30 September on an annual comparison, with operating profits bulging 7.7 per cent to £15.2m
DCC Technology is the second-largest division of DCC, which reported total operating profits of £72.3m on revenue that rose 1.9 per cent to £5.5bn during the same period. All of DCC Technology's operating businesses were rebranded under the Exertis banner a year ago, with its two main traditional UK brands, Gem and Micro-P, being dropped altogether in September.
Dublin DCC stumped up £148m on acquisitions during its first half, including £15m within DCC Technology in September on the acquisition of Captech, which it billed as Sweden's third-largest IT distributor.
Captech's contribution boosted the performance of DCC Technology during the reporting period but DCC indicated that Exertis' UK and Ireland business enjoyed a strong first half. The business "maintained its position" as the leader in the UK retail distribution market, while achieving "strong growth" in its reseller business, DCC indicated.
"Growth was achieved in the server, security and PC product categories as the business has strengthened its services and technical capability," it said.
As well as the UK and Ireland, DCC Technology also operates in France, the Netherlands and now Sweden. Its continental European distribution business improved its performance in "what remains a difficult market", it added, and the firm "continues to seek opportunities to expand its presence in other geographic markets".
DCC Technology's growth is broadly in line with that seen by its global, US-based competitors, with Ingram Micro and Tech Data, for instance, growing 11 and eight per cent respectively, in their most recently reported quarters.
As well as IT distribution, DCC also has interests in the energy, healthcare, food and drink, and environmental sectors.