Exertis revenue driven up by audiovisual and components gains

Distributor's full-year revenue tops £3bn

Exertis has seen its revenue top £3bn after gaining market share in the audiovisual, gaming and components spaces.

For the year ending 31 March 2018, DCC Technology, which trades as Exertis, saw revenue climb 14.7 per cent year on year to £3.08bn, while operating profit was up 16.3 per cent to £47.8m.

Parent DCC, which plays in a number of other spaces including oil and healthcare, saw revenue increase 16.3 per cent year on year to £14.3bn (excluding the contribution from DCC Environmental, which was sold in May 2017).

Exertis also highlighted the contributions from recently acquired organisations towards the revenue growth.

The distributor acquired MTR in July 2017 and Hypertec in March this year, adding to the acquisition of Hammer in December 2016.

In an earnings report DCC said: "In the UK, DCC Technology's largest market, the business achieved very strong revenue and profit growth, driven by market share gains and growth in key product categories including audiovisual, components and gaming.

"The business continued to invest in both its product and service capability to allow it to take advantage of growth opportunities in audiovisual, home automation, enterprise software and consumer product solutions.

"Hammer, acquired in December 2016, achieved strong growth in sales of server and storage products into key markets, including the datacentre market.

"The acquisition of MTR in July 2017 has allowed DCC Technology to enhance its service offering in the mobile market, strengthening its relationships with key vendor and retail partners. The business has performed very strongly since acquisition and provides a platform to extend its service offering outside the UK."

DCC also said that Exertis' new UK distribution centre is operational, with most of its original warehousing now sold off.

It added that the Irish arm of the business delivered "strong organic growth", while the French business is looking to "significantly reduce costs", with its conditions for its consumer products business remaining "very challenging".