Exertis cheers as acquisitions and services fuel revenue growth

Distributor announces further acquisitions in Europe

Exertis' delve into the US market with the acquisitions of Jam and Stampede has yielded record results, as it reported revenue of £3.6bn.

For the year ending 31 March 2019, DCC Technology - which trades as Exertis - saw revenue climb 21 per cent, while operating profit grew 35 per cent to £64.7m.

Parent company DCC - which plays in a number of diverse sectors, including healthcare and oil - reported total revenue of £15.2bn, a 16 per cent climb from last year's figure.

The distributor also hailed market gains in the mobile, datacentre and audiovisual (AV) spaces, as well as its growing services business as significant revenue drivers.

In an earnings report, DCC stated: "DCC Technology recorded very strong growth with operating profit increasing by 35 per cent, driven by acquisitions completed in the current year and strong organic profit growth in the UK & Ireland.

"In the UK & Ireland, the business achieved very strong revenue and profit growth, driven by market share gains and growth in the mobile, datacentre and AV sectors.

"The business also benefited from the continued development of its service proposition, including device life cycle management.

"The upgrade of the enterprise management system in the UK business is continuing, with the system now live in an element of the UK business, with the remaining components of the business scheduled to go live during the next financial year.

"The upgrade is expected to significantly enhance the capability of the business to service its customers and suppliers."

Exertis also announced a brace of European acquisitions.

It has purchased German VAD Comm-Tec, which distributes to resellers and system integrators and Dutch electronics, AV and IT distie Amacom.

The combined initial enterprise value of both acquisitions is approximately £55m and they are subject to customary regulatory approvals.