Computacenter (CCC) H1 2025 earnings summary

Executive summary

• Achieved strong H1 2025 growth despite macro and political uncertainty, with record performance in North America and a return to growth in the UK, driven by Technology Sourcing and AI-related demand.

• Adjusted operating profit rose to £82.1m, with North America delivering record results and the UK returning to growth; Germany and France saw softer performance due to lower public sector activity.

• Major customer base expanded to 197, up 14 year-over-year, supporting long-term growth and resilience.

• Continued strategic progress, disciplined capital allocation, and ongoing investments in systems, tools, and targeted acquisitions.

Financial highlights

• Gross invoiced income rose to £5.7bn, up 27.0% in constant currency year-over-year; Technology Sourcing gross invoiced income increased 32.2% to £4,856.5m.

• Revenue increased to £3,988.8m, up 28.5% year-over-year; Services revenue up 2.8% to £808.8m.

• Gross profit reached £504.2m, up 8.6% in constant currency, but gross margin declined by 257bps to 12.6% due to high-volume, lower-margin projects.

• Adjusted operating profit was £82.1m, up 4.2% in constant currency; adjusted PBT was £81.5m, down 6.5% year-over-year.

• Adjusted diluted EPS was 52.5p, down 4.5% year-over-year; dividend increased to 23.6p.

Outlook and guidance

• Healthy product order backlog up 23.7% year-over-year to £2,195.9m, with a strong start to Q3, especially in North America.

• Full-year adjusted operating profit expected to exceed prior year, despite a £4m adverse currency impact.

• Technical guidance: central costs c.£55-60m, capex c.£35m, adjusted effective tax rate 29.5-31.5%, dividend cover 2-2.5x adjusted diluted EPS.

• Anticipates some recovery in German public sector in H2; France expected to remain challenging.