Computacenter (CCC) Trading Update summary

Trading performance

• Technology Sourcing volumes normalized in H1 2024 compared to an exceptionally strong H1 2023, with solid performance in Germany and North America but weaker UK hardware demand.

• Committed product order backlog grew significantly, driven by notable wins in North America.

• H1 2024 adjusted profit before tax expected at approximately £87m, down from £121.8m in H1 2023, impacted by order timing, increased strategic investment, and negative currency translation.

• Stronger momentum anticipated in H2 2024, supported by backlog and pipeline, though macro and geopolitical uncertainties persist.

• Full-year adjusted profit before tax expected to face a negative £7m currency translation impact at current rates.

Capital allocation and shareholder returns

• Up to £200m will be returned to shareholders via a share buyback, reflecting strong net funds and anticipated capital needs.

• Buyback aligns with policy to invest organically, pursue targeted acquisitions, and distribute surplus capital while maintaining a strong balance sheet.

• Positive adjusted net funds position expected to be maintained post-buyback.

Strategic investments and outlook

• Additional £6m invested in strategic initiatives in H1 2024, with full-year investment guidance unchanged at £28m–£30m.

• Full-year progress expected at constant currency, with H2 performance underpinned by backlog and opportunity pipeline.

• Half-year results for the period ending 30 June 2024 will be published on 9 September 2024.