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Dimension Data Holdings plc reports 140% increase in operating profit

Dimension Data Holdings plc, leverancier van netwerkinfrastructuur- en (IP-) telefonieoplossingen, behaalde een operationele winstgroei van 140% over boekjaar 2005 ten opzichte van het financiele jaar 2004. Dit blijkt uit de voorlopige resultaten over het financiële jaar 2005 (eindigend op 30 september 2005) die Dimension Data vandaag bekend maakt.

U vindt het volledige, Engelstalige persbericht hieronder.

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***

Dimension Data Holdings plc Preliminary Annual Results Year ended 30 September 2005

Dimension Data Holdings plc reports 140% increase in operating profit

Barneveld, 16 November 2005 - Dimension Data Holdings plc ("Dimension Data" or the "Group"), a leading global technology group, today announced its results for the year ended 30 September 2005.

Financial Highlights
* Group revenues up by 15.2 %
* Network Integration revenues up by 7.7%
* Strong Solutions revenue growth, up by 41.9%, exceeding revenue of $750 million for the first time
* Gross margin at 20.4% (2004: 20.7%)
* Overheads well controlled, as a percentage of Group revenues improving to 18.1% (2004: 19.6%)
* Group operating profit (1) more than doubles to $61.7 million (2004: $25.7 million), reflecting the Group's operational leverage
* Group operating margin (1) more than doubles to 2.3% (2004: 1.1%)
* Cash inflow from operations up by 43.1% to $110.9 million compared to $77.5 million in 2004
* Basic earnings per share 1.3 US cents (2004: loss 2.8 US cents)

Operational Highlights
* Successful execution of our Solutions lines of business strategy
* Robust revenue growth with effective cost control, delivering improved operating leverage

Dimension Data today reported Group revenue growth of 15.2% to $2,727 million. Both Group operating profit and Group operating margin increased considerably. Group operating profit increased by 140% to $61.7 million and Group operating margin doubled to 2.3%.

The revenue growth reflected a 7.7% increase in the Network Integration line of business and an excellent performance from our Solutions lines of business where revenues increased by 41.9% on 2004. As a result, Solutions now account for 28% of revenue, up from 23% in the comparable period.

Commenting on the results, Brett Dawson, CEO, Dimension Data, said: "The successful execution of our strategy to expand aggressively into our chosen market segments, combined with the commitment of a highly skilled employee base, have contributed significantly to a very successful year.

"The double digit revenue growth has, combined with the ongoing containment of our fixed costs, contributed significantly to the Group's improved profitability."

Continental Europe(2)
Continental Europe recorded 1.0% growth in revenue, but a decline in operating profit, from $7.4million in 2004 to $6.9million this financial year.
Solutions revenues improved by 52.0%, driven by excellent performances within the Customer Interactive Solutions (CIS), Converged Communications and Data Centre and Storage lines of business. 

The Benelux countries continued to perform very well, and in particular the acquisition in the first half of the year of a Microsoft based application services company, Euricom, supplemented a strong performance from the Belgian operation. 

Commenting on the Continental Europe results, Russell Bolan, CEO, Dimension Data, Europe said: "This past year we have experienced difficult market conditions in Continental Europe.  We cannot be satisfied with the overall performance, however we are pleased by the growth in our Solution lines of Business and encouraged by the current projected market outlook for IT spend across the region.  The announcement in September of the amalgamation of the UK and Continental Europe into one operating region, and the consolidation of the central management teams of the two regions, will improve our ability to deliver multinational solutions and services to clients and leverage our execution capabilities across Europe in order to improve performance."

Looking forward for the Group, Dawson said: "As we move into 2006, we are confident that we will continue to deliver improved returns for our shareholders.  During the year, market trends such as the network playing a critical role in the integration of disparate technologies, particularly in the areas of voice and data, have benefited the business. 

"The convergence of technologies onto the network, together with our expertise in delivering business value from IT, positions us well to deliver on our clients' requirements - that technology be an enabler to deliver on strategic business initiatives such as profitability, operational efficiency, and competitive advantage."

-ENDS-

(1) Before associates, goodwill amortisation, impairment and exceptional items
(2) All references to percentage change in turnover, gross profit and operating profit1 as well as gross profit margins are after adjusting for the impact of currency movements, and excluding acquisitions and disposals not fully accounted for in either the current period or the comparable period. All changes are relative to 2004.

To view the RNS please go to: www.dimensiondata.com

About Dimension Data
Dimension Data plc (LSE:DDT) is a specialist IT services and solution provider that helps clients plan, build and support their IT infrastructures. Dimension Data applies its expertise in networking, security, operating environments, storage and contact centre technologies and its unique skills in consulting, integration and managed services to create customised client solutions.


Verstreken tijd: 21 jaar en 151 dagen
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