Computacenter meets profits forecasts

Despite the PC slump and thanks to services...

IT distributor Computacenter has said it will turn in year-end profits in line with forecasts of £52m. This figure is down from £55.57m a year ago and is largely attributable to a second half slump of 28 per cent in sales of PCs in the UK. The company added that it doesn't expect to see an improvement in this market in the coming year. Computacenter draws about 70 per cent of its revenue from sales of PCs. But in a world where selling the box is not always enough to sustain profitability, Computacenter has been striving to run computer systems for enterprises and develop its services arm. The company's ability to shield its profit with services earnings has been welcomed by analysts. It is expected the company will see a rise in 2002 profits compared with 2001. Shares were off by 1.5 per cent this morning. Full-year earnings will be reported on 13 March.