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DiData to invest in more services after a strong nine months of trading

Subsidiary Express Data achieves 19.5 per cent revenue rise in the nine months to June 30.

System integrator, Dimension Data, will invest heavily in its services offerings following a strong nine months of trading to June 30.

The group displayed a 4.7 per cent revenue rise to $1.46 billion for the third quarter ending June 30.

Services grew 10.9 per cent and products 0.2 per cent. Gross margin was up 1.4 per cent and gross profit increased 12 per cent. Operating profit rose 14.7 per cent to $74 million in comparison to Q3 in 2010.

DiData subsidiary, Express Data, experienced 11.4 per cent revenue growth during Q3 and in nine months to June 30, revenue rose 19.5 per cent.

Services within DiData’s systems integration business grew 12 per cent, managed services went up 12.6 per cent and professional services grew 11.4 per cent.

Overall group operating profit for nine months trading was also up 14.2 per cent to $203.7 million and revenues were up 13.4 per cent to $4.2 billion. Dimension Data CEO, Brett Dawson, stated it was investing aggressively in expanding the scope of its service offerings both organically and through acquisition.

In Q3, the group made a trio of acquisitions including US-based OpSource, Integral Axon in New Zealand and most recently, Simms International in Australia.

“During the quarter we acquired OpSource to accelerate our cloud strategy. Our focus on cloud services aligns with our long-standing strategy to become a services-led business,” Dawson said. “Over the past few years we have been building cloud-related skills and capabilities in the areas of virtualisation, datacentre and storage, managed services, hosting and IT outsourcing – all critical to enabling cloud architectures for our clients.

Nominations for the 2012 ARN IT Industry Awards open on Tuesday, June 12.

More about: Axon, Dimension Data, Express Data, Simms International
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