itX profits hit $3.1 million

itX profits hit $3.1 million

Strong performing areas included Sun Microsystems and IBM

ASX-listed distributor, itX (ASX: ITX), has recorded a 225 per cent increase in net profits to $3.1 million for the six months to December 31.

The company also saw revenues rise by 22 per cent to $50.4 million. Managing director, Laurie Sellers, said it had experienced growth across all of the major products in its portfolio such as Sun Microsystems, IBM and Citrix.

"It has been a very buoyant period and the general market is fairly strong at the moment," he said. "We have increased our market share across a number of products as well because we have a strong team that is focused on adding value to software licensing and renewals."

itX's cash flow for the first half of the financial year was $1.62 million in the red after one-off expenditure costs, including an acquisition payment of $1.58 million and a dividend payment of $500,000.

Sellers said there were also some debtor payments. They weren't received until January and improved the cash balance from $2.4 million to $10.2 million.

The top performing hardware area was Sun Microsystems. IBM software sales were another highlight, Sellers said. itX also experienced strong results across Trend Micro, Oracle and HP.

"Our big coup this year was winning full access to VMware, which is growing very quickly," he said. "We have also had steady growth with Apple as well, so that is beginning to contribute and I think we'll see more of that in the second half."

itX would also continue to assess potential acquisition targets, Sellers said.

Last financial year, the distributor recorded a 35 per cent rise in revenue to $92.155 million.

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