Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Datacom Drives Forward

Datacom Drives Forward

Datacom Group Ltd Delivers a Strong Business Performance, Launches New Sector-
Specific Services And Appoints a New Ceo for Australia

1 September 2014 — New Zealand head-quartered and owned information and technology organisation Datacom Group Ltd is pleased to report a strong year of progress and substantial lift in profit for the year ending 31 March 2014.

The total Group profit before tax totalled $64.7m compared to last year’s $50.9m, an increase of 27%. Operating profit before gains on assets divested was in line with last year, with overall revenue up by 1.3% from $870m to $881m.

Datacom Group Chairman Craig Boyce says, “We’re pleased to report an excellent performance. Overall the Group maintained a 10-year compound annual growth rate of 12.5% for revenue and 11% for profit; this result demonstrates the sound strategic direction of the company and the long-term financial stability of the Datacom Group.”

Datacom Group CEO Jonathan Ladd says, “It has been an exhilarating year of progress for Datacom.”

And today Datacom announces the appointment of Theresa Eyssens as CEO of Datacom Systems Australia. “Theresa Eyssens has the expertise and energy to drive Datacom forward, faster. She is a welcome addition to the Australian marketplace for Datacom and to our Group Executive leadership Revenue for Datacom New Zealand rose by 12% to $466m for the year; this was achieved through growth in the core service lines of software development, IT management and data centres across Datacom New Zealand strengthened its position as a top-tier provider in the markets in which it operates.

As the largest provider of custom software development in New Zealand, Datacom has been adding the skills required to enable clients to benefit from new technologies including mobility The New Zealand payroll business increased its total payee base by over 12%, while the business process outsourcing division, which is now organised on a trans-Tasman basis and named Datacom In March 2014 Datacom acquired Origen Technology, a New Zealand-based supplier of software and services to local government.

This business operates under Datacom Solutions, the business unit focused on providing sector-leading IT products and services to the local government, payroll, education and other sectors in the future.

Datacom currently has a network of 12 data centres located in all major Australian and New Zealand cities. Seven are owned and operated by Datacom and five are partner facilities.

Jonathan Ladd says, “While customer requirements are evolving with virtualisation and cloud adoption, Datacom’s regional data centre network is a core platform to enable further competitive growth in the emerging as-a-service delivery paradigm.”

Datacom Australia and South East Asia revenue was down on last year, reflecting a depressed IT project spend in the Australian market during calendar 2013, coupled with the reduction in revenue from Asia as a result of the contact centre business divestment.

“We have increased our business in both the state and local government sectors in Australia and our third-party hardware resale business grew during the year and increased its market share and customer base in what has been a difficult market,” says Ladd.

The Datacom operations in Kuala Lumpur and Manila traded profitably during the year and are focused on expanding their regional and global customer base.

“Our Asia IT services business is poised to capitalise on the opportunity of a rapidly maturing IT market in Asia, a market which Datacom remains committed to growing its presence,” says Ladd.

Excluding the impact of the divestment of Datacom's Asia contact centres, resulting in 850 staff shifting to Convergys, staff numbers increased by 6%. At year end staff numbers totalled 3,756 with 2,371 in New Zealand, 1,245 in Australia and 140 in Asia.

Key points in summary: (in NZD)

• Total operating revenue was $881m, up 1.29%

• Profit before tax was $64.7m compared to last year’s $50.9m, an increase of 27%.

• Profit after tax was $51.4m

• Staff numbers up 6%

• $40.8m capital expenditure for the year

Key points in summary: (in AUD)

• Total operating revenue was $825m, up 1.29%

• Profit before tax was $60.6m compared to last year’s $47.6m, an increase of 27%.

• Profit after tax was $48.1m

• Staff numbers up 6%

• $38.2 million capital expenditure for the year

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Strike: Lyttelton Port Workers Vote To Escalate Dispute

Members of the Rail and Maritime Transport Union (RMTU) at Lyttelton Port today voted to escalate their industrial action. Around 200 RMTU members have been operating an overtime ban since 17 December and today they endorsed a series of full withdrawals of labour at the port. More>>

ALSO:

Scoop Business: NZ Dollar Falls To 3-Year Low As Investors Favour Greenback

The New Zealand dollar fell to its lowest in more than three years as investors sold euro and bought US dollars, weakening other currencies against the greenback. More>>

ALSO:

Scoop Business: NZ Govt Operating Deficit Smaller Than Expected

The New Zealand’s government’s operating deficit was smaller than expected in the first five months of the financial year as a clampdown on expenditure managed to offset a shortfall in the tax-take from last month’s forecast. More>>

ALSO:

0.8 Percent Annually:
NZ Inflation Falls Below RBNZ's Target

New Zealand's annual pace of inflation slowed to below the Reserve Bank's target band in the final three months of the year, giving governor Graeme Wheeler more room to keep the benchmark interest rate lower for longer.More>>

ALSO:

NASA, NOAA: Find 2014 Warmest Year In Modern Record

Since 1880, Earth’s average surface temperature has warmed by about 1.4 degrees Fahrenheit (0.8 degrees Celsius), a trend that is largely driven by the increase in carbon dioxide and other human emissions into the planet’s atmosphere. The majority of that warming has occurred in the past three decades. More>>

ALSO:

Scoop Business: New Zealand’s Reserve Bank Named Central Bank Of The Year

The Reserve Bank of New Zealand’s efforts to stifle house price inflation by using new policy tools has seen the institution named Central Bank of the year by Central Banking Publications, a publisher specialising in global central banking practice. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news