Datatec management expect the ICT group will deliver strong earnings growth in the year to February 28, 2026.
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Datatec’s share price notched up over 3% after it forecast that headline earnings per share would increase substantially by between 51% and 58,8% for the year ending February 29.
The share price for the ICT group, which operates in more than 50 countries, traded at R76,03 on the JSE on Thursday. The price had also gained 26,7% from R60,03 a year ago. The group's technology distribution services are provided through Westcon International, while integration and managed services are delivered through Logicalis International and Logicalis Latin America.
In a trading statement, the group indicated that headline earnings per share are expected to be between 38,5 and 40,5 US cents, compared with 25,5 US cents in the 2025 financial year.
The Westcon International business continued to deliver a “very strong financial performance” during the second half, while Logicalis International achieved “an exceptional performance.” Logicalis Latin America saw a slight improvement in gross profit, and its overall financial performance continued to improve, according to Datatec’s directors.
The board continued to assess peer reporting and best practices in defining underlying earnings. To more closely align underlying earnings with the group's other adjusted earnings metrics and in line with peer reporting, the group decided to present underlying earnings excluding share-based payments.
Underlying earnings per share were expected to be between 47 and 49 US cents, compared to 35.7 US cents in 2025. The full-year results are expected to be released on May 26.
In a trading statement at the end of March 2026, the group had forecast gross profit to be about $998 million for the 2026 financial year, representing an increase of about 10% on the prior year.
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