Dicker Data half year revenue jumps due to Windows 11 refresh
Half year revenue results came in at $1.8bn for the Aussie distributor.
Australian distributor Dicker Data has the Windows 11 refresh to thank for its 15.7 percent jump in gross revenue for its half year results.
Posting its results earlier today, the distie reported a gross revenue of $1.8 billion and its EBITDA came in at $75.4 milliom, a 9.4 percent jump compared to the prior corresponding period.
The company’s operating profit before tax also increased 13.3 percent on the prior corresponding period, finalising at $57.6 million.
In its results, the company acknowledged the ongoing Windows 11 refresh positively impacting its revenue.
Dicker Data said “the Company is now seeing the Windows 10 refresh opportunity come to fruition”.
According to data from Microsoft, Dicker Data continued to lead the Australian device market in H125, with June marking the tenth consecutive month of growth in device sales for the Company.
It was also selected as the distributor to supply the technology to build Australia’s first sovereign AI factory, A1- F1. Located in Melbourne,
These wins for the company, also attributed to the company’s double digit revenue results.
Fiona Brown, executive chair at Dicker Data commented on the results, “The team delivered a strong first-half result, returning the Company to double-digit growth in a competitive market.
“Our focus remains on delivering long-term shareholder value by continuously adapting and tightening our go-to-market strategies to grow revenue, optimise product mix and drive efficiency.
Brown added, “Our execution across all segments was pleasing, with each key product category growing in the first half.”
Mary Stojcevski, CFO and executive director at Dicker Data said she is pleased to report a strong rebound in the first half of FY25, with the company returning to double-digit growth.
“While our gross profit margin declined versus the prior corresponding period, this was reflective our deliberate strategic shift towards higher value, lower margin enterprise business in light of the ongoing subdued nature of the SMB market,” she said.
“Increased upfront investment into growing our software business also impacted the margin result, however we expect to see the results of these investments benefitting the Company in the second half.”
Stojcevski said at a country level, Dicker Data’s Australian business delivered an 18 percent increase in gross revenue to $1.5 billion, with operating profit before tax up 14.5 percent to $52.9 million.
“Our New Zealand business also performed well, with gross revenue up 4.90 percent to $291.7 million, with profit before tax also rising 10.9 percent to $5.1 million,” she stated.
“Despite these results coming against a softer comparative period, they demonstrate the strength of our teams in both markets.”
For the remainder of the FY25 period, the company said it remains “optimistic”.