Datatec slides after profit warning

renjith krishnan

renjith krishnan

Published Jan 16, 2013

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Johannesburg - Shares in Datatec (DTC) dropped nearly 6% to their lowest point in about five months on Wednesday after the ICT group said its full-year performance would be lower than originally forecast.

Net profit in the year to February 2013 are expected to be in the range of US$80 million to US$90 million‚ from US$89 million a year ago.

CEO Jens Montanana said: “Our global reach and diversity are continuing to provide relative resilience against the poor economic backdrop of many of the world's economies. Although disappointed by the recent developments in Westcon‚ we are not immune to the continuing weakness in many sectors‚ especially in the more mature markets. We are already adjusting our business model accordingly.”

At 9.58am‚ the share price was down 5.76% to R46.65‚ valuing the company at R8.978 billion. - I-Net Bridge

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