| Wed 9 May 2007, 8:00 | | DDT - Dimension Data - Unaudited Interim Results f |
|
DDT
DIDDT
DDT - Dimension Data - Unaudited Interim Results for the Six months
ended 31 March 2007
Dimension Data Holdings Plc
("Dimension Data")
(Incorporated in the United Kingdom)
(Registration number 3704278)
Issuer code: DIDDT
JSE Share Code: DDT
ISIN Code: GB0008435405
Dimension Data Holdings plc
Unaudited Interim Results
Six months ended 31 March 2007
Dimension Data Holdings plc ("Dimension Data" or the "Group") today announced
its results for the six months ended 31 March 2007. The results have been
prepared in accordance with International Financial Reporting Standards.
Highlights
- Robust revenue growth - up by 22.2% to $1.8 billion
- Growth driven by Network Integration up 20.5.% (2) and Converged
- Communications up 63.8% (2)
- Services revenue up 20.6% (2)
- Gross margin 20.9% (H1 2006: 20.6%)
- Operating profit (1) up 50.4% to $55.0 million (H1 2006: $36.6 million)
- Operating margin (1) up by 0.6% to 3.1%
- Effective tax rate (1) 28.5% (H1 2006: 35.5%)
- Earnings per share (1) up by 100.0% to 1.8 cents (H1 2006: 0.9 cents)
Financial Summary
Six months to Six months to
$`000 31 March 2007 31 March 2006
Revenue 1,770,140 1,449,071
Operating profit 48,425 35,631
Margin 2.7% 2.5%
Operating profit (before exceptional items) 55,032 36,598
Margin (before exceptional items) 3.1% 2.5%
Effective tax rate 25.2% (31.2%)
Effective tax rate (before exceptional items) 28.5% 35.5%
Profit attributable to equity shareholders
of the parent 32,613 27,708
Profit attributable to equity shareholders
of the parent
(before exceptional items) 26,991 12,573
Earnings per ordinary share (US cents) 2.1 1.9
Earnings per ordinary share (before exceptional
items) (US cents) 1.8 0.9
Notes:
(1) Before exceptional items. See reconciliation in Note 3.
(2) Before intercompany revenue eliminations, after adjusting for the impact
of currency movements.
Brett Dawson, CEO, said:
"The first half of FY2007 was a period of outstanding progress across the
business, with strong growth in all our key financial metrics, notably a
doubling of earnings per share (1).
Our strategy is to provide infrastructure and services that enable companies to
adopt a converged network to realise efficiency and cost gains. As more and
more of our clients take this step, we are benefiting and the first half of the
year saw growth across all lines of business and in every region.
Building on our strong performance in H1 2007, we are confident there are still
opportunities for improvement in our existing business and we are ideally
positioned to benefit from these significant market trends. Realising the
potential of Dimension Data is a multi-year journey and we remain optimistic
regarding our potential to deliver continued long term value to our
shareholders."
Delivering outstanding performance
For Dimension Data, the first half of FY2007 has been a period of strong
progress across the business. We generated tremendous improvements in financial
performance driven by 22.2% revenue growth, operating profit (1) acceleration
of 50.4% to $55 million and 100.0% earnings per share (1) expansion to 1.8
cents.
Dimension Data`s committed and highly skilled employees are at the centre of
this success. Our performance is directly related to the excellent execution by
our employees, each and every day. This employee commitment and dedication
differentiates us in the market.
Our financial performance reflects the strides we have made in executing our
operational strategies of Profitable Growth, Client Experience, Operational
Excellence and People and Culture.
Our Profitable Growth has been driven by:
Capturing the market opportunity
During the first six months of FY2007, we benefited from our clients` continued
focus on gaining operational efficiencies and taking costs out of their IT
infrastructure. Clients are standardising on an Internet Protocol (IP)-based
infrastructure to streamline their overall IT infrastructure.
Migration of separate voice and data IT infrastructures onto a single, IP-based
converged network that supports voice, data and video, underpinned robust
performances in our Network Integration, Converged Communications and Security
lines of business. These lines of business represent approximately 60% of our
revenues and continue to experience strong expansion.
Several other market factors contributed to our strong financial performance
across these three lines of business. The upgrading of campus and wide area
networks to improve (2) network capacity and optimise existing bandwidth
contributed to a 20.5% growth in Network Integration. The extension and growth
of IP-based infrastructure, specifically IP Telephony, throughout the entire
enterprise contributed to 63.8% (2) growth in Converged Communications. The
development of more complex and robust security solutions that are embedded in
the network contributed to continued growth in our Security line of business.
Within our contact centre-focused line of business, Customer Interactive
Solutions (CIS), the adoption of IP-based contact centre infrastructure also
drove growth, as our clients replaced outdated TDM-based contact centres with
IP-based telephony infrastructures.
Clients continued to implement compliance and risk management strategies to
meet regulatory requirements. These are requiring clients to enhance their IT
architectures and processes around the archiving, securing and backing up of
large volumes of corporate information. The need for expanded data management
and storage infrastructure contributed to a solid growth in our Data Centre and
Storage line of business.
In addition to reducing the costs and complexity associated with their
communications infrastructure, clients are looking to streamline the management
of their Microsoft infrastructure. By improving the manner in which their
Microsoft infrastructure is upgraded, migrated, consolidated and secured,
clients can streamline their daily IT operations and reduce operational costs.
During H1 2007, we invested in our capabilities to assist clients with managing
their Microsoft infrastructure and achieved a 7.5% (2) growth in our Microsoft
Solutions line of business.
Growth driven by our lifecycle of services approach
Our strategy of providing clients with a full lifecycle of services including
"plan, build, support and manage" services, together with our efforts to attach
services to product sales and increase our managed services base, have
supported the growth of 22.7% (2) in product revenues and 20.6% (2) in services
revenues.
Geographical performances
Africa, Asia and Australia performed exceptionally well.
Africa achieved excellent revenue growth of 48.0% (2) and an operating profit
(1) growth of 40.1% (2). This performance was driven by public sector client
wins, expansion outside of South Africa, strong demand from African
telecommunication service providers, as well as excellent growth from Plessey
and Internet Solutions.
Asia`s focus on its business mix and profitability produced solid revenue
growth. Continued expansion of the gross profit percentage and operating margin
resulted in operating profit increasing by 38.5%.
In Australia, operating profit (1) increased by 76.3% (2), reflecting growth
and a focus on improved productivity.
The US generated operating profit of $5.5 million, up 4.7%. Revenue growth was
3.9% (2), on the back of a very strong H1 2006. A weaker performance in DCS
masked strong growth in other lines of business, particularly in Converged
Communications and Security. In addition we continued to invest in our
operational delivery capability.
Progress with the European turnaround programme resulted in robust revenue
growth of 21.8% (2) and improved performances in most European countries
including a return to break-even in France. The corrective actions taken in
FY2006 in Merchants and our UK cabling business are yielding improved results.
Improving our Clients` Experience
Our procurement and logistics services combined with our improving ability to
deliver consistent services in over 100 countries around the world remain key
differentiators in attracting and winning business from multinational clients,
witnessed by a 31% increase from this client segment. The Group moved to a
single sales automation platform during the period, unifying the sales pipeline
and client database used by our sales personnel around the world. This
initiative has enhanced visibility and collaboration across geographies and is
especially valuable as we seek to enhance engagement and to cross-sell and
up-sell opportunities with multinational clients.
Strengthening our People and Culture
Our continued focus on our People and Culture strategy as a cornerstone of a
successful services business has helped in maintaining high employee
satisfaction, with a third successive year of improved employee satisfaction
ratings.
In Australia, we were independently voted by Australian corporates, as both the
best IT Service and the best Services Firm by Business Review Weekly,
Australia`s leading business publication.
Execution through Partners
Our status as an industry leader was evidenced by winning 15 Awards at the
Annual Cisco Partners Conference held in April. We won Cisco`s most prestigious
award, the Global Enterprise Partner of the Year award, numerous regional
awards and the Emerging Markets Customer Satisfaction Partner of the year
award. We have also won awards from other leading manufacturers including
Bluecoat, Computer Associates and EMC2, HP, Sun and Symantec.
These reflect the strong, consistent value that Dimension Data brings to
clients around the globe and our commitment to excellence, innovation and
leadership.
Building a solid foundation for future growth
The strategy of the past few years of investing in both our lines of business
and services is delivering results. We intend to continue to invest to ensure
we capture the market opportunity early on and thereafter build returns through
scale and efficiency gains as markets move to maturity. We will continue to
invest in our service offerings and the systems and processes that deliver
value to our clients, to improve our operational excellence and drive
standardisation.
While our growth strategy remains primarily organic, we will expand our
footprint to ensure we secure future growth from important new markets. During
the period we have focused on building out our strong position in Emerging
Markets with acquisitions in the Czech Republic and Namibia.
We have also expanded our presence into Canada and increased our capabilities
in Mexico. Subsequent to period end we extended our minority stake in our
Brazilian operation to 50.1% and entered into a joint venture with SCS in
Japan.
After evaluating our competitive position in the Scandinavian region and
considering opportunities for growth elsewhere, in April we announced the sale
of our Swedish operation. We will continue to offer our existing clients
excellent service through a reciprocal agreement with a local integrator.
Outlook
The Group reported a particularly strong trading performance in the first half
of the year when its growth rates were bolstered by stronger than expected
revenue growth, notably in Africa and Europe. While Dimension Data remains
ideally positioned to benefit from significant market trends including the
continued adoption of IP-based infrastructure and the implementation of the
converged network, we expect our revenue growth rate in the second half of the
year to be more moderate, tracking the historical growth rates of the recent
past. We will continue to focus on driving improved profitability ratios
through efficiency and scale benefits combined with a close focus on the
overhead base. The potential of Dimension Data will continue to be realised
over the next few years as we achieve our goals and we remain optimistic in
delivering long term value to our shareholders.
Review of Trading and Operations
To facilitate understanding of the underlying performance of the business, in
the review below, the following adjustments are made:
Unless otherwise indicated, the impact of exceptional items incurred during
the period is excluded.
To reflect the underlying organic performance of the business, growth
percentages over H1 2006 in the assessment of the income statement below are
adjusted for the impact of currency movements.
Revenue growth percentages are reflected before adjusting for intercompany
revenue.
No adjustment is made in the comparisons for acquisitions made during the
current or prior period as these are not considered material to the
comparisons.
Revenue for the six months to 31 March 2007 was $1,770.1 million, an increase
of 21.9% over the prior period. Product revenues grew by 22.7% and Services
revenues by 20.6%, and Product accounted for 60.8% of revenues for the half.
Gross profit for the six months was $370.3 million, up 24.9%, while gross
margin improved by 0.6% to 20.9%. Operating profit was $55.0 million, an
increase of 63.7% on the prior period.
The operating margin improved from 2.5% to 3.1%.
Interest and investment income, reflecting mainly interest on cash holdings,
was $5.5 million, while finance costs on bank loans were $13.6 million. Other
gains and losses reflects a net gain of $13.1 million, including $13.6 million
in respect of the revaluation of a portion of the South African property asset.
This amount is disclosed as exceptional in the current period.
The Group tax charge was $14.1 million, an effective tax rate on profit before
tax of 28.5% (H1 2006: 35.5%).
Earnings per share was 1.8c per share, an increase of 100.0% on the prior
period.
Three exceptional items are reported, together resulting in a net $5.6 million
credit to profit attributable to equity shareholders.
Group cash and cash equivalents, net of bank overdrafts, were $351.7 million
(FY2006: $341.7 million), reflecting the growth in the business as well as an
improvement in working capital management in the period.
Regional Performance
The revenue and gross margin in the tables below are as reported, whereas the
growth percentages are reflected before intercompany revenue eliminations, and
after adjusting for the impact of currency movements.
$`000 Africa Asia Australia Europe
2007
Revenue 387,505 272,513 358,903 470,046
Growth % 48.0 14.6 18.2 21.8
Product 126,138 174,995 279,233 299,016
Growth % 75.2 14.3 18.0 36.0
Services 261,367 97,518 79,670 171,030
Growth % 38.1 15.3 17.9 3.3
Gross margin % 27.4 18.9 18.3 20.5
Operating profit 37,259 16,606 13,059 4,284
Restated *
2006
Revenue 299,164 237,702 285,951 356,072
Product 78,468 153,139 223,084 202,353
Services 220,696 84,563 62,867 153,719
Gross margin % 29.3 18.4 18.7 18.5
Operating profit 29,657 11,994 6,945 (77)
$`000 US Central Group
2007
Revenue 276,971 4,202 1,770,140
Growth % 3.9 21.9
Product 211,158 4,021 1,094,561
Growth % 0.2 22.7
Services 65,813 181 675,579
Growth % 19.8 20.6
Gross margin % 15.9 20.9
Operating profit 5,524 (21,700) 55,032
Restated *
2006
Revenue 268,039 2,143 1,449,071
Product 215,240 2,042 874,326
Services 52,799 101 574,745
Gross margin % 15.6 20.6
Operating profit 5,276 (17,197) 36,598
H1 2007 Change on
$`000 H1 2006
%
Lines of business
Network Integration 797,866 20.5
Other Global 561,464 21.6
Regional 410,810 25.1
Total 1,770,140 21.9
H1 2007 Change on
$`000 H1 2006
%
Revenue streams
Product 1,094,562 22.7
Managed Services 421,945 14.5
Professional Services 253,633 32.7
Total 1,770,140 21.9
* Restated for IFRIC 4 and foreign exchange reclassifications (see below for
further details).
Lines of Business
Revenue growth was 21.9%. Within our global lines of business, Network
Integration grew by 20.5%, Converged Communications by 63.8%, Security by
15.8%, Data Centres and Storage (DCS) by 19.0% and Microsoft Solutions
(previously described as Operating Environments and Messaging) by 7.5%.
Customer Interactive Services (CIS), impacted by the downsizing of Merchants in
2006, declined by 1.0%. Our other "regional" lines of business grew by 25.1%.
Network Integration contributed 45.9% of revenues. Demand is supported by core
network upgrade opportunities, and we believe growth in this line of business
reflects continuing market share gains.
The growth in Converged Communications reflects the Group`s market leadership
in the provision of IP Telephony solutions and market acceptance of IP
Telephony as the preferred technology for the replacement of end of life
traditional telephone systems. Growth was robust in all regions.
Demand for the Group`s Security offerings remains sound as security is
increasingly embedded in the network and technologies and systems continue to
converge, and we were pleased with progress made in our Data Centres and
Storage line of business.
CIS growth, excluding Merchants, was 19.8%, reflecting continued demand for the
Group`s contact centre solutions. Revenues in Merchants were lower because of
the downsizing of its operations in the second half of 2006, while the
operating performance was much improved in the period.
The Microsoft Solutions line of business grew by 7.5%. While the growth is
modest, we believe we are seeing early success in the focused execution around
value-based solutions that enable our clients to improve the management of
their Microsoft infrastructure, and ensure that their operations are
streamlined, costs are lowered and infrastructure is more secure.
In the regional lines of business, 74.5% growth in Plessey was exceptional,
reflecting continued demand for its pan-African mobile infrastructure services.
Internet Solutions was up by 26.9%, on the back of strong growth in its Virtual
Private Networks offerings, its pan-African network services and its hosting
services.
Revenue Streams
Momentum in our Product revenues continued, up by 22.7%, and our ability to
deliver product efficiently and effectively to our clients remains a key
component of the integrated solutions we deliver to our clients.
Growth in Services revenues accelerated, up by a strong 20.6% to $675.6
million. Our lifecycle of services approach was underpinned by clients`
requirements for greater flexibility in their IT services and support models.
Furthermore, improvements in our ability to attach services to our product
sales and our Global Services Alliance with Cisco helped to drive growth.
Within Services, managed services growth, excluding Merchants, was 20.6%, and
professional services were up by 18.2%, adjusting for Plessey.
Gross Margin
Gross margin improved by 0.6% over H1 2006, to 20.9%. This reflected slightly
firmer Product margins and stable Services margins.
Managed services margins improved as a result of focused effort on a number of
fronts to improve efficiencies and the recovery in Merchants. Professional
services revenue growth was robust, while margins were slightly lower as we
continue to invest in improving the efficiency of our professional services
operations.
In Africa, the blended gross margin declined by 2.7%, due to the growth in
Plessey at lower than average gross margins and to product sales to Service
Providers and the Public Sector.
Regions
Africa`s operating profit expanded by 40.1%, driven by exceptional revenue
growth. All the key businesses performed strongly. The Group`s reported results
include a vested interest for our Black Economic Empowerment partners of
9.225%.
The Group`s Asian subsidiary recorded another excellent performance. Supported
by solid revenue growth, gross margin expansion and overhead management,
operating profit expanded to $16.6 million, or 6.1% of revenues.
A solid performance was reported in Australia, particularly from the
Integration business.
Managed services revenues were 20.9% up, as a result of new customer wins and
low attrition in the existing managed services base. Improved efficiencies also
contributed to operating profit growth of 76.3%.
Europe reported significant revenue growth, expanding its customer base and
strengthened relationships with vendors. The region generated an operating
profit of $4.3 million, well up on the break-even result of the prior period.
This was assisted by the improved contribution from Merchants, while
improvement in most countries was encouraging. Germany continued to perform
well, while France and the UK consolidated their positions from difficult years
in 2006.
Switzerland reported disappointing results. Our Swedish operations were sold,
subject to regulatory approvals, subsequent to period end.
The US generated operating profit of $5.5 million, up 4.7%. Revenue growth was
3.9%, on the back of a very strong H1 2006. A weaker performance in DCS masked
strong growth in other lines of business, particularly in Converged
Communications and Security.
Operating Profit
Operating profit of $55.0 million was 63.7% up on the prior period. The
operating margin improved from 2.5% to 3.1%.
This reflects gross profit growth of 24.9%, and overhead growth of 19.9%.
Higher than average growth in overheads was incurred in Africa, Europe and at
the Centre. In Africa, growth was mainly volume related, particularly in
Plessey, Internet Solutions and in new operations outside of South Africa.
Europe`s increase in overheads reflects higher variable costs (commission and
bonus) in line with higher volumes and improved profitability, as well as
investment in skills to support future growth. At the Centre, the Group
invested in the rollout of its lines of business, services strategies and
group-wide systems and processes.
Share of Results of Associates
The contribution from associates increased to $3.1 million for the period.
Paracon, Automate, Healthbridge and Marpless (a Plessey associate) all made
healthy contributions.
A joint venture established during the period between Merchants and TSYS Inc, a
US technology group, also performed well.
Interest and Investment Income and Finance Costs
Interest of $5.5 million was mainly generated on the Group`s cash and cash
equivalents, which stood at $357.0 million at 31 March 2007.
Finance costs were $13.6 million. These included $11.2 million in respect of
the capitalised property finance lease in South Africa, $2.1 million on bank
loans and overdrafts, and $0.3 million on trade finance loans.
Taxation
The Group tax charge for the period was $14.1 million, before exceptional tax
items. This represents an improvement in the effective tax rate (i.e. the tax
charge as a percentage of adjusted profit before tax) to 28.5% from 35.5% in
the prior period.
Exceptional Items
Foreign exchange loss: In FY 2006, the Group reported an exceptional foreign
exchange gain of $7.5 million, as a result of its intention to settle an
intercompany loan. Although we still intend to settle the loan, at period end
it remained outstanding, and a loss was recognised due to changes in foreign
exchange rates. In addition, the Group intends to facilitate the settlement by
repaying certain other intercompany loans, and this resulted in the release to
the income statement of accumulated foreign exchange losses previously
recognised in equity. The net effect is an expense in the current period of
$6.6 million.
Revaluation of investment property: With effect from 1 January 2007, the Group
changed its accounting for that element (56.5%) of the South African property
capitalised under finance lease which is let to third parties, from
"owner-occupied" to "investment property". As a result, the investment property
was fair valued at 31 December 2006 and a gain of $5.6 million, before deferred
tax of $1.6 million, taken to equity at that date. Based on the Directors`
assessment of fair value at 31 March 2007, a further gain of $13.6 million is
recorded in the income statement as "Other gains and losses". In addition, a
deferred tax liability of $3.9 million was established.
Although the revaluation has been disclosed as exceptional, in future reporting
periods, because revaluations are likely to be recurring, they will be recorded
as normal gains or losses. Rental income from tenants will continue to be
recorded in operating profit.
Raising of deferred tax asset: A deferred tax asset of $3.8 million was created
as a result of a reassessment of the tax loss in South Africa.
Balance Sheet
Non-current assets
The Group`s investment in net property, plant and equipment reduced during the
period to $145.6 million mainly as a result of accounting for a portion of the
South African property capitalised under finance lease as an investment
property.
Capital expenditure on property, plant and equipment (net of disposals) was
$25.3 million, compared to $33.0 million in the prior period.
Depreciation Capex
$`M March March Sept. March March Sept.
2007 2006 2006 2007 2006 2006
Africa 10 11 20 17 23 41
Asia 3 4 8 5 2 6
Australia 2 2 4 1 2 3
Europe 4 4 8 2 3 5
US 1 1 2 1 1 1
Group 20 22 42 26 31 56
At 31 March 2007, the investment property element, being 56.5% of the total
South African property, was fair valued by the directors at $79.7 million.
Investments in associates increased to $21.0 million partly as a result of
Merchants` investment ($6.1 million) in the joint venture with TSYS Inc.
Trade and other receivables (long term)
Long term trade and other receivables increased from $26.0 million at year end
to $47.5 million at 31 March 2007, mainly as a result of a $28.0 million
purchase of vendor support for a multi-year maintenance contract in the UK.
Vendor finance was obtained for the full purchase price.
Current assets
Inventories of $187.0 million were in line with volume growth in relation to 30
September 2006 ($172.0 million), although this balance still represents a
significant increase on 31 March 2006 ($131.8 million). The biggest element of
the increase related to Europe, and there remain opportunities to reduce the
level of inventory investment in this region. Trade and other receivables were
$858.4 million compared to $762.7 million at H1 2006, and trade receivables
themselves increased by 14.7% to $652.6 million in relation to H1 2006 despite
higher revenue volumes for the period.
Shareholders` funds
Equity attributable to ordinary shareholders was $491.8 million at period end,
compared to $437.8 million at 30 September 2006 and $338.8 million at 31 March
2006. The increase reflects the improved profitability of the Group, as well as
the conversion to equity of $96.9 million of convertible loan notes in the
prior period.
Non-current liabilities
Obligations under finance lease of $139.0 million relate predominantly to the
property finance lease in South Africa. Other long term liabilities of $31.1
million include vendor financing for a long term maintenance contract in the
UK.
Current liabilities
Trade and other payables were $1,021.5 million at period end, compared to
$862.6 million at H1 2006. Trade payables were $379.2 million, up 10.1% on H1
2006. There were no material changes in the underlying payment terms with our
vendors.
Cash Flow
Cash and cash equivalents, net of bank overdrafts, were $351.7 million at 31
March 2007, compared to $341.7 million at 30 September 2006, an increase of
$10.0 million.
Group operating cash flows before movements in working capital were $82.0
million ($65.3 million 31 March 2006). The Group invested $4.4 million in
working capital for the half, a satisfactory result given the volume growth in
the business and some seasonality in the Group`s working capital cycle.
Specifically, the quality of the Group`s trade receivables improved, with
average days sales outstanding improving from 62 days to 56 days. Inventory
levels increased by $4.5 million to a closing balance of $187.0 million.
The cash flow also reflects dividends paid to ordinary shareholders of $15.2
million during the period.
Restatements and changes in Accounting Policies
The interim results for the six months to 31 March 2006 have been restated for
the effects of adopting new accounting policies, as well as certain
classification adjustments.
The accounting interpretation IFRIC 4 Determining Whether an Arrangement
Contains a Lease which was adopted in the current financial year, the impact of
this on the interim results for the six months to 31 March 2006 was to decrease
operating profit by $0.4 million and increase investment income by $0.2
million, with a net decrease in profit before tax of $0.2 million.
In the second half of the 2006 financial year, the Group reclassified exchange
gains and losses from other gains and losses and finance costs to overheads.
For the six months to 31 March 2006, this resulted in a decrease of $1.2
million to other gains and losses, a decrease in finance costs of $2.6 million
and a net increase in overheads of $1.4 million.
A reclassification of the social security element of the Group`s share based
payments was made to the balance sheet at 31 March 2006. This resulted in a
decrease in other reserves and a corresponding increase in accruals of $1.2
million.
The change in the accounting for the South African property asset is accounted
for prospectively.
Refer to Note 1 of the Notes to the interim condensed consolidated financial
statements for further details on the impact of the above items.
Exchange Rates
The following table reflects the average and period end exchange rates against
the US dollar for SA rand, Australian dollar, Sterling and Euro:
Six months ended Six months ended
31 March 2007 31 March 2006
Period Period
Average End Average End
Australian dollar 1.278 1.237 1.360 1.397
Euro 0.772 0.749 0.834 0.822
South African rand 7.273 7.256 6.330 6.190
Sterling 0.518 0.508 0.573 0.573
Year ended
30 September 2006
Period
Average End
Australian dollar 1.337 1.341
Euro 0.808 0.789
South African rand 6.691 7.764
Sterling 0.559 0.535
CONDENSED CONSOLIDATED INCOME STATEMENT
for the six months ended 31 March 2007
Restated Restated
Six months Six months Year ended
ended 31 ended 31 30 September
March 2007 March 2006 2006
Notes $`000 $`000 $`000
Revenue 1,770,140 1,449,071 3,067,638
Cost of sales (1,399,873) (1,150,464) (2,419,972)
Gross profit 370,267 298,607 647,666
Administrative,
selling and
distribution
expenses (321,842) (262,976) (567,175)
Operating profit 48,425 35,631 80,491
Share of profit of
associates 3,103 2,121 3,863
Interest and
investment income 5,480 5,932 13,498
Other gains and
losses 13,141 1,419 (138)
Finance costs (13,559) (16,360) (32,057)
Profit before tax 56,590 28,743 65,657
Tax 4 (14,260) 8,959 (8,310)
Profit for the period 42,330 37,702 57,347
Attributable to:
- Equity
shareholders of the
parent 32,613 27,708 40,785
- Minority
shareholders 9,717 9,994 16,562
42,330 37,702 57,347
Earnings per
ordinary share:
US Cents US Cents US Cents
- Basic 6 2.1 1.9 2.7
- Diluted 6 2.0 1.8 2.6
CONDENSED CONSOLIDATED BALANCE SHEET
as at 31 March 2007
Restated Restated
31 March 31 March 30 September
2007 2006 2006
Notes $`000 $`000 $`000
Non-current assets
Property, plant and
equipment 145,552 221,256 186,125
Investment property 79,670 - -
Goodwill 84,826 83,531 73,118
Other intangible assets 13,630 11,925 13,482
Investments in associates 20,999 16,985 15,053
Other investments 7,627 6,256 7,218
Deferred tax assets 28,101 35,495 30,737
Trade and other
receivables 7 47,539 18,199 25,952
427,944 393,647 351,685
Current assets
Inventories 187,012 131,832 171,970
Trade and other
receivables 7 858,441 762,746 773,595
Cash and cash equivalents 357,038 346,911 347,909
Assets classified as
held for sale - - 11,365
1,402,491 1,241,489 1,304,839
1,830,435 1,635,136 1,656,524
TOTAL ASSETS
Equity
Equity attributable to
equity
shareholders of the
parent 491,838 338,766 437,825
Minority interests 105,881 104,594 105,569
597,719 443,360 543,394
Total equity
Non-current liabilities
Obligations under
finance lease 139,033 156,154 125,803
Convertible loan notes - 96,885 -
Other long term
liabilities 27,581 5,459 5,001
Bank overdrafts and loans 3,509 32,308 21,412
Deferred tax liabilities 1,493 9,337 2,048
Provisions 6,258 11,677 6,195
177,874 311,820 160,459
Current liabilities
Trade and other payables 8 1,021,454 862,639 932,486
Bank loans 22,589 - 5,628
Bank overdrafts 5,337 17,317 6,236
Provisions 5,462 - 6,099
Liabilities directly
associated with
assets held for sale - - 2,222
1,054,842 879,956 952,671
Total liabilities 1,232,716 1,191,776 1,113,130
TOTAL EQUITY AND LIABILITIES 1,830,435 1,635,136 1,656,524
CONDENSED CONSOLIDATED CASH FLOW STATEMENT
For the six months ended 31 March 2007
Restated
Six months Six months Restated
ended ended 31 Year ended 30
31 March 2007 March 2006 September 2006
$`000 $`000 $`000
Cash flows from operating
activities
Operating profit 48,425 35,631 80,491
Adjustments for:
Depreciation and
amortisation 23,054 21,570 49,553
Movement in provisions 2,305 (1,144) (3,052)
Share-based payment expensed 9,212 5,756 13,893
Other non-cash items (993) 3,519 (1,770)
Operating cash flows before
movements in working
capital 82,003 65,332 139,115
Increase in inventories (4,518) (9,808) (50,715)
Increase in trade and other
receivables (68,930) (119,854) (137,895)
Increase in trade and other
payables 69,073 52,767 127,506
Cash generated
from/(utilised in)
operations 77,628 (11,563) 78,011
Income taxes paid (11,007) (20,854) (35,925)
Interest paid (10,439) (14,454) (29,133)
Net cash from/(used in)
operating activities 56,182 (46,871) 12,953
Cash flows from investing
activities
Interest received 5,274 6,532 10,705
Net investment in business
interests and intangible
assets (5,855) (13,564) (18,861)
Acquisition of property,
plant and equipment, net of
proceeds on disposal (25,303) (32,960) (54,947)
Treasury share buy back
undertaken by subsidiary (4,762) - (17,690)
Deferred consideration paid (5,500) (3,173) (8,597)
Net cash used in investing
activities (36,146) (43,165) (89,390)
Cash flows from financing
activities
Repayment of borrowings (3,776) (28,435) (29,876)
New bank loans and finance
leases raised 2,885 36,732 36,483
Dividends paid to ordinary
shareholders (15,170) - -
Dividends paid to minorities (9,896) - (222)
Proceeds on issue of new
shares net of expenses 2,757 3,327 3,590
Net cash (used in)/from
financing activities (23,200) 11,624 9,975
Net movement in cash and
cash equivalents (3,164) (78,412) (66,462)
Cash and cash equivalents
at beginning of period 341,673 410,558 410,558
Exchange differences on
cash and cash equivalents 13,192 (2,552) (2,423)
Cash and cash equivalents
at end of period 351,701 329,594 341,673
Cash and cash equivalents
is made up as follows:
Cash and cash equivalents 357,038 346,911 347,909
Bank overdrafts (5,337) (17,317) (6,236)
351,701 329,594 341,673
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Share
capital Total
and other Retained
Premium reserves* earnings
$`000 $`000 $`000
1 October 2005 as
previously reported 115,349 209,378 (22,581)
Change in accounting
policy - (31) 839
1 October 2005 restated 115,349 209,347 (21,742)
Profit for the period - - 27,708
Items recognised directly
in equity 3,232 5,669 (797)
Share incentive
schemes - 4,955 -
Currency adjustments - 1,695 -
Shares issued 3,326 - -
Share issue expenses (94) - -
Subsidiaries
acquired/changes in
holdings - - -
Vesting under BEE
scheme - (1,403) -
Net losses on cash flow
hedging - (330) -
Other - 225 (270)
Transfers - 527 (527)
31 March 2006 restated 118,581 215,016 5,169
1 October 2005 as
previously reported 115,349 209,378 (22,581)
Change in accounting
policy - (31) 839
1 October 2005 restated 115,349 209,347 (21,742)
Profit for the year - - 40,785
Items recognised directly
in equity 99,580 (8,826) 3,332
Share incentive
schemes - 11,980 -
Currency adjustments - (8,865) -
Deferred tax arising on
revaluation of loans - (4,571) -
Shares issued 3,590 - -
Shares issued on
conversion of bonds 96,879 - -
Share issue expenses (889) - -
Subsidiaries
acquired/changes in
holdings - - -
Vesting under BEE
scheme - (6,636) -
Net gain on cash flow
hedging - 2,303 -
Movement in investment
valuations - 358 -
Other - (63) -
Transfers - (3,332) 3,332
30 September 2006
restated 214,929 200,521 22,375
1 October 2006 214,929 200,521 22,375
Profit for the period - - 32,613
Items recognised directly
in equity 2,757 38,687 (20,044)
Share incentive
schemes - 7,338 -
Currency adjustments - 24,601 -
Deferred tax arising on
revaluation of loans - 589 -
Dividends paid - - (15,170)
Shares issued 2,757 - -
Subsidiaries
acquired/changes in
holdings - - -
Net losses on cash flow
hedging - (2,046) -
Revaluation of
investment property - 5,584 -
Deferred tax on
revaluation
of investment property - (1,619) -
Other - (634) -
Transfers - 4,874 (4,874)
31 March 2007 217,686 239,208 34,944
Attributable
to equity
holders of Minority Total
parent interests equity
$`000 $`000 $`000
1 October 2005 as
previously reported 302,146 105,120 407,266
Change in accounting
policy 808 67 875
1 October 2005 restated 302,954 105,187 408,141
Profit for the period 27,708 9,994 37,702
Items recognised directly
in equity 8,104 (10,587) (2,483)
Share incentive
schemes 4,955 - 4,955
Currency adjustments 1,695 44 1,739
Shares issued 3,326 - 3,326
Share issue expenses (94) - (94)
Subsidiaries
acquired/changes in
holdings - (12,276) (12,276)
Vesting under BEE
scheme (1,403) 1,403 -
Net losses on cash flow
hedging (330) - (330)
Other (45) 242 197
Transfers - - -
31 March 2006 restated 338,766 104,594 443,360
1 October 2005 as
previously reported 302,146 105,120 407,266
Change in accounting
policy 808 67 875
1 October 2005 restated 302,954 105,187 408,141
Profit for the year 40,785 16,562 57,347
Items recognised directly
in equity 94,086 (16,180) 77,906
Share incentive
schemes 11,980 - 11,980
Currency adjustments (8,865) (1,149) (10,014)
Deferred tax arising on
revaluation of loans (4,571) - (4,571)
Shares issued 3,590 - 3,590
Shares issued on
conversion of bonds 96,879 - 96,879
Share issue expenses (889) - (889)
Subsidiaries
acquired/changes in
holdings - (15,037) (15,037)
Vesting under BEE
scheme (6,636) - (6,636)
Net gain on cash flow
hedging 2,303 - 2,303
Movement in investment
valuations 358 - 358
Other (63) 6 (57)
Transfers - - -
30 September 2006
restated 437,825 105,569 543,394
1 October 2006 437,825 105,569 543,394
Profit for the period 32,613 9,717 42,330
Items recognised directly
in equity 21,400 (9,405) 11,995
Share incentive
schemes 7,338 - 7,338
Currency adjustments 24,601 144 24,745
Deferred tax arising on
revaluation of loans 589 - 589
Dividends paid (15,170) (9,896) (25,066)
Shares issued 2,757 - 2,757
Subsidiaries
acquired/changes in
holdings - 347 347
Net losses on cash flow
hedging (2,046) - (2,046)
Revaluation of
investment property 5,584 - 5,584
Deferred tax on
revaluation
of investment property (1,619) - (1,619)
Other (634) - (634)
Transfers - - -
31 March 2007 491,838 105,881 597,719
* Other reserves principally comprise consolidation reserves arising prior to
the unbundling of the underlying assets into the Company at the time of its LSE
listing in 2000.
NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTHS TO 31 MARCH 2007
1. BASIS OF PREPARATION
Statutory financial information
The unaudited interim results have been prepared on a basis consistent with the
accounting policies set out in the Dimension Data Holdings plc Annual Report
for the year ended 30 September 2006, with the following exceptions:
? IFRIC 4 Determining Whether an Arrangement Contains a Lease was adopted with
effect from 1 October 2005. The change in accounting policy required by IFRIC 4
results in a restatement of prior year figures ("restated").
? The Group has adopted the amendments to IAS 39 Financial Instruments:
Recognition and Measurement as far as they relate to financial guarantee
contracts. This had no impact on the consolidated results at 31 March 2007.
? The Group has adopted IFRIC 6 Liabilities arising from Participating in a
Specific Market - Waste Electrical and Electronic Equipment. This has no impact
on the consolidated results at 31 March 2007.
Following a change in use of the Group`s Campus property located in South
Africa, the Group has accounted for the portion that is held to earn rentals or
for capital appreciation as investment property. Investment property is carried
at fair value and changes in fair values are recognised in income.
Further details about the effect of the change in accounting policy are
provided below. The interim results should therefore be read in conjunction
with the 2006 Annual Report.
The tax charge on underlying business performance is calculated by reference to
the estimated effective tax rate for the full year 2007. Tax on disposal and
exceptional items is based on the expected tax impact of each item.
The preparation of the interim financial statements in conformity with the
Group`s accounting policies requires the Directors to make estimates and
assumptions that affect the reported amounts of assets and liabilities, and
disclosure of contingent assets and liabilities at the balance sheet date, and
the reported amounts of revenue and expenses during the reported period.
Whilst these estimates and assumptions are based on the Directors` best
knowledge of the amount, events or actions, actual results may differ from
those estimates.
The unaudited interim condensed consolidated financial statements for the six
months ended 31 March 2007, which were approved by the Board of Directors on 8
May 2007 and which include certain comparative information with respect to the
year ended 30 September 2006, do not constitute statutory accounts within the
meaning of section 240 of the Companies Act 1985 ("the Act"). Full accounts for
the year ended 30 September 2006, prepared in accordance with International
Financial Reporting Standards, incorporating an unqualified independent
auditors` report, have been filed with the Registrar of Companies and did not
contain a statement under section 237(2) or (3) of the Act.
Copies of this report are being sent to shareholders, and are available to the
public at the Company`s registered office, Fleet Place House, 2 Fleet Place,
London EC4M 7RT.
Restatement and new accounting policies
IFRIC 4 Determining Whether an Arrangement Contains a Lease
IFRIC 4, which was adopted in the current financial year, provides guidance on
whether complex arrangements include a lease. As a result of this requirement,
certain arrangements have required reclassification as leases. In accordance
with the transitional provisions, this has resulted in the derecognition of
$6.3 million of property, plant and equipment at 1 October 2005 ($5.9 million
31 March 2006), offset by the recognition of finance lease receivables of $7.1
million ($6.6 million 31 March 2006). As a consequence, net assets as at 1
October 2005 were restated from $407.3 million to $408.1 million ($443.9
million to $444.6 million as at 31 March 2006). Operating profit for the twelve
months ended 30 September 2006 decreased by $0.2 million ($0.4 million for the
six months ended 31 March 2006) which has been offset by a similar increase in
interest and investment income of $0.4 million ($0.2 million for the six months
ended 31 March 2006). As a consequence, profit before tax for the twelve months
ended 30 September 2006 increased by $0.2 million ($0.2 million decrease in
profit before tax for the six months ended 31 March 2006).
Investment property
At 31 December 2006, following the change in use of the Campus property, the
portion held to earn rentals or for capital appreciation was classified as
investment property. Investment properties are stated at fair value. When
property is transferred to investment property following a change in use, any
differences arising at the date of transfer between net book value and
valuation is taken to equity. This resulted in a credit to equity of $3.9
million (net of a deferred tax charge of $1.6 million). Any subsequent
valuations are included in the income statement. This resulted in a credit to
other gains and losses in the income statement of $13.6 million and a deferred
tax charge of $3.9 million.
Other
In the second half of the 2006 financial year, the Group reclassified exchange
gains and losses on forward foreign exchange contracts from other gains and
losses and finance costs to overheads. For the six months to 31 March 2006,
this resulted in a decrease of $1.2 million to other gains and losses, a
decrease in finance costs of $2.6 million and a net increase in overheads of
$1.4 million.
A reclassification of the social security element of the Group`s share based
payments was made to the balance sheet at 31 March 2006. This resulted in a
decrease in other reserves and a corresponding increase in accruals of $1.2
million.
2. SEGMENTAL ANALYSIS
Africa Asia Australia Europe
$`000 $`000 $`000 $`000
Six
months
ended 31
March
2007
Revenue 426,636 272,513 360,523 480,465
Operating 37,259 16,606 13,059 4,284
profit*
Six
months
ended 31
March
2006
(Restated)
Revenue 327,976 237,702 286,592 362,706
Operating 29,657 11,994 6,945 (77)
profit*
Twelve
months
ended 30
September
2006
(Restated)
Revenue 723,076 482,157 756,470 751,281
Operating 62,056 26,179 19,376 1,547
profit*
Inter-
United Company
States Central sales Total
$`000 $`000 $`000 $`000
Six
months
ended 31
March
2007
Revenue 279,889 6,808 (56,694) 1,770,140
Operating 5,524 (21,700) 55,032
profit*
Six
months
ended 31
March
2006
(Restated)
Revenue 269,460 3,884 (39,249) 1,449,071
Operating 5,276 (17,197) 36,598
profit*
Twelve
months
ended 30
September
2006
(Restated)
Revenue 536,223 14,561 (196,130) 3,067,638
Operating 10,086 (34,479) 84,765
profit*
* Before exceptional items.
3. EXCEPTIONAL INCOME/(COSTS)
Notes Restated Restated
Six months Six months Year ended
ended 31 ended 31 30
March March September
2007 2006 2006
$`000 $`000 $`000
Exceptional operating
costs
Foreign exchange
(loss)/gain on loans a) (6,607) - 7,519
Other - (967) (11,793)
(6,607) (967) (4,274)
Total exceptional
operating costs
Other gains and losses b) 13,597 - -
Deferred tax credit c) 3,817 19,499 17,953
Deferred tax on Campus
revaluation d) (3,941) - -
Total tax exceptionals (124) 19,499 17,953
Exceptional items after
tax 6,866 18,532 13,679
Minorities` share of
exceptional items (1,244) (3,397) (3,256)
Net exceptional income 5,622 15,135 10,423
a) Foreign exchange losses previously included in translation reserves, now
included in the income statement as a result of the intention to settle certain
loans in the short term. In addition foreign exchange losses were incurred on
the revaluation of the loan designated as short term in the prior year which
has yet to be settled.
b) Revaluation of portion of Campus asset accounted for as investment property.
c) A deferred tax asset of $3.8 million was created as a result of a
reassessment of the tax loss in South Africa.
d) A deferred tax liability of $3.9 million was raised on revaluation of the
Campus investment property.
Reconciliation of reported amounts to
adjusted amounts
Restated Restated
Six months Six months Year ended
ended 31 ended 31 30
March March September
2007 2006 2006
$`000 $`000 $`000
Statutory operating profit 48,425 35,631 80,491
Exceptional operating costs 6,607 967 4,274
Adjusted operating profit 55,032 36,598 84,765
Statutory attributable profit
after tax 32,613 27,708 40,785
- Exceptional operating costs 6,607 967 4,274
- Other gains and losses (13,597) - -
- Exceptional tax charges/(credits) 124 (19,499) (17,953)
- Minorities` share 1,244 3,397 3,256
Adjusted attributable profit after
tax 26,991 12,573 30,362
4. TAX
Restated Restated
Six months Six months Year ended
ended 31 ended 31 30
March March September
2007 2006 2006
$`000 $`000 $`000
Current tax 11,556 11,256 31,037
Deferred tax - current period 6,697 (156) (1,651)
Deferred tax - prior periods* (3,993) (20,059) (21,076)
Total tax expense/(income) 14,260 (8,959) 8,310
This relates to tax jurisdictions outside of the U.K.
* Refer Note 3 - Exceptional items.
5. DIVIDENDS PER SHARE
A final dividend of 1 cent per share was paid on 16 March 2007. No interim
dividend has been proposed.
6. EARNINGS PER SHARE
Restated Restated
Six months Six months Year ended
ended 31 ended 31 30
March March September
2007 2006 2006
`000 `000 `000
Weighted average number of
ordinary shares:
- for basic earnings per share 1,542,114 1,441,491 1,490,167
- for diluted earnings per share 1,648,975 1,507,497 1,558,108
US Cents US Cents US Cents
Basic earnings per share 2.1 1.9 2.7
Diluted earnings per share 2.0 1.8 2.6
Adjusted basic earnings per share 1.8 0.9 2.0
$`000 $`000 $`000
Earnings for basic and diluted
earnings per share 32,613 27,708 40,785
Exceptional items (5,622) (15,135) (10,423)
Adjusted earnings 26,991 12,573 30,362
7. TRADE AND OTHER RECEIVABLES
Restated Restated
30
31 March 31 March September
2007 2006 2006
$`000 $`000 $`000
Trade receivables 652,617 568,888 619,393
Other receivables 92,503 71,810 65,441
Prepayments and accrued income 141,374 98,764 92,021
Taxation authorities 19,486 41,483 22,692
905,980 780,945 799,547
Analysed as follows:
Long term portion 47,539 18,199 25,952
Short term portion 858,441 762,746 773,595
905,980 780,945 799,547
8. TRADE AND OTHER PAYABLES
Restated Restated
30
31 March 31 March September
2007 2006 2006
$`000 $`000 $`000
Trade payables 379,168 344,453 371,598
Other payables 149,028 120,099 107,707
Accruals 204,382 147,278 195,649
Deferred income 177,733 145,539 151,376
Deferred consideration 2,476 13,417 5,152
Taxation authorities 108,667 91,853 101,004
1,021,454 862,639 932,486
9. ACQUISITIONS
During the period, the Group acquired a 100% holding in Unreal Technology a.s,
a company incorporated in the Czech Republic and a 51% holding in Dimension
Data Namibia (Pty) Ltd, a company incorporated in Namibia. These acquisitions
did not have a significant impact on the reported results and the balance
sheet.
10. CESSION OF ASSETS AND LEASES
Trade receivables of $76.1 million (September 2006: $80.0 million) and bank
balances amounting to $89.3 million (September 2006: $14.6 million) in the
South African business have been ceded to a financial institution as security
for a working capital loan of $22.0 million (September 2006: $23.2 million).
As security for the construction of a new building at the Campus, the Group has
ceded the sub- lease agreements of $7.9 million (September 2006: $8.5 million)
to the banks who funded the construction.
In the US business an amount of $102.2 million (September 2006: $127.5 million)
of trade receivables and $7.3 million (September 2006: $10.4 million) of
inventory have been ceded as security in respect of a working capital facility.
11. POST BALANCE SHEET EVENTS
In April 2007, an agreement was reached with a Swedish-based company, Cygate
AB, to purchase our Swedish operations. The sale is subject to approval by the
relevant regulatory authorities.
In May 2007, the Group acquired an additional 40.1% interest in Datacraft
Americas Holdings Limited, the 100% holding company of Datacraft do Brazil
Ltda. This brings the Group`s shareholding to 50.1%. Datacraft do Brazil will
be renamed Dimension Data Brazil.
INDEPENDENT REVIEW REPORT TO DIMENSION DATA HOLDINGS PLC
Introduction
We have been instructed by the Company to review the financial information for
the six months ended 31 March 2007 which comprises the condensed consolidated
income statement, condensed consolidated statement of changes in equity,
condensed consolidated balance sheet, the condensed consolidated cash flow
statement, comparative figures and related notes 1 to 11.
We have read the other information contained in the interim report and
considered whether it contains any apparent misstatements or material
inconsistencies with the financial information.
This report is made solely to the Company in accordance with Bulletin 1999/4
issued by the Auditing Practices Board. Our work has been undertaken so that we
might state to the Company those matters we are required to state to them in an
independent review report and for no other purpose. To the fullest extent
permitted by law, we do not accept or assume responsibility to anyone other
than the Company, for our review work, for this report, or for the conclusions
we have formed.
Directors` responsibilities
The interim report, including the financial information contained therein, is
the responsibility of, and has been approved by, the Directors. The Directors
are responsible for preparing the interim report in accordance with the Listing
Rules of the Financial Services Authority which require that the accounting
policies and presentation applied to the interim figures are consistent with
those applied in preparing the preceding annual accounts except where any
changes, and the reasons for them, are disclosed.
Review work performed
We conducted our review in accordance with the guidance contained in Bulletin
1999/4 issued by the Auditing Practices Board for use in the United Kingdom. A
review consists principally of making enquiries of Group management and
applying analytical procedures to the financial information and underlying
financial data and, based thereon, assessing whether the accounting policies
and presentation have been consistently applied unless otherwise disclosed. A
review excludes audit procedures such as tests of controls and verification of
assets, liabilities and transactions. It is substantially less in scope than an
audit performed in accordance with International Standards on Auditing (UK and
Ireland) and therefore provides a lower level of assurance than an audit.
Accordingly, we do not express an audit opinion on the financial information.
Review conclusion
On the basis of our review we are not aware of any material modifications that
should be made to the financial information as presented for the six months
ended 31 March 2007.
Deloitte & Touche LLP
Chartered Accountants
London
8 May 2007
Note: A review does not provide assurance on the maintenance and integrity of
the website, including controls used to achieve this, and in particular on
whether any changes may have occurred to the financial information since first
published. These matters are the responsibility of the directors but no control
procedures can provide absolute assurance in this area.
Legislation in the United Kingdom governing the preparation and dissemination
of financial information differs from legislation in other jurisdictions.
Enquiries:
Dimension Data Holdings plc
Jeremy Ord, Chairman
Brett Dawson, Chief Executive Officer
David Sherriffs, Chief Financial Officer
Karen Cramer, Investor Relations (UK)
Mobile: +(44) 793 202 0296
Office: +(44) 20 7651 7000
karen.cramer@uk.didata.com
Kevin Handelsman, Investor Relations (SA)
Office: +(27) 11 575 3632
Mobile: +(27) 82 453 9945
kevin.handelsman@za.didata.com
Internet address: www.dimensiondata.com
Press enquiries:
Hilary King
Global PR Manager
Dimension Data Holdings plc
Mobile: +(27) 82 414 9623
Office: +(27) 11 575 3632
hilary.king@za.didata.com
James Melville-Ross
Financial Dynamics
Holborn Gate, 26 Southampton Buildings
London, WC2A 1PB
Mobile: +(44) 7909 684 467
Matt Dixon
Financial Dynamics
Mobile: +(44) 7703 330 913
Office: +(44) 20 7831 3113
Date: 09/05/2007 08:00:05 Produced by the JSE SENS Department.
