StockMarketWire.com - Computacenter pulled its dividend, citing heightened economic uncertainty due to the Covid-19 pandemic, but maintained its annual guidance and expected first-half profit to be broadly in-line, or slightly ahead of last year's.

Revenue 'reduced slightly' in the first quarter ended March, compared with a year earlier, however, profitability has remained in-line with the previous year.

'The second half of the year is more difficult to predict but currently our full year expectations remain unchanged,' the company said.

The proposed payment of a final dividend was scrapped as the company sought to conserve cash amid uncertainty over the impact of the coronavirus crisis.

Current trading has been more robust than it anticipated at the start of this crisis, led by a surge in demand amid the rise in remote workers as many non-essential businesses remained shuttered.

But in the industrial sector, a large number of customers had to cease production, and its engineers and consultants are unable to work. 'To mitigate the cost of carrying these staff, but retaining them for the long term, we have placed approximately 10% of Computacenter's employees across Europe, on wage-subsidy programmes utilising various governments' initiatives,' the company said.



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