StockMarketWire.com - Technology company Computacenter resumed dividend payments after reporting that first-half profit jumped on Covid-19 related cost cuts and an uptick in revenue.

For the six month period ended 30 June 2020, pre-tax profit rose 42.5% to £72.4m on-year as revenue increased 1.5% to £2,462.2m.

The company attributed the rise in profit to Covid-19 related cost reductions and improving services and technology sourcing margins.

The company announced an interim dividend of 12.3 pence per share, up from 10.1p a share last year.

'Whilst the 2019 full-year dividend was not paid, we have continued with our normal policy that the interim dividend will be approximately one third of the previous year's full dividend,' the company said.

Looking ahead, Compuacenter said that based on current business activity levels, its adjusted pre-tax profit for the year was unlikely to be less than £180m.

In a separate statement, the company also said it had agreed an arrangement to acquire directly or indirectly Pivot Technology Solutions for CAD 2.60 per share, or CAD 105.8m.

Pivot, an IT solutions provider with the bulk of revenues generated coming from customers in the US, would 'increase our scale, geographic footprint and capabilities in US,' the company said. 'Additionally, Canada expands our total market opportunity and helps us meet the needs of international customers.'

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