Half Year 2024 Dicker Data Ltd Earnings Call Transcript
Key Points
- Strong Q2 sales growth of 8.3%, indicating a market recovery.
- Gross profit increased by 2.9%, driven by improved margins in New Zealand.
- Successful integration and profitability improvement in New Zealand operations.
- Addition of major vendors like Adobe, NetApp, and Equinix, enhancing product portfolio.
- Positive outlook for AI opportunities and expected strong performance in H2 2024.
- EBITDA down by 2.4% due to increased costs, including employee expenses and bad debt provisions.
- Revenue recognition issues due to undelivered stock, impacting reported sales.
- Increased finance costs by $2.7 million, affecting profitability.
- Higher working capital investment of $18 million, driven by increased receivables and inventory.
- Soft Q1 performance with a decline in gross sales by 9.6%, impacting overall H1 results.
Hi, good morning, everyone, and thank you for joining us on this call and giving us the opportunity to provide an update around the results that we have released this morning. I will go through the financial results and update and Vlad will then provide some more background on the market industry and opportunities that we're seeing for the rest of the year and for beyond that.
So welcome and just starting off with -- if we look at our highlights slide on page 4 on the presentation, there's just some key takeaways for the half year, some color around some of the positives. And there's, of course, a bit more color around profitability and what we're seeing in the market. So for the half year, coming off the Q1 result where there was a subdued market plus we had a very strong comparative on Q1 23 where we reported a decline in gross sales of about 9.6%.
We saw a very strong turnaround in Q2. Sales growing about 8.3% where we've landed for the half year of gross revenue of about $1.6 billion, slightly down on the
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
