The current coronavirus is not impacting all sectors equally and software and IT services firm Softcat (SCT) is up 6.1% to 998p as it flagged no significant effect on its business to date alongside strong first half results.
Revenue for the six months through December climbed 21% to £524.1m as the company added 4.2% more customers, while boosting average gross profit per customer 12%. Pre-tax profits rose 19% to £40.5m from £34m.
Softcat declared an interim dividend of 5.4p per share, up 20% year-on-year.
Turning to its outlook, the company said the second half of its financial year had started well, with no material impact from the spreading coronavirus.
However it acknowledged the crisis created uncertainty for the remainder of its financial year.
'We are pleased with the strong performance in the first half as we continue to drive share gains in a healthy market,' chief executive Graeme Watt said.
Numis analyst Tintin Stormont added: ‘Given its broad-based growth, track record of execution, momentum to date and strong balance sheet, Softcat is better placed than most to withstand the potential economic impact of coronavirus.
‘Medium-term, we believe this experience is likely to have a profound shift in how businesses view the importance of IT not only in ensuring business continuity but finding effective ways of working.’
