Softcat — H125 results outperform again

The Softcat machine rolls on. H125 results provide no hint of UK economic and geopolitical uncertainty. Gross profit per customer grew by 10.7% to £43.1k and the customer base expanded by 1.4%, to 10.3k. Furthermore, this growth was seen across hardware, software and services (all growing high single- or double-digit percentages) and across all customer types (enterprise, mid-market and public sector). In addition, operating profit was converted to cash (110.9% conversion vs 101.1% in H124), strengthening the already debt-free balance sheet. Unsurprisingly, full year guidance has been raised, as has the interim dividend. The quality credentials of the group look set to keep growing.