Johannesburg- and London-listed IT group Dimension Data has continued to weather tough global economic conditions, reporting a 6% year-on-year improvement in sales in the quarter ended 31 January 2010.

The group’s systems integration business performed well, especially in the US, though a poor quarter from Plessey dragged the numbers lower. “Plessey had a very weak quarter, reflecting reduced demand from its mobile service provider clients in Africa,” Didata says in its interim management statement, issued on Monday. “In response, the business reduced its cost base, but expects order rates and trading to improve in the second quarter.”

The group says the improvement in sales — turnover was up 9% in constant currency terms — is in line with management expectations. Growth in services business continues to outstrip product sales, where revenues fell.

The management report does not contain any earnings data.

“By region, the Middle East and Africa, Australia and Europe all recorded improved contributions, with a significant improvement in operating profit in the Americas. Asia’s contribution reduced slightly in line with investment in the expansion programme outlined at the year end.”

Didata’s telecommunications service provider, Internet Solutions, grew turnover and improved operating profit in line with expectations.  — Duncan McLeod, TechCentral

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