April 24 (Reuters) - British technology and services provider Computacenter on Friday said it expects to deliver full-year results comfortably ahead of market expectations after a strong quarter
UK's Computacenter forecasts strong year as AI and data centre demand lifts orders
Computacenter Expects to Beat Annual Profit Forecasts Amid AI and Data Centre Boom
April 24 (Reuters) - British technology and services provider Computacenter said on Friday it would beat annual profit forecasts, as clients brought forward hardware orders amid supply shortages linked to a data centre and artificial intelligence investment boom.
Market Reaction and Share Performance
Shares in the company, which helps large organisations source, build and run IT infrastructure ranging from laptops to data centres, jumped as much as 6.3% to 3,552 pence to top the midcap FTSE 250 index.
Impact on Related Sectors
European chipmakers and electrical equipment firms have rallied in recent weeks as investors back companies seen as beneficiaries of the AI infrastructure build-out, which is boosting demand for semiconductors and related equipment.
Analyst Insights
"We continue to view Computacenter as a clear market share gainer, with the added attraction of hyperscaler exposure," Jefferies analysts said, adding that the firm was one of its preferred players in the sector.
Global Trends in AI and Data Centre Investment
Companies worldwide are racing to invest in AI and expand data centre capacity, driving demand for IT products, chips and software. Analysts have warned that the Iran war could further disrupt supply chains and raise costs for technology firms.
Intel's Positive Outlook
Intel on Thursday forecast second-quarter revenue above expectations, underscoring booming demand for the company's server processors used in AI data centres.
Computacenter's Financial Performance
Computacenter said revenue at its largest business, group technology sourcing, rose particularly strongly in the first quarter, driven by demand from data centre and AI projects in North America and Britain.
Upgraded Profit Expectations
The company said it now expects to deliver full-year results comfortably ahead of market expectations for adjusted pre-tax profit of 291.3 million pounds ($392.2 million), based on a company-compiled consensus.
($1 = 0.7427 pounds)
(Reporting by Yamini Kalia in Bengaluru. Editing by Nivedita Bhattacharjee and Mark Potter)
