Computacenter sees H1 profit double as AI demand drives hyperscale growth

Computacenter PLC said first-half adjusted pretax profit will roughly double to about £163 million, driven by stronger-than-expected Q2 demand from hyperscale customers and AI-related projects.

The FTSE 100 technology services provider said trading in the second quarter exceeded its expectations following what it described as an excellent first quarter, with growth led by North America where volumes from hyperscale clients surpassed forecasts.

The preliminary result compares with £81.5 million in the year-ago period. The company's committed product order backlog at the end of June stood "well ahead" of the £7.1 billion reported at the end of 2025, reflecting strong order intake during the half. The UK also delivered strong growth in technology sourcing, including further AI-related projects, alongside solid expansion in professional services. Germany posted good growth in technology sourcing, though professional services remained subdued.

Full-year 2026 results are now expected to come in comfortably ahead of market expectations, even as trading faces a tougher comparison in the second half. Analyst consensus compiled by the company forecasts adjusted pretax profit of £313.7 million for the full year, with estimates ranging from £305 million to £324.3 million. Shares in Computacenter trade at 4,136 pence, up 41% year to date.

The company's North American business, which accounts for 42.7% of net sales, drove the outperformance, supporting both its technology sourcing and professional services units. The UK segment, representing 16.6% of revenue, also contributed with AI-related technology sourcing projects. Germany, which generates 28.5% of sales, posted good growth in technology sourcing but continued weakness in professional services.

Computacenter employs more than 20,000 people worldwide and provides IT infrastructure and services to large corporate and public sector clients. The company joined the FTSE 100 index in June after its share price rally.

Brennan recently boosted its price target on Computacenter to 5,300 pence with a Buy rating, citing strong earnings momentum. JP Morgan maintains an Overweight rating with a raised price target, while Peel Hunt downgraded the stock to Add from Buy after its recent run-up.

The guidance raise signals management expects AI-driven enterprise demand to accelerate. Investors will watch the half-year results on Sept. 8 for updated segment margins and order backlog details.

This article is for informational purposes only and does not constitute investment advice.