Shares of Computacenter plc (LON: CCC) have seen their shares spike on Tuesday morning, after the firm said it would exceed market expectations.
Computacenter plc is a European company that provides computer services to public- and private-sector customers. It is a UK company based in Hatfield, Hertfordshire.
Shares of Computacentre spiked 5.54% to 1,618p. 10/12/19 10:58BST.
At the end of October, the FTSE250 listed firm saw progress in their third quarter, which led to the firm keeping maintaining their expectations.
Today, shareholders received a positive update saying that the firm expects its figures to exceed both analyst and market expectations.
Profitability and earnings per share are on track to beat full year expectations, the IT supplier said, which spiked shares.
“The strong 2019 performance is coming from Computacenter’s established businesses and, in the second half of the year, from the acquired business in the US which is now performing in line with our expectations following a difficult start to the year,” the board said.
The firm said that it has not suffered a blow from existing difficult contracts, that bruised performance in the second half of 2018.
“The group has not seen a repeat of the negative impact that occurred in the second half of 2018 due to contract provisions and these existing difficult contracts continue to perform in line with, or slightly ahead of, our expectations,” said Computacenter.
In fact, they “continue to perform in line with, or slightly ahead of our expectations”, the company said.
“Computacenter’s board acknowledge, as is the case every year, that there is still a significant amount to do in December, which is always our busiest month of the year,” it added.
“However, visibility on this critical month’s outturn is starting to improve.”
The firm is set to update its full year results on the 23rd January, and following the positivity today big results are expected to be announced.
In the IT and software industry, there have been updates. Global name Avast (LON:AVST) saw their shares in green as the firm reported strong sales despite workplace and business divisions.
The cyber security firm said revenue rose 9% year on year for the quarter ending in September. Revenues were totaled at £170 million.
Additionally, London listed Redcentric have seen their shares jump at the end of November, as the firm reported that it had swung to an interim profit, which led to the doubling of its interim dividend.
Certainly, shareholders of Computacenter will be eagerly expecting the results which will be published in January, the fact that the firm has now reinstated its confidence to beat expectations will spark investor appetite as reflected in this morning’s share price movement.