IT firm Softcat 'set for profit boost' after strong demand

A global IT services provider says it is plugged in for growth after demand pushed earnings higher.

Softcat says solid fourth quarter progress leaves it primed to record a “high-teen” rise in full-year gross profit and “mid-teen” operating profit advances.

Bosses say they also expect cash conversion across the firm’s 2025 financial year to be “towards the top end” of an 85 per cent to 95 per cent guided range.

Headquartered in Marlow, Buckinghamshire, Softcat provides cybersecurity, connectivity and automation support to operators including SMEs and public sector organisations.

It has international bases in Australia, Canada, Hong Kong, Singapore and the US.

In a trading update for the year to July 31, chief executive Graham Charlton said: “The group continued to trade well during the fourth quarter, supported by further conversion of larger solutions projects.

“As a result, the board expects to deliver high-teens growth in full-year gross profit and mid-teens growth in operating profit.

“Excluding the significant incremental contribution from large projects in the 2025 financial year, the board expects to deliver low double-digit gross profit growth and high single-digit operating profit growth in the 2026 financial year.”

The firm’s global office network also includes sites in Germany, Ireland and the Netherlands.

Want your business, product or service to be seen regionally and nationally? Bdaily helps you get your story in front of the right audience, every day. Find out how Bdaily can help →

Join more than 55,000 subscribers by signing up to our daily bulletin each morning here.