Econocom Group, the European IT and telecoms funder, has posted
consolidated half-year revenue of €737m, down 3% from €763m in the
first half of 2011.

Despite the drop, the company said its recurring operating
profit is set to rise sharply compared the €18.6m recorded in the
first half of last year because of “healthy sales margins and

The company also said its net profit is expected to increase
considerably due to “a significant drop in financial costs and
exceptional reorganisation costs lower than in H1 2011”.

Econocom’s cash position has risen by almost €50m over the
period compared with the first half of 2011, according to the
firm’s preliminary financial report.

In the first half of 2012, Econocom made two acquisitions:
virtualisation solutions company Centix and telecoms management
software firm Tactem, which it said has enabled it to win a number
of major contracts.

Econocom also reveals it is considering further acquisitions of
SMEs which could be finalised in the coming months. Last week the
group announced it had signed an agreement to acquire Cap Synergy,
the French IT security company.

Econocom’s full half-year results will be published after close
of trading on 30 August. The company maintains its annual growth
guidance of “a slight rise in revenue, recurring operating profit
in excess of €70m, and net earnings per share of almost €2”.