EOH Holdings earnings fall sharply

JOHANNESBURG – Technology services provider EOH Holdings said on Wednesday its headline earnings per share from the year ended July 31 fell sharply to 278 cents compared with 797 cents in 2017.

EOH Holdings, which has appointed Stephen van Coller as group CEO to replace Zunaid Mayet who resigned, said no dividend would be declared for the 2018 financial year.

Normalised revenue from continuing operations grew by eight percent to R16.277 billion as a result of increased activity at existing customers while normalised operating profit dipped to R1.187 billion from R1.736 billion last year.

But it said the outlook for business in South Africa and the rest of the continent was positive.

“EOH is well positioned under its ‘One EOH’ go-to-market strategy to deliver integrated solutions from a diverse and comprehensive range of underlying capabilities,” the company said.

It said it expected the market to adopt a hybrid multi-cloud approach, meaning customers would make use of a combination of on-premise, local and global cloud service providers.

“EOH is well positioned to become the leading cloud systems integrator in the market. EOH business relationships with global providers such as Microsoft and Amazon are growing to the benefit of EOH and its clients,” it added.

After starting off with 20 staff members and one customer in 1998, EOH has grown grown to a staff complement of over 11,500, becoming Africa’s largest technology service provider.

– African News Agency (ANA), Editing by Stella Mapenzauswa