EOH positive results proves the resilience of the technology sector
JOHANNESBURG – The technology sector remains resilient in a tough economic environment and this is evident in tech firm EOH’s annual results where the company reported a 16% increase in profits.
EOH said on Tuesday that it expected continued growth in South Africa, the rest of Africa and the Middle East.
“We will continue to develop, distribute and implement EOH’s niche software and own IP solutions across our existing footprint and into new territories,” it said. “EOH intends to continue its involvement in all tiers of government and state-owned entities to improve service delivery. EOH sees its involvement in the public sector as both a business opportunity and as a responsibility.”
EOH is the largest tech firm in Africa, but still derives more than 90 percent of its revenue from South Africa. EOH’s revenue for the period grew by 21% to R15.5bn compared with R12.8bn last year(2016) with contributions from all businesses across the board. Operating profit increased by 29% to R1.bn compared with R1.4bn last year.
The company’s operating margins rose from 10.8% to 11.5% as a result of increased software sales, efficiencies and on-going cost containment.