Procurri reports 1Q19 net profit rose 75 percent on higher-margin IT distribution deals

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Procurri Corp. reported Thursday its first-quarter net profit rose 75 percent on-year to S$1.75 million  on higher-margin IT distribution deals in the quarter.

Total revenue increased 8.7 percent on-year to S$53.82 million, the data-center equipment provider said in a filing to SGX.

Overall gross profit margins increased to 37.3 percent in the quarter from 36.2 percent in the year-ago quarter, the company said.

“This was mainly due to some higher-margin deals from the IT Distribution segment and larger revenue contribution from the higher-margin Lifecycle Services segment,” Procurri said. It added that Lifecycle Services made up around 50.9 percent of its gross profit.

Sean Murphy, chairman and CEO of Procurri was positive on the outlook.

“As we form more partnerships with top tier OEMs and channel partners, such as Nutanix and PureWRX, we continue to capture more of the market in data center equipment and lifecycle services,” he said in the statement. “Gaining full control of Rockland Congruity LLC has also bolstered our capabilities and competitiveness in the third-party IT maintenance industry.”

 

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