Softcat, the FTSE 250 IT infrastructure reseller, expects to deliver high single-digit underlying operating profit growth in the year ahead, slightly ahead of gross profit growth.
Artificial intelligence is driving demand for compute, storage, networking and security upgrades, creating conditions the Marlow-based company says play directly to its strengths.
The outlook excludes any contribution from its recently announced $1.05 billion (£785 million) acquisition of GDT, a US-based IT solutions provider.
The upbeat guidance follows an exceptional year in which gross profit rose 24.7% to £616.3 million and underlying operating profit climbed 19.4% to £215.1 million for the twelve months to 31 July 2026.
Gross invoiced income, the company's preferred measure of total billing activity, jumped 30.5% to £4.72 billion.
Growth was broad-based across customer segments and technology areas, with particularly strong performance in data centre infrastructure, networking and security.
The customer base grew 3.4% to 10,500, while gross profit per customer rose 20.6% to £58,500.
Chief executive Graham Charlton said AI was making IT infrastructure more critical, complex and strategically important, creating exactly the conditions in which Softcat's strengths stand out.
Cash generation remained strong, with closing net cash of £199.9 million after returning £137.5 million to shareholders through dividends and a £45 million share buyback.
The board is recommending a final ordinary dividend of 21.6p per share, bringing the full-year total to 31.5p, up 7.5%.
The GDT acquisition, due to close by the end of the first quarter of 2027, will be funded through cash, new debt facilities and a share issue raising £354 million.
Statutory revenue rose 35.4% to £1.975 billion, with underlying earnings per share up 19.7% to 83.2p.
