Datatec believes the diversity of its revenue sources in terms of geography, technology and operations has underpinned trading for the period, which has continued to be resilient.

Although the overall economic conditions continue to be tough around the world, they do not appear to have deteriorated further from the end of last year.
Westcon's performance, in particular,has exceeded the board's expectations, but the continuing soft market conditions in the US and UK will impact the performance of Logicalis for the first half of the current financial year, compared to the first half of last year, as anticipated.
The performance of Westcon so far in this financial year has been better than the last few months of the previous financial year. The first quarter compared to the third and fourth quarters of the 2009 financial year has shown sequential improvement in operating performance with stable gross margins, EBITDA margin expansion and improved profitability.
Trading in the Americas has improved modestly, with conditions in Europe remaining stable and performance of the Asia Pacific region still strong.
Westcon's Emerging Markets business is now profitable at the EBITDA level and is expected to continue to improve. Westcon's strong working capital and operating cash flow management has continued during the period.
The Group expects Westcon's financial performance to continue to improve for the remainder of this year particularly as this business will benefit strongly from the high operational gearing that now exists as a result of the significantly reduced cost base.