Datatec Limited · JSE:DTC
Datatec — Q2 2027 Earnings Presentation
52 slides from Datatec's earnings presentation, Oct 30, 2026
Slide 1: Results for the six months ended 31 August 2026
for the six months ended 31 August 2026
Slide 2: Contents
CONTENTS 01 02 Summary Financial results 03 04 Operational review Prospects and outlook
Slide 3: 01 Summary
01 SUMMARY • Financial results summary • Overview • Current trading
Slide 4: Strong H1 financial performance
DATATEC GROUP Strong H1 financial performance Gross invoiced income~ Gross profit+ Adjusted EBITDA* US$ 4.84 billion 18.0% US$ 511.2 million 5.8% US$ 150.7 million 16.6% H1 FY26: US$4.10 billion H1 FY26: US$483.4 million H1 FY26: US$129.2 million Underlying EPS H1 FY27 special dividend H1 FY27 inter
Slide 5: Westcon refinancing returned ZAR 7.1 billion to shareholders
DATATEC GROUP Westcon refinancing transaction with General Atlantic returned ZAR 7.1 billion (US$ 438.0 million) to shareholders AI infrastructure boost Strong operational execution Continuing strong Westcon financial performance driven by networking and cyber infrastructure demand Exceptional Logic
Slide 6: AI infrastructure investment driving demand
DATATEC GROUP AI infrastructure investment driving demand for our products and services Special dividend AI infrastructure Continuing improving Finance costs Growth in order declared following investment resulting operating leverage, impacted by favourable in-take, back log and Westcon refinancing i
Slide 7: 02 Financial results
02 FINANCIAL RESULTS
Slide 8: Financial performance
DATATEC GROUP Financial performance ^ H1 FY26 % US$m H1 FY27 Restated^ Movement Gross invoiced income 4 835.0 4 096.1 18.0% Prior year GP included As reported: $15.5m indirect tax credits Revenue^ 2 024.1 1 777.2 13.9% Gross profit 511.2 483.4 5.8% Operating leverage drives Operating costs (383.
Slide 9: Financial performance – segmental
DATATEC GROUP Financial performance ̶ segmental Technology Distribution ICT Solutions and Services Westcon International Logicalis International Logicalis Latin America H1 FY26 US$m H1 FY27 Restated^ H1 FY27 H1 FY26 H1 FY27 H1 FY26 Gross invoiced income 3 371.5 2 778.4 1 226.2 1 037.1 218.7 260.9 As
Slide 10: Gross invoiced income analysis: stable geographic sales mix
DATATEC GROUP Gross invoiced income analysis: Stable geographic sales mix 8% 11% 5% 9% 10% 27% 6% 25% H1 FY27 Europe remains approximately half of the business H1 FY26 LATAM reducing 50% 49% North America Latin America Europe Asia-Pacific MEA 10 01 | Summary 02 | Datatec Group 03 | Westcon Inter
Slide 11: 72% of income derived from software and services
DATATEC GROUP Gross invoiced income analysis: 72% of income derived from software and services 28% 27% H1 FY27 Increase in hardware H1 FY26^ Net accounted software 72% 73% Hardware Software and services (incl. annuity) ^ H1 FY26 gross invoiced income restated. 11 01 | Summary 02 | Datatec Group
Slide 12: Balance sheet summary
DATATEC GROUP Balance sheet summary ^ US$m H1 FY27 H1 FY26 FY26 Assets 5 419.4 4 415.2 4 645.0 NAV reduction due to special Non-current assets dividend declared and not yet paid at H1 FY27 Goodwill 290.2 279.4 290.1 Acquired intangible assets and software 26.2 25.0 27.7 Increase in net debt due
Slide 13: Balance sheet summary – segmental
DATATEC GROUP Balance sheet summary ̶ segmental Technology Distribution ICT Solutions and Services Westcon International Logicalis International Logicalis Latin America US$m H1 FY27 H1 FY26 FY26 H1 FY27 H1 FY26 FY26 H1 FY27 H1 FY26 FY26 Assets 2 959.5 2 590.2 2 710.9 1 517.7 1 311.6 1 404.3 409.9 42
Slide 14: Cash flow
DATATEC GROUP Cash flow ^ US$m H1 FY27 H1 FY26 FY26 Cash generated from operations 79.9 112.3 218.9 Net finance costs paid (22.5) (22.7) (46.3) Positive operating cash flows Taxation paid (29.5) (27.3) (56.1) despite strong topline growth Net cash inflow from operating activities 27.9 62.3 116.5
Slide 15: Westcon International refinancing transaction
DATATEC GROUP Westcon International refinancing transaction New debt facility A new six-year 9% US$375.0 million senior secured debt facility provided by General Atlantic. Together with US$75.0 million Equity co-investment drawn from Westcon’s existing financing facilities, the A US$25.0 million cas
Slide 16: 03 Operational review
03 OPERATIONAL REVIEW
Slide 17: Westcon Comstor
Westcon % % Comstor
Slide 18: Strong momentum in secure networked infrastructure
WESTCON INTERNATIONAL Strong momentum in secure networked infrastructure Strong order intake Gross invoiced income Major refinancing and Improved net working Strategic technology across the Group $3.4 billion, up 21% equity investment capital year-on-year priorities unchanged 18 01 | Summary 02 | Da
Slide 19: Gross invoiced income – recurring sales at 67% of total
WESTCON INTERNATIONAL Gross invoiced income – recurring sales at 67% of total Total gross invoiced income Recurring gross invoiced income US$m US$m 3,371 Gross invoiced income 2,778 increased 21% 2,254 Recurring gross invoiced 1,878 income increased 20% Recurring gross invoiced income 2/3rd of
Slide 20: Healthy sales growth across all geographies
WESTCON INTERNATIONAL Healthy sales growth across all geographies Gross invoiced income Reported revenue^ US$m US$m 3,371 Sales volumes increased 2,778 across all regions Revenue increased 22% 1,949 with growth in all regions 1,650 1,026 1,127 Higher proportion of hardware 784 921 in sales and
Slide 21: Gross invoiced income analysis
WESTCON INTERNATIONAL Gross invoiced income analysis Gross invoiced income by business unit Gross invoiced income by customer 15% H1 FY27 H1 FY27 29% 31% 14% H1 FY26 H1 FY26 69% 32% 54% 53% 71% 32% Comstor* Westcon Value-add resellers System integrators Service providers * Westcon International’s Ci
Slide 22: Cyber security remains more than half of category sales
WESTCON INTERNATIONAL Cyber security remains more than half of category sales, significant growth in services Gross invoiced income by technology category Gross invoiced income by segment 13% 52% 28% 38% H1 FY27 H1 FY27 1% 41% 52% 2%7% 27% 23% 21% H1 FY26 H1 FY26 7% 41% 10% 37% Hardware Software Mai
Slide 23: Gross profit grew by 4%
WESTCON INTERNATIONAL Gross profit grew by 4% US$m 257 246 Prior year results include $15.5m of indirect tax credits Excluding tax credits, gross profit increased by $26m or 11% Adjusted results reflect growth across all regions H1 FY26 H1 FY27 23 01 | Summary 02 | Datatec Group 03 | Westcon I
Slide 24: Adjusted EBITDA grew by 13%
WESTCON INTERNATIONAL Adjusted EBITDA grew by 13% US$m 87 76 Growth across all regions Adjusted EBITDA grew 13% H1 FY26 H1 FY27 24 01 | Summary 02 | Datatec Group 03 | Westcon International 04 | Logicalis International 05 | Logicalis Latin America 06 | Prospects and outlook
Slide 25: EBITDA decreased by 15%
WESTCON INTERNATIONAL EBITDA decreased by 15% US$m 90 77 Last year included $15.5m of indirect tax credits This year includes $3.0m of restructuring and $5.6m of corporate action costs H1 FY26 H1 FY27 25 01 | Summary 02 | Datatec Group 03 | Westcon International 04 | Logicalis International 05 |
Slide 26: Improved working capital
WESTCON INTERNATIONAL Improved working capital Days/turns US$m 103 1,671 1,675 1,514 91 92 1,519 1,497 1,393 73 75 73 NWC days improved to 34 days; 4 days lower than H1 FY26 Improved inventory turns 265 245 228 6.7 6.9 4.5 DSO Inventory DPO Accounts Inventory Accounts turns* receivable payable *
Slide 27: Net debt increases largely due to new $450m of loans
WESTCON INTERNATIONAL Net debt increases largely due to new $450m of loans US$m - (100) (200) H1 FY27 net debt increased to (300) $650m due to new term loan (400) Extra debt in August to fund dividend payment to Datatec (500) (600) (700) Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug 12 months
Slide 28: Well placed to ride next generation of secure networked infrastructure
WESTCON INTERNATIONAL Well placed to ride next generation of secure networked infrastructure Resilient technology demand expected to continue Structural growth drivers in cyber, cloud and AI infrastructure Risks in geopolitical conflicts, energy price volatility and inflation Pricing competition on
Slide 29: SA Logicalis
SA LOGICALIS Architects of Change
Slide 30: Logicalis International
LOGICALIS INTERNATIONAL == LOGICALIS eer Architects of Change
Slide 31: Improved gross margins and operating leverage driving excellent results
LOGICALIS INTERNATIONAL Improved gross margins and operating leverage driving excellent results Strong order Sustainable increase AI move to the edge Excellent improvement Excellent working intake with growth in in cloud-based driving enterprise in adjusted EBITDA capital management multi-year contr
Slide 32: Gross invoiced income – recurring sales are 60% of total
LOGICALIS INTERNATIONAL Gross invoiced income – recurring sales are 60% of total sales Total gross invoiced income Recurring gross invoiced income US$m US$m 1,226 1,037 18% increase in total gross invoiced income driven by excellent growth in the US 738 644 Strong growth in recurring gross invoi
Slide 33: Healthy sales growth across all geographies
LOGICALIS INTERNATIONAL Healthy sales growth across all geographies Gross invoiced income Reported revenue US$m US$m 1,226 1,037 US growth driven by product sales and annuity services 697 613 Reported revenue impacted 527 by increase in net accounting 392 396 421 249 278 244 244 249 188 181 204
Slide 34: Recurring annuity services contribute 32% of sales mix
LOGICALIS INTERNATIONAL Recurring annuity services contribute 32% of the total sales mix Gross invoiced income by segment (%) Gross invoiced income – cloud* (US$m) US$1.2bn 287 US$1.0bn 32% 35% 17% 10% 10% 28% 245 27% 28% 30% H1 FY26 H1 FY27 H1 FY26 H1 FY27 Hardware Software * Includes cloud sales r
Slide 35: Gross profit grew by 15%
LOGICALIS INTERNATIONAL Gross profit grew by 15% US$m 211 183 Increased contribution from annuity services along with improved margins Continued strong contribution from product, driven by the US H1 FY26 H1 FY27 35 01 | Summary 02 | Datatec Group 03 | Westcon International 04 | Logicalis Interna
Slide 36: Adjusted EBITDA grew by 36%
LOGICALIS INTERNATIONAL Adjusted EBITDA grew by 36% US$m 71 52 Very strong adj. EBITDA margin of 10.2% Good operating efficiencies as 34% of gross profit converted to adj. EBITDA H1 FY26 H1 FY27 36 01 | Summary 02 | Datatec Group 03 | Westcon International 04 | Logicalis International 05 | Logic
Slide 37: EBITDA grew by 26%
LOGICALIS INTERNATIONAL EBITDA grew by 26% US$m 64 51 All regions contributed good growth Larger IFRS 2 share-based payment expense H1 FY26 H1 FY27 37 01 | Summary 02 | Datatec Group 03 | Westcon International 04 | Logicalis International 05 | Logicalis Latin America 06 | Prospects and outlook
Slide 38: Strong working capital management
LOGICALIS INTERNATIONAL Strong working capital management Days US$m 108 398 104 89 334 337 310 306 272 Inventory days remain low Strong cash generation from good working 41 41 42 capital management 15 13 52 8 39 35 DSO DIO DPO Accounts Inventory Accounts receivable payable H1 FY26 FY26 H1 FY27 3
Slide 39: Growing IT landscape of opportunity
LOGICALIS INTERNATIONAL Growing IT landscape of opportunity Cyber security becoming a core growth area AI driving infrastructure investment and networking refresh Increase in on-premises IT solutions with hybrid-cloud Predictable and increasing recurring revenue growth 39 01 | Summary 02 | Datatec G
Slide 40: Logicalis Latin America
LOGICALIS LATIN AMERICA == LOGICALIS ee Architects of Change e e
Slide 41: Resilient business foundations supporting the path to recovery
LOGICALIS LATIN AMERICA Resilient business foundations supporting the path to recovery Revenue impacted by Re-positioning to Temporary margin Solid working capital Significant tax credit lower sales volumes enterprise and pressure amid lower management benefit and weak telco sector commercial client
Slide 42: Gross invoiced income – recurring sales are 59% of total
LOGICALIS LATIN AMERICA Gross invoiced income – recurring sales are 59% of total sales Total gross invoiced income Recurring gross invoiced income US$m US$m 261 219 Total gross invoiced income decreased 16%, reflecting lower sales across all geographies 158 129 Recurring sales remained the large
Slide 43: Sales declined across all geographies
LOGICALIS LATIN AMERICA Sales declined across all geographies Gross invoiced income Reported revenue US$m US$m 261 224 219 181 Brazil represented the most significant year-on-year change 126 SOLA showed greater 107 resilience, supported by 101 103 99 92 84 86 positive Argentina performance 32 26
Slide 44: Recurring annuity services contribution to sales mix
LOGICALIS LATIN AMERICA Recurring annuity services now contribute 43% of the total sales mix Gross invoiced income by segment (%) Gross invoiced income – cloud* (US$m) US$261m 16 US$219m 41% 60% 10 43% 9% 12% 19% 16% 31% 29% H1 FY26 H1 FY27 H1 FY26 H1 FY27 Hardware Software * Includes cloud sales re
Slide 45: Gross profit decreased by 24%
LOGICALIS LATIN AMERICA Gross profit decreased by 24% US$m 51 Gross profit performance impacted by lower sales volumes across the region 39 Brazil had the largest reduction Gross margin percentage remained resilient but dropped in Mexico H1 FY26 H1 FY27 45 01 | Summary 02 | Datatec Group 03 |
Slide 46: Adjusted EBITDA fell slightly negative
LOGICALIS LATIN AMERICA Adjusted EBITDA fell slightly negative US$m 12 Adjusted EBITDA excludes share-based payments charges Operating costs exceeded gross profit (1) H1 FY26 H1 FY27 46 01 | Summary 02 | Datatec Group 03 | Westcon International 04 | Logicalis International 05 | Logicalis Latin A
Slide 47: EBITDA decreased by 116%
LOGICALIS LATIN AMERICA EBITDA decreased by 116% US$m 12 Lower gross profit was the main driver Operating expenses remained stable (2) H1 FY26 H1 FY27 47 01 | Summary 02 | Datatec Group 03 | Westcon International 04 | Logicalis International 05 | Logicalis Latin America 06 | Prospects and outloo
Slide 48: Working capital remained well managed in a lower-volume environment
LOGICALIS LATIN AMERICA Working capital remained well managed in a lower-volume environment Days US$m 167 164 168 107 96 85 72 73 Lower business volumes 61 reduced accounts receivable 64 DSO was tightly managed 45 49 28 27 15 15 9 6 DSO DIO DPO Accounts Inventory Accounts receivable payable H1 F
Slide 49: Positioned for a gradual recovery
LOGICALIS LATIN AMERICA Positioned for a gradual recovery Commercial focus remains on building pipeline and growing new revenue streams Margin and efficiency initiatives targeted to support profitability recovery Continued discipline in working capital and cash management Brazil and Mexico remain ch
Slide 50: 04 Prospects and outlook
04 PROSPECTS AND OUTLOOK
Slide 51: Prospects and outlook
DATATEC GROUP Prospects and outlook Continuing to unlock shareholder value and AI is moving to the enterprise and edge – position for maximum strategic gain towards Datatec’s markets IT infrastructure will form bigger part of Westcon and Logicalis move into Eastern private and public organisations’
Slide 52: Company websites
www.datatec.com www.westconcomstor.com www.logicalis.com www.la.logicalis.com www.masonadvisory.com