Broadline distributor Tech Data was reminded once again of the painful changes it has had to make to its EMEA operation after posting a fall in net profit for the three months to the end of October.
The firm earned a profit of just $9.6m during the quarter compared with a US$23m profit in the same period last year. However, the haul would have been much higher had Tech Data not recorded nearly US$10m in restructuring and consulting charges relating to its troubled EMEA arm.
Tech Data has now spent almost US$55m on sorting out its operations in EMEA since embarking on the restructuring exercise in May 2005.
New Tech boss Robert Dutkowsky claimed the company would be able to “focus more intently on new opportunities with our business partners and customers” now that the EMEA overhaul had been concluded.
Sales in EMEA during the last quarter increased 4% year-on- year in local currency to US$2.8 billion, accounting for 52% of its global business.For all the latest tech news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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