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Bechtle Q3 Profit Up; Now Sees Very Significant Revenue, Earnings Growth In FY17

Information technology company Bechtle AG (BC8G) reported Friday that its third-quarter earnings after tax climbed 14.6 percent to 29.60 million euros from 25.83 million euros last year. Earnings per share grew to 0.70 euro from 0.61 euro a year ago.

Earnings before taxes or EBT climbed 16.4 percent to 42.2 million euros. The EBT margin was 4.8 percent, down from 5 percent last year.

Operating income or EBIT went up 20.9 percent to 42.5 million euros. EBIT margin also improved.

From July to September, the company's revenue increased 19.7 percent to 873.9 million euros from 730.03 million euros last year.

Further, the company said it achieved two-digit revenue and earnings growth rates in the first nine months, surpassing its original expectations. The Executive Board believes that these growth dynamics will slacken in the fourth quarter -especially in view of the high reference value achieved in the prior year.

Nevertheless, Bechtle has stepped up its forecast for 2017 as a whole and now plans to deliver very significant revenue and earnings growth. As originally predicted, the EBT margin is expected to at least remain at the prior-year level. However, this will only be possible if the economic framework conditions remain stable in the fourth quarter and the vendors are able to supply the high quantities needed towards the end of the year.

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