In its recent financial report for FY25, Westcon-Comstor has achieved record annual gross sales of US $5.24 billion, fuelled by strong growth in cybersecurity and an acceleration in its shift to services.
The gross sales, gross margin and adjusted EBITA are all up year-on-year as the distributor doubles down on software.
The company saw its gross sales figure for the year ended 28 February 2025 (FY25) represent a 3.3% year-on-year increase (FY24: $5.08bn).
Gross profit also jumped 9.4% to $441 million (FY24: $403m), with strong and consistent growth in profitability in each of Westcon-Comstor’s three operating regions: Europe, Middle East and Africa (EMEA) and Asia-Pacific (APAC).
Gross margin rose to 22.4% (FY24: 18.2%) on revenue of $1.97bn.
Adjusted EBITDA increased by nearly 25% to $149.9m (FY24: $120.2m), with a further improvement in adjusted EBITDA margin to 7.6% (FY24: 5.4%).
Gross sales from cybersecurity increased 19.3% year-on-year and accounted for more than half (51%) of Westcon-Comstor’s gross sales in FY25. Growth was fuelled by an expansion of collaborations with cybersecurity vendors and the success of the distributor’s value-added offerings for partners and vendors, spanning data, enablement and education.
FY25 also saw the distributor deepen relationships with nine core vendors across cybersecurity, networking and cloud, with a focus on delivering even greater value by increasing distribution-led sales, accounting for 80% of gross sales during the year at $4.20bn, with year-on-year growth of 4.9% outstripping overall gross sales growth.
Callum McGregor, Chief Financial Officer and Chief Operating Officer at Westcon-Comstor (pictured) added: “With strong fundamentals and positive performance across key metrics, FY25 saw us maintain the growth trajectory that has characterised our business for the best part of a decade.
“Despite the challenging backdrop of geopolitical and macroeconomic uncertainty, FY26 offers opportunities for further growth thanks to our healthy sales pipeline, track record of innovation and strong relationships with partners and vendors.”