Exclusive Networks Australia cops half-year loss as WhiteGold buyout beds in

Exclusive Networks Australia has copped a small loss for the few months of its life under new ownership.

The distributor, which was formerly known as WhiteGold Solutions, has switched to a December financial year end after its acquisition last August by French giant Exclusive Networks, resulting in an interim half-year financial report.

The distie's revenue of $23 million for the six months ending 31 December 2014 compared favourably to the $39.6 million sold in the full 2014 fiscal year. However, Exclusive's local arm had a net loss of $470,446 for the half year, after making an impressive $2 million net profit for the full year ending 30 June 2014.

Exclusive Networks Asia-Pacific managing director Dominic Whitehand told CRN that "extraordinary expenses and accounting policy changes" triggered by the acquisition had temporarily blown out cost of sales.

"Given that our adjustments for the period included a change in stock depreciation policy to match guidelines followed in Europe, resulting in depreciation of nearly $900,000, [the net loss of $470,446] is immaterial and does not reflect a significant impact on our overall performance for the coming full financial year," said Whitehand.

Back in March, Whitehand attributed the bumper profit in the 2014 fiscal year as one of the major reasons for Exclusive Networks buying 70 percent of his company as its first venture outside of Europe.

Whitehand said the growth in revenue has continued into 2015, with 35 percent year-on-year growth from the first quarter.

"Indeed we expect our end-of-year results to reflect significant growth and resulting net profit," he said.

Hyper-converged vendor Nutanix is a big contributor to the current sales growth for the northern Sydney distie, according to Whitehand. "Nutanix forms the nucleus of our software-defined data centre solution stack – a stack that we will be significantly developing as the year progresses.

"We expect excellent growth from this within our data centre business unit, as well as from Exclusive Global Services and, of course, our IT security business unit."