Technology distributor Westcon-Comstor has recorded annual gross sales of $5.24 billion for the financial year ended February 28, 2025. This represents a 3.3% growth year over year. Rise in cybersecurity demand and shift toward software and services contributed to the company’s performance.
Gross profit rose 9.4% to $441 million, with consistent gains reported across its three core regions of Europe, the Middle East and Africa (MEA), and Asia-Pacific (APAC). Gross margin climbed to 22.4%, up from 18.2% the year before, based on revenue of $1.97 billion.
Adjusted EBITDA rose nearly 25% year-on-year to reach $149.9 million. The corresponding EBITDA margin increased from 5.4% to 7.6%.
Cybersecurity emerged as a key driver of growth, with sales in this segment climbing 19.3% to account for 51% of Westcon-Comstor’s total gross sales. The increase reflects expanding partnerships with cybersecurity vendors and growing uptake of the distributor’s value-added offerings, including analytics, enablement tools, and educational resources.
“I’m thrilled to mark another year of exceptional financial and operational performance,” said CEO David Grant. “Our focus on enabling partner success through data-driven services and market-leading programmes continues to pay off. Distribution is changing, and we’re leading that change by helping partners and vendors grow in new ways.”
The shift away from traditional hardware continued, with hardware now contributing just 32% of gross sales. In contrast, software sales rose 22.2% to $2.33 billion and now account for 44% of the total. Recurring revenues from subscription-based software and cloud services stood at 66% of gross sales.
The company also strengthened ties with nine vendors in cybersecurity, networking, and cloud solutions. Sales from these vendors reached $4.20 billion and this was 80% of the total and a year-on-year growth rate of 4.9%.
In the MEA region, Westcon-Comstor reported strong local profitability gains. “FY25 was a year of strong progress for us in the Middle East and Africa,” said Rakesh Parbhoo, Executive Vice President for MEA. “Our strategy built on data and value-added services is clearly working, and we’re well-positioned for further growth heading into FY26.”
Westcon-Comstor’s transformation reflects wider shifts in the IT distribution landscape, as companies increasingly move away from hardware-centric models in favor of digital-first, service-driven solutions. With over 3,700 employees worldwide, the company credits its team and culture as key enablers of its continued success.
Also Read: Westcon-Comstor Named Value Added Distributor of the Year at Intelligent ICT Awards Africa 2025
