Cybersecurity drives Westcon-Comstor to higher profitability
Cybersecurity has been a key driver, with Westcon-Comstor recording sales growth up to 16% to US$1.45 billion and representing 52% of overall gross sales.
Cybersecurity growth in the region continues to enable strong sales for Westcon-Comstor as the global technology provider and specialist distributor reported a strong first half result. With gross sales up 9.8% to US$2.78 billion, continued shift to software and services-based recurring revenues also contributed to the success.
Cybersecurity in particular has been a key driver, with Westcon-Comstor recording sales growth up to 16% to US$1.45 billion (H1 FY25: US$1.25bn) and representing 52% of overall gross sales, up from 49% a year earlier. Rising demand from channel partners and their customers resulted in Westcon-Comstor providing technical expertise, value-added services and strong and as well as growing its vendor portfolio.
Gross sales from networking and cloud – Westcon-Comstor’s other two specialist technology areas – also recorded year-on-year increases. Software sales climbed 30% to US$1.14bn (H1 FY25: US$879m) and – combined with cloud sales – now comprise 48% of gross sales, while hardware accounted for 29%.
Regionally, APAC has seen particularly strong growth along with Europe, Middle East and Africa (MEA).
According to David Grant, CEO at Westcon-Comstor, the technology provided remains uniquely positioned to drive partner success today while redefining and reshaping distribution for tomorrow.
“Cybersecurity is now firmly embedded as a key boardroom priority, while cloud adoption is accelerating and unleashing new possibilities for AI in networking. Westcon-Comstor has the capability, solutions and coverage to empower our partners and vendors to deliver unparalleled results in a period of rapid technological change and evolving business models,” Grant said.
For Callum McGregor, Chief Financial Officer and Chief Operating Officer at Westcon-Comstor, the first half of FY26 exemplifies the sustainable growth that they have consistently achieved in recent years.
“With a healthy sales pipeline, strong vendor alliances and opportunities to grow in services and other margin-rich areas, we can look to the second half of the year and beyond with confidence. Regardless of the macroeconomic backdrop, we will maintain our sharp focus on driving partner and vendor success and helping to create a future-ready IT channel,” he said.
Regionally, Patrick Aronson, APAC Executive Vice President and Chief Marketing Officer, Westcon-Comstor believes the first-half results in Asia-Pacific reflect the strong execution by the diverse teams and a strategy that’s clearly working.
“We’ve been intentional about where we invest in our data platform, in our leading portfolio of cybersecurity, networking, and cloud vendors, and in partner enablement, and that focus is paying off. By helping our partners grow profitably, we’re creating predictability in an unpredictable world", said Aronson.
Meanwhile, Phil Cameron, Managing Director, Westcon-Comstor, Australia pointed out that the Australian market, which is part of APAC, recorded decent continued momentum.
“We've seen solid gross revenue with our 1st half growth of +20% year-on-year, driven by high demand for cybersecurity and networking solutions. We're proud to help our partners meet their customers' needs in these key areas. Our results show that our simple, data-driven approach is helping our partners and vendors succeed in a complex market, and we'll continue to build on this success", said Cameron.
The six months to 31 August 2025 (H1 FY26) saw gross profit increase 13.8% to US$246 million while gross margin expanded to 25.1%. Adjusted EBITDA saw a 7.3% year-on-year rise to US$76.4m, with adjusted EBITDA margin up to 7.8%.