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Logicom Reports 55% Drop In Q1 Profit

Earnings And Profitability In Q1 2026

Logicom Public Ltd reported a 55.2% decline in shareholder profit for the first quarter of 2026, with earnings falling to €10.7 million from €23.9 million in the same period last year.

According to the company, the decrease mainly reflected a smaller write-off of negative goodwill related to investment acquisitions, as well as lower turnover, gross profit, and other income. Lower administrative expenses, reduced expected credit losses, and lower taxation partly offset the impact.

Regional Sales And Division Performance

Gross sales declined by 2% to €286.6 million, compared with €292.4 million a year earlier. Sales in the distribution segment fell by 0.9%, with weaker performance recorded in Saudi Arabia, the United Arab Emirates, Kuwait, and Romania. A steeper decline was reported in the software solutions and integrated IT division, where gross sales dropped by 18.4%, mainly due to lower activity in Cyprus and Greece.

Operational Adjustments And Financial Management

Despite lower revenue, gross profit margins on gross sales improved slightly to 7.9% from 7.8%, while reported sales margins increased to 11.3% from 9.7%. Excluding controlled entity Demetra Holdings Plc, operating profit from ordinary activities rose by 4%, supported by lower administrative expenses and reduced expected credit losses. Financing costs also declined. Expenses related to banking facilities fell by 27.7% to €1.6 million, reflecting lower net borrowings and more favourable lending rates.

Strategic Acquisitions And Future Outlook

Logicom acquired a 31.8% stake in AGI-Cypre Property 45 Limited through Najada Holdings Limited, while Demetra Holdings Plc acquired an additional 26.3% stake. According to the company, the transaction resulted in a write-off of negative goodwill, reflecting the difference between the acquisition cost and the net asset valuation at the time of purchase. Operations through Verendrya Ventures Limited also continued, with the group maintaining its participation in the desalination plants in Episkopi and Larnaca.

Outlook

In line with board estimates, first-quarter results did not include non-recurring gains or extraordinary items. Management said it remains focused on financial discipline and operational efficiency as the group responds to current economic conditions.

Europe’s Deadly Summer Heat Exposed The Cost Of A Warming Continent

Europe experienced its deadliest summer for heat-related deaths on record in 2026, with an estimated 24,400 excess deaths linked to extreme temperatures across 30 countries. Researchers estimate that human-induced climate change was responsible for around 32,000 of the deaths attributed to heat in the study’s broader analysis, accounting for 65% of the total.

The findings highlight the growing public-health consequences of global warming, largely driven by fossil fuel use, as extreme heat becomes more frequent and severe.

A Summer Of Dangerous Heat

Between June and August, heatwaves pushed temperatures in Western Europe to an average of 2.9°C above the 1991–2020 norm, with some days reaching 12°C above average. Nearly a third of estimated heat-related deaths occurred during a particularly intense heatwave between 17 June and 1 July.

“These numbers are a stark reminder that our hotter, more extreme summers are having an increasingly severe impact on public health,” said Dr Clair Barnes, a researcher at Imperial College London and co-author of the study.

The estimated toll exceeded previous peaks of around 29,000 deaths in summer 2022 and 28,000 in 2003 across the region studied.

How Researchers Estimated The Toll

Researchers modelled the relationship between temperature and mortality across 854 urban areas in the EU, UK, Norway and Switzerland, covering around 40% of the population in the 30 countries studied.

The analysis incorporated temperature records, age, socioeconomic conditions, environmental factors and access to healthcare. By comparing actual temperatures with those expected without human-induced warming, the team estimated the additional deaths attributable to climate change.

Final official mortality figures for summer 2026 are not yet available in many countries, and heat-related deaths are often underreported because their effects can be difficult to identify directly.

Older People Face The Greatest Risk

People aged 85 and over accounted for roughly half of the estimated deaths. However, the impact extended across age groups, with around 800 excess deaths among adults aged 20–44 and approximately 6,000 among people under 65.

Southern Europe experienced the highest mortality burden, reflecting hotter temperatures and other vulnerabilities, including air pollution, limited green space and unequal access to healthcare and heat-alert systems.

Italy, France And Spain Record Highest Toll

Italy recorded an estimated 13,303 heat-related excess deaths, followed by France with 7,268 and Spain with 6,824. Germany recorded around 6,340, while the UK saw an estimated 4,354 deaths.

In the UK, the heat also placed significant pressure on healthcare services. Andrew Hartle, Professor of Practice of Anaesthesia at Imperial College Healthcare, said demand during the summer resembled that of a severe winter virus season.

Cities Urged To Strengthen Heat Protection

Researchers say cities can reduce the risks through climate shelters, external shading and building retrofits, alongside measures to help residents avoid exposure during the hottest hours. Checking on vulnerable people, staying hydrated and following heat alerts are also important.

The researchers stress that adaptation must go hand in hand with reducing fossil fuel use to limit further warming. The findings underline that extreme heat is already a major public-health threat across Europe, with thousands of lives at risk each summer.

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