Colt Group S.A. (London Stock Exchange: COLT) issued today the results for the six months ended 30 June 2011.
Highlights of first half 2011:
- A reduction in mobile termination rates was the prime factor for overall revenue decline of 3.5%
- Data and Managed Services revenue marginally improved over the first six months of 2011 with expectations of incremental growth later in 2011
- Reorganisation essentially complete – restructuring programme on track to deliver targeted net cost savings
- Acquisition of MarketPrizm deepens finance sector focus
- Increased capital expenditure programme focused on product development, data centre expansion and IT infrastructure improvements to support integrated compute/network product suite
Key Information:
|
|
Six months to 30 June |
||
| € millions |
2011 |
2010 |
Movement |
|
Unaudited |
Unaudited |
||
| Total revenue |
766.2 |
794.2 |
(3.5%) |
| Data revenue |
400.6 |
396.8 |
1.0% |
| Managed Services revenue |
86.6 |
83.0 |
4.3% |
| Voice revenue |
279.0 |
314.4 |
(11.3%) |
| 1EBITDA |
157.2 |
158.2 |
(0.6%) |
| Profit before tax |
21.8 |
34.4 |
(36.6%) |
| 2Free cash flow |
(68.8) |
7.8 |
nm |
| Capital expenditure |
152.6 |
103.7 |
(47.2%) |
| 3Net funds |
230.6 |
265.6 |
(13.2%) |
1 EBITDA reflects earnings before net finance costs, tax, depreciation, amortisation, foreign exchange and exceptional items
2 Free cash flow is net cash generated from operating activities less net cash used to purchase non-current assets and net finance costs paid
3 Net funds reflects cash and cash equivalents plus deposits classified as current asset investments
Rakesh Bhasin, Chief Executive Officer, commented:
“While economic conditions remain challenging, we continue to see signs of improved pipeline. We expect incremental growth in the latter part of the year. We will continue to invest in product and infrastructure to support growth in our targeted product area of integrated compute/network services.”
FORWARD LOOKING STATEMENTS
This report contains ‘forward looking statements’ including statements concerning plans, future events or performance and underlying assumptions and other statements which are other than statements of historical fact. Colt Group S.A., ‘the Group’, wishes to caution readers that any such forward looking statements are not guarantees of future performance and certain important factors could in the future affect the Group’s actual results and could cause the Group’s actual results for future periods to differ materially from those expressed in any forward looking statement made by or on behalf of the Group. These include, among others, the following: (i) any adverse change in regulations and technology within the IT services and communications industries, (ii) the Group’s ability to manage its growth, (iii) the nature of the competition that the Group will encounter and wider economic conditions including economic downturns, (iv) unforeseen operational or technical problems and (v) the Group’s ability to raise capital. The Group undertakes no obligation to release publicly the results of any revision to these forward looking statements that may be made to reflect errors or circumstances that occur after the date hereof.
Investor conference call details: Date: Thursday 21 July, 09.00 (BST)
Register in advance by accessing this link.
Click here for the complete Press Release.
Enquiries:
Investor Relations:
Gill Maclean
DDI: +44 (0) 20 7863 5314
Email: gill.maclean@colt.net
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