LINK Mobilty Group ASA: Financial report second quarter 2016
LINK Mobility Group ASA (LINK) confirms its strategy and reports solid revenue growth in the second quarter 2016 across all main markets. In addition to delivering solid organic growth, LINK has also announced major acquisitions in Norway, Sweden, Denmark and Germany.
The strong revenue growth in the quarter confirms the positive underlying trend of solid growth in the market for mobile messaging and mobile solutions delivered by LINK. The growth rate increased throughout the quarter, indicating solid growth going forward.
LINK achieved a record operating revenues of NOK 124.5 million in the second quarter, up 58 per cent compared with corresponding period last year. The Adjusted EBITDA was recorded at NOK 17 million in the second quarter, up 23.9 per cent compared with the corresponding period last year.
The acquisition of Responsfabrikken A/S in Denmark, that was announced in March 2016, was closed 29 June 2016. In the second quarter LINK announced acquisitions of Linus AS in Norway, Globalmouth Marketing AB in Sweden and Whatever Mobile Group in Germany. The enterprise value of these companies are based on an average multiple of approximately 6 times estimated EBITDA 2016. The favorable pricing of the target companies combined with LINK’s model of financing its acquisitions, confirms LINK ability to continue to consolidate the marked while delivering solid financial results.
“LINK has a clear ambition to continue to grow its business in a market that is expanding rapidly. We believe that the current growth level both organic and non-organic will continue through our strategic planning period 2018. This means that we restate our ambition for delivering a minimum of 4 billion mobile messages through 2018. LINK is also updating its current outlook to include a revenue target in the range of NOK 2.7 billion and an EBITDA target in the range of NOK 400 million. Driving these targets will be strong organic growth and continued consolidation through acquisition, including expansion into new geographical markets. LINK plan to be present in 10 markets through 2018, and to take a strong number one position in each of these markets, and leverage on this position from scale in innovation and operational excellence” says LINK’s CEO Arild Hustad.
For further information, please contact:
Arild E. Hustad, CEO
LINK Mobility Group ASA
Mob: +47 95241930
IR Contact Siw Ødegaard, CFO
LINK Mobility Group ASA
Mob: +47 95759848