Strong first quarterly report after the acquisition of NextGenTel
Press release from Telio
Oslo, Norway, 24 April 2013
Telio experienced continued strong revenue growth and increased profitability in the first quarter. The acquisition of NextGenTel AS was completed on 31 January 2013 and the company and its subsidiaries are consolidated in the Telio Group financial statements from 1 February 2013. Telio improved profitability significantly from Q4 2012 and NextGenTel over-performed compared to plan. Revenues for Telio Group in the first quarter ended at NOK 260.7 million compared to NOK 98.2 million in the year-ago quarter.
- Revenue growth for Telio in Q1 was 16% adjusted for currency fluctuations and we are quite satisfied with this combined with increased profitability. In addition, we are very satisfied with the performance of NextGenTel for the first two months the company has been part of the Telio Group. NextGenTel has improved profitability even before the effects of restructuring have taken place , says Eirik Lunde, CEO of Telio Holding ASA.
EBITDA for Telio Group was NOK 52.4 million and EBIT was NOK 27.6 million (adjusted for non-recurring costs of NOK 2.9 million related to the acquisition of NextGenTel AS. EBIT is also adjusted for amortization costs of NOK 7.5 million related to the acquisition of NextGenTel AS).
The acquisition of NextGenTel AS was completed on 31 January 2013. NextGenTel AS and its subsidiaries are consolidated in the Telio Group financial statements from 1 February 2013.
NextGenTel has developed positively during Q1 and the financial performance is ahead of plan. A new management team was appointed in February and a new organization structure was launched in March. The first step of rightsizing has been completed and the company has 15% less FTEs than at the transaction date. A cost control program has been established and savings potential has been identified. The first results are visible in the Q1 financial figures.
Continued growth in international markets
Telio continues to grow also in the markets outside Norway. The total number of customers outside Norway was 110,500 at the end of Q1 2013.
In the 1st quarter 2013, the Telio Group achieved revenues of NOK 260.7 million compared to NOK 98.2 million in the year-ago quarter. EBITDA was NOK 52.4 million (20.1% EBITDA margin) compared to NOK 21.6 million (22.0 % EBITDA margin) in the same quarter last year. Operating profit ended at NOK 27.6 million compared to NOK 16.3 million in the 1st quarter of 2012 (EBITDA and operating profit are adjusted for non-recurring items and EBIT is adjusted for amortization cost related to the acquisition of NextGenTel).
( See separate financial report and market presentation for Q1 2013 at http://www.telioholding.no/investor_relations/reports_presentations )
For further information, please contact:
Mr. Eirik Lunde, CEO
Telephone: +47 23 62 66 88
Mobile: +47 48 09 69 64
Download high definition pictures of CEO Eirik Lunde at http://www.telio.no/om_telio/presse/logo_og_bilder