ALTEC HOLDINGS S.A. IT AND COMMUNICATION SYSTEMS
Annual results for FY2007
9.3% Increase in Turnover - 39.7% Increase in EBITDA - 92.0% Increase in Earnings Before Taxes
The financial data of ALTEC SA presented an improvement, according to the financial statements for 2007.
Specifically, Turnover of ALTEC SA for 2007, amounted to euro 122.6 million, compared to euro 112.1 million during 2006, posting an increase of 9.3%. Earnings Before Interest, Τaxes, Depreciation & Amortization (EBITDA), posted an increase of 39.7% and amounted to euro 20.6 million from euro 14.7 million the previous year, while Earnings Before Τaxes amounted to euro 8.6 million from euro 4.5 million in 2006, thus posting an impressive increase of 92%. Earnings after Τaxes, posted an increase of 22.3% and amounted to euro 4.2 million compared to euro 3.5 during the previous year.
The improvement of 2007 results for ALTEC SA, emerged from the improvement by 2.7 percentage points of the gross profit margin, which amounted to 31.1% compared to 28.4% during 2006. This fact is due to the reinforcement of the company?s activities in software and integrated solutions, which offer a larger profit margin. At the same time, operating expenses as a percentage of turnover were contained, and specifically were reduced to 18.2% in 2007 compared to 19.5% in 2006.
Turnover at the consolidated level for 2007 amounted to euro 228.5 million from euro 195.1 million, posting an increase of 17.1%, Earnings Before Interest Taxes Depreciation and Amortization (EBITDA) for 2007 amounted to euro 19.3 million from euro 22.2 million during the previous year, while results Before Taxes amounted to losses of euro 0.9 million compared to earnings of euro 4.9 million and results after taxes after minorities amounted to losses of euro 4.0 million compared to earnings of euro 2.7 million.
The final result at the consolidated level, was affected by the financial data of the subsidiary ALTEC Telecoms, which were negative, as was the case aggregately for the sector of alternative telecommunication providers. ALTEC Telecoms, in order to attract new customers, proceeded with advertising and marketing expenditures, which were registered in 2007 the benefits of which will emerge in the future.
ALTEC Telecoms is currently implementing significant investments for the construction of a self-owned Local Loop Unbundling network, which will provide it with the ability to shift its existing customers to the self-owned network and also to attract new customers, offering integrated broadband solutions. Such will result in a reduction of telecommunication expenses, an increase in confidence and in long-term relationships with customers. According to the business plan under implementation, the self-owned network will be completed during 2009 and as a result ALTEC Telecoms will return to profitability. Microland, a subsidiary of the ALTEC Group, presented positive financial results for 2007 and constitutes the largest independent retail sale network for telecommunication services in Greece, with 61 sale points in Greece and a target to increase such to 100 during 2008. Through Microland's Store Network, the consumer has the ability to select any mobile telephony program from the 3 providers operating in Greece, as well as fixed telephony and internet programs by Altec Telecoms, while soon broadband services are expected to be offered by other alternative providers.
The ALTEC Group of companies continues to invest in Software activities and in the provision of integrated solutions, which rendered the Group a leading power in the Greek market. Moreover, it invests in the activities of Telecommunications and Retail sale of telecommunication services through the companies ALTEC Telecoms and Microland respectively, while the synergies of the aforementioned companies reinsure the Group's future development.
The financial data of ALTEC SA presented an improvement, according to the financial statements for 2007.
Specifically, Turnover of ALTEC SA for 2007, amounted to euro 122.6 million, compared to euro 112.1 million during 2006, posting an increase of 9.3%. Earnings Before Interest, Τaxes, Depreciation & Amortization (EBITDA), posted an increase of 39.7% and amounted to euro 20.6 million from euro 14.7 million the previous year, while Earnings Before Τaxes amounted to euro 8.6 million from euro 4.5 million in 2006, thus posting an impressive increase of 92%. Earnings after Τaxes, posted an increase of 22.3% and amounted to euro 4.2 million compared to euro 3.5 during the previous year.
The improvement of 2007 results for ALTEC SA, emerged from the improvement by 2.7 percentage points of the gross profit margin, which amounted to 31.1% compared to 28.4% during 2006. This fact is due to the reinforcement of the company?s activities in software and integrated solutions, which offer a larger profit margin. At the same time, operating expenses as a percentage of turnover were contained, and specifically were reduced to 18.2% in 2007 compared to 19.5% in 2006.
Turnover at the consolidated level for 2007 amounted to euro 228.5 million from euro 195.1 million, posting an increase of 17.1%, Earnings Before Interest Taxes Depreciation and Amortization (EBITDA) for 2007 amounted to euro 19.3 million from euro 22.2 million during the previous year, while results Before Taxes amounted to losses of euro 0.9 million compared to earnings of euro 4.9 million and results after taxes after minorities amounted to losses of euro 4.0 million compared to earnings of euro 2.7 million.
The final result at the consolidated level, was affected by the financial data of the subsidiary ALTEC Telecoms, which were negative, as was the case aggregately for the sector of alternative telecommunication providers. ALTEC Telecoms, in order to attract new customers, proceeded with advertising and marketing expenditures, which were registered in 2007 the benefits of which will emerge in the future.
ALTEC Telecoms is currently implementing significant investments for the construction of a self-owned Local Loop Unbundling network, which will provide it with the ability to shift its existing customers to the self-owned network and also to attract new customers, offering integrated broadband solutions. Such will result in a reduction of telecommunication expenses, an increase in confidence and in long-term relationships with customers. According to the business plan under implementation, the self-owned network will be completed during 2009 and as a result ALTEC Telecoms will return to profitability. Microland, a subsidiary of the ALTEC Group, presented positive financial results for 2007 and constitutes the largest independent retail sale network for telecommunication services in Greece, with 61 sale points in Greece and a target to increase such to 100 during 2008. Through Microland's Store Network, the consumer has the ability to select any mobile telephony program from the 3 providers operating in Greece, as well as fixed telephony and internet programs by Altec Telecoms, while soon broadband services are expected to be offered by other alternative providers.
The ALTEC Group of companies continues to invest in Software activities and in the provision of integrated solutions, which rendered the Group a leading power in the Greek market. Moreover, it invests in the activities of Telecommunications and Retail sale of telecommunication services through the companies ALTEC Telecoms and Microland respectively, while the synergies of the aforementioned companies reinsure the Group's future development.