Vita Group numbers rise on telco product demand

Strong demand for mobility and telco products see the Group's NPAT rise 189 per cent to $2.7 million

Strong demand for mobility and telecommunications products, has seen Vita Group NPAT increase 189 per cent to $2.7 million in the first half of FY13 ending December 31. Revenue increased 9 per cent to $222 million and EBITDA increased 47 per cent to $10.2 million.

In a statement to the ASX, Vita Group said the results reflected a strong momentum in demand for telecommunications and mobility products, and a clear focus on the execution of the Group’s priorities as well as a solid performance from its telco partner, Telstra.

Revenue from its telecommunications division was up 20 per cent to $172.6 million and EBITDA rose 44 per cent to $10.6 million.

The company’s telco division consists of Telstra, Telstra Business Centres, Fone Zone and One Zero retail outlets, which maintain about 182 points of presence.

However, its Apple outlet stores, NextByte, suffered a 17 per cent decline in revenues to $49.5 million and like-for-like revenues were down 6 per cent. EBITDA was in line with last year, and experienced a slight $400,000 loss.

The results were impacted by restructuring costs linked to store openings and closures and outsourcing its after-sales service as part of a shift from a fixed to variable service cost model.

The Group stated its transition to the new format Next Byte Apple Premium Reseller (APR) platform progressed well during the half, with four new format APR stores opened and three old format stores closed, bringing the number of Next Byte outlets to 19.

“Next Byte faced headwinds during the half as we continued to transform the business, but it’s on track for an improved contribution in the second half as earnings from the new format stores improve,” Vita Group CEO, Maxine Horne, said.

2015 State of The IT Channel Survey : IT'S TIME!!! Fill in this year's State of the IT Channel Survey and be in the running to win great prizes. CLICK HERE

Join the ARN newsletter!

Error: Please check your email address.

Tags Fone ZoneOne Zerovita groupnext byteTelstra

More about AppleFone ZoneNext ByteTelstra Corporation

ARN Directory | Distributors relevant to this article

Show Comments
 

Latest News

Apr 24
Technology investment in SMEs set to escalate in 2015: Robert Half
Apr 24
Bulletproof increases focus on southern region in Australia with new senior hire
Apr 24
Hackers exploit Magento e-commerce vulnerability
Apr 24
EXCLUSIVE: Huawei and iCITA - a partnership cemented in the datacentre
More News
27 Apr
Disruptocon
27 Apr
Disruptocon
28 Apr
ESET Launch: Perth
28 Apr
Modern Customer Service Summit
View all events