Spirit Telecom acquisitions drive growth
- 21 February, 2018 13:01
Telecommunications provider, Spirit Telecom (ASX:ST1), posted $8.1 million in revenue for the first half of the 2018 financial year, a 54 per cent increase from the previous corresponding period.
Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) grew by 117 per cent to $1.5 million.
Underlying net profit after tax (NPAT) – excluding items associated with acquisition activity – was up 160 per cent to $457,282 and statutory NPAT $238,077, up by 304 per cent.
Spirit told shareholders on 21 February that the growth was driven by continued strong organic growth in high margin, On-Net Building revenues, as well as contributions from acquisitions made during the period.
“The first half has seen the development of the executive team, as well as a growth in sales and marketing personnel,” Spirit managing director, Geoff Neate, said. “This, coupled with a strengthened board and the excitement of the World Without Wires acquisition has provided Spirit with a strong foothold on future development and growth.
“In addition, the Wires acquisition has delivered a skill set that complements and enhances Spirit’s technical capabilities, the result of which should see more product development and channels to market being exploited in the coming months, and we look forward to updating the market with new developments as they come to hand,” he said
Spirit listed with the ASX in June 2016 following a successful capital raise.
The company has previously acquired business telecommunications and phone systems provider Voxcom in 2012, My Telecom in 2015 and Phone Name Marketing in 2016.
The telco closed the 2017 financial year with a 30 per cent year-on-year rise in revenue, to $11.5 million and statutory net profit after tax (NPAT) came in at $468,392.