amaysim achieves profit growth
Australian telecommunications company, amaysim (ASX:AYS), has announced its results for the half year to December 31, 2015. Its net profit after tax and amortisation (NPATA) for the first half of 2016 was $8 million, an increase of 247.8 per cent from $2.3 million the same time last year.
Its net revenue increased 17.9 per cent to $117.3 million from $99.5 million last year, while its underlying EBITDA of $12.6 million grew 173.9 per cent from the previous corresponding period.
The company said its statutory EBITDA of $2.6 million for the period and statutory NPATA of $1.1 million reflects accounting for costs related to IPO and the acquisition of telecommunications group, Vaya.
amaysim CEO and managing director, Julian Ogrin, said the company’s earnings-accretive acquisition of the Vaya business is performing in-line with expectations, with early synergies delivered and integration on track.
“Vaya is a complementary brand that provides scale and support to the amaysim group through expanded customer service and Web development resources at its Philippines based operations,” he said.
Ogrin added that the company’s results were underpinned by gross margin performance in the period, positively impacted by the Network Services Agreement (NSA) with Optus, online engagement and the company’s capital light business model.
“It reflects our ongoing approach to driving sustainable, profitable growth in a dynamic and competitive market. We are leveraging amaysim’s core competencies of technology disruption, online engagement and scalable operating structures to drive returns for shareholders while maintaining our customer-centric approach to mobile services.”
amaysim's subscriber base increased 12.5 per cent to 764,000 from 679,000 at the end of the first half of 2015. The company also announced a maiden dividend of $0.03 per share (unfranked), in line with prospectus guidance.
“We are reaffirming our FY16 pro forma forecast of underlying EBITDA to meet $31.7 million across the amaysim group (including Vaya contribution net of integration and transaction costs) with subscriber numbers for the group expected to be 960,000 to 980,000 for the financial year ending June 30, 2016,” Ogrin said.
“In the remainder of FY16, our intention is to reinforce our position as an independent mobile services provider and as an online-based technology disruptor in the mobile services space. We will achieve this by optimising our dual-brand strategy, leveraging investments and accelerating online customer acquisition and engagement.”
