Management Review
The result for the first half of 2016 is at a satisfactory level with a net revenue of DKK 276.3 million (DKK 249.5 million in 1H 2015) and an EBITDA of DKK 99.8 million (DKK 87.8 million in 1H 2015). As depreciations in 1H 2016 were higher than in the same period last year, EBT for 1H 2016 was DKK 12.6 million (DKK 11.8 million in 1H 2015). Cash flow from operating activities in 1H 2016 was DKK 63.8 million (DKK 4.7 million in 1H 2015). For the full year of 2016, GlobalConnect expects to see a rise in Net Revenue, EBITDA and EBT compared to last year.
GlobalConnect experiences an increasing demand for cloud and IT-outsourcing services, and is securing and developing the current market position by addressing these demands. The initiatives contributed positively to the revenue increase in 1H 2016. In addition to the increased revenue, improved processes have contributed to the EBITDA increase and to a better net working capital position, which have improved cash flow from operating activities.
In June 2016, the GlobalConnect subsidiary T26 Technology changed name to GlobalConnect Outsourcing Services. The subsidiary provides cloud and IT-outsourcing services, and the change of name underlines the ability of the GlobalConnect Group to provide a unique offering, as GlobalConnect owns and operates all infrastructure layers from fibre optic network, datacentre facilities to server farms and cloud offerings.
GlobalConnect considers Germany as a market with attractive growth potential. Plans to expand and further improve the footprint of the GlobalConnect Netz fiber optic network are being prepared along with activities to add new customers to the network.
Results for 3Q 2016 will be published on November 15th 2016.
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