A change in leadership and an alliance with iiNet has been attributed to PowerTel’s net profit of $0.6m, a first for the service provider.
The figure is up $10 million from a loss of $9.4 million in the first half of 2005. PowerTel also had a $19.4 million operating cash flow, a 331 percent increase from $4549 during the half-year ended June 2005.
PowerTel achieved an EBITDA of $18.3 million, a 52.5 percent increase from $12 million for the half-year ended 2005.
Chairman, John Conde, said the leadership of managing director, Paul Broad, who took over the reins of the organisation two years ago, had helped the ISP achieve “its best results ever”.
Conde said the strategic alliance with iiNet provides PowerTel with significant coverage in regional centres and all major metropolitan capital cities around the country, making us the second largest access network in Australia.
MD Paul Broad said “while we are pleased with today’s results, confirming the difficult decisions we made in 2005, we are mindful we are still operating in a tough regulatory environment and very competitive telecommunications market.”
However Broad said the ISP will be moving ahead with “cautious optimism”, as the ISP as it continues to grow its network of wholesale business partners and channel clients.
PowerTel expects to deliver revenue of between $196 and $200 million and EBITDA of between $37 and $39 million for the full year to December 2006, he said.
PowerTel reports first profit
By Staff Writers on Sep 1, 2006 10:08AM