iTnews

Vocus doubles Southern Cross Cables capacity

By Ry Crozier on Feb 22, 2011 11:37AM
Vocus doubles Southern Cross Cables capacity

Releases half-year results.

Vocus has doubled the capacity it uses on the Southern Cross subsea cable, extending an existing agreement until 2025.

The ASX-listed wholesale transit provider said today that the US$12.9 million capacity upgrade was agreed on January 1 and that a five-year extension to 2025 was agreed 10 days later.

The extended agreement provided Vocus a "secure entitlement to use and on-sell the acquired capacity for the period of the [agreement], ending November 2025, being the estimated useful life of the cable," the company said.

Chief executive James Spenceley told iTnews that data was "leading the way" for growth.

Vocus reported a $3.68 million after-tax profit for the first half of financial year 2011, built on revenues of $13.9 million.

Data sales for the half were approximately $9.54 million while voice sales were $4.2 million, both significantly up year-on-year.

The company had also pursued a de-risking strategy with respect to its major customers, with its top customer now contributing about 15 percent of external revenue (previously 24 percent and two customers).

"We've focused on broadening our customer base as we've [launched] new products," Spenceley said.

"Equally, we'd like to de-risk the business as much as possible".

Vocus now has 136 customers and Spenceley said that growth had continued in a "linear" fashion in the past half-year.

Vocus also reported that its recently-acquired E3 Networks' data centre business contributed revenues of $380,743 in the period 12 November to 31 December 2011.

"Had the business been held for the entire half-year, contributed revenues would have been in the region of $1,400,000," Vocus said in financial statements.

"[But] due to significant integration changes within [E3], it is not practical to provide a meaningful profit for entire financial half-year."

Spenceley told iTnews that the integration changes related to documenting policies and procedures and "having a reasonably large-[company] approach to running data centres".

He said that Vocus was also focused on cross-selling services between its customer bases.

Almost one in five data centre customers had taken transit services, pointing to the early success of Vocus' strategy, Spenceley said.

Got a news tip for our journalists? Share it with us anonymously here.
Copyright © iTnews.com.au . All rights reserved.
Tags:
cablescapacitycrossdoublessoutherntelco/ispvocus

Partner Content

Don't miss Australia’s premiere IoT Conference on 9th June
Promoted Content Don't miss Australia’s premiere IoT Conference on 9th June
5 essential digital transformation ideas
Promoted Content 5 essential digital transformation ideas
Security "mindset shift" needed to protect organisations
Promoted Content Security "mindset shift" needed to protect organisations
Top 5 Benefits of Managed IT Services
Promoted Content Top 5 Benefits of Managed IT Services

Sponsored Whitepapers

Planning before the breach: You can’t protect what you can’t see
Planning before the breach: You can’t protect what you can’t see
Beyond FTP: Securing and Managing File Transfers
Beyond FTP: Securing and Managing File Transfers
NextGen Security Operations: A Roadmap for the Future
NextGen Security Operations: A Roadmap for the Future
Video: Watch Juniper talk about its Aston Martin partnership
Video: Watch Juniper talk about its Aston Martin partnership
Don’t pay the ransom: A three-step guide to ransomware protection
Don’t pay the ransom: A three-step guide to ransomware protection

Events

  • iTnews Benchmark Awards 2022 - Finalist Showcase
  • 11th Annual Fraud Prevention Summit 2022
  • IoT Impact Conference
  • Cyber Security for Government Summit
By Ry Crozier
Feb 22 2011
11:37AM
0 Comments

Related Articles

  • NBN Co's 250Mbps and gigabit growth is finally clear
  • Northrop Grumman's ADF satellite tender consortium takes shape
  • Vocus urges incoming government to refocus NBN policy
  • NBN Co takes 5G leap with $750m fixed wireless network upgrade
Share on Twitter Share on Facebook Share on LinkedIn Share on Whatsapp Email A Friend

Most Read Articles

NSW digital driver's licences 'easily forgeable'

NSW digital driver's licences 'easily forgeable'

Kmart Australia re-platforms ecommerce site to AWS

Kmart Australia re-platforms ecommerce site to AWS

NBN Co's 250Mbps and gigabit growth is finally clear

NBN Co's 250Mbps and gigabit growth is finally clear

NBN Co sizes up six-figure customer exodus a year to fixed wireless

NBN Co sizes up six-figure customer exodus a year to fixed wireless

Digital Nation

Case Study: PlayHQ leverages graph technologies for sports administration
Case Study: PlayHQ leverages graph technologies for sports administration
Metaverse hype will transition into new business models by mid decade: Gartner
Metaverse hype will transition into new business models by mid decade: Gartner
As NFTs gain traction, businesses start taking early bets
As NFTs gain traction, businesses start taking early bets
COVER STORY: From cost control to customer fanatics, AI is transforming the contact centre
COVER STORY: From cost control to customer fanatics, AI is transforming the contact centre
The other ‘CTO’: The emerging role of the chief transformation officer
The other ‘CTO’: The emerging role of the chief transformation officer
All rights reserved. This material may not be published, broadcast, rewritten or redistributed in any form without prior authorisation.
Your use of this website constitutes acceptance of nextmedia's Privacy Policy and Terms & Conditions.