Milan, 1 March 2013
THE RETELIT SPA BOARD OF DIRECTORS HAS APPROVED THE NEW 2013-2017 INDUSTRIAL PLAN AND THE 2012 PROVISIONAL RESULTS.
1. The objectives in the new 2013-2017 Industrial Plan forecast a compound annual growth rate (CAGR) over the five-year period of 17.7% in terms of turnover and a gross operating margin (EBITDA) of 24.9%. In 2017, the value of production will be 73.9 million euro and EBITDA 26.0 million euro. The plan sees investments totalling 75 million euro over the five years, total cash generation of 42 million euro and net profits starting from 2014.
2013 budget approved.
2. The provisional data for 2012 show turnover of 37.0 million euro (+5% on 2011); EBITDA of 9.7 million euro (-9.3% on 2011). The net financial position as at 31 December 2012 is a positive 8.3 million euro.
3. The coming 31/03/2013 is the final deadline for exercising the "Retelit 2008-2013"
ordinary share Warrants
1. The Retelit S.p.A. Board of Directors, which met today, has approved the 2013 budget and the
2013-2017 Industrial Plan. This plan optimises the specific strategic nature of the Group, focusing on four main areas:
a) growth in wholesale telecommunication services market
b) offer connectivity services to medium-sized private companies
c) offer connectivity services to public administrations, including schools and health structures
d) develop international projects, also in partnership with the Libyan Post
Telecommunication and IT Company (LPTIC), the group's shareholder.
The commercial business will be supported by offering ultrabroadband and IP telecommunications services with high added value, virtual private network (VPN) services and data center services.
The optical fiber network will be extended with backhauling connection projects developed for mobile telecommunications operators; expansion internationally will be assured through the creation of a European backbone network and the opening of representation points at the main interconnection hubs, starting with Frankfurt.
The 2013-2017 Industrial Plan envisages that, in 2017, turnover will reach 73.9 million euro (in
2013, the forecast is 38.5 million), with average annual growth of 17.7%; EBITDA will stand at
26.0 million euro (in 2013 the forecast is 10.7 million), with average annual growth of 24.9%
and net profits starting from 2014.
Total investments envisaged in the plan amount to 75 million euro. Cash generation over the five years is estimated at 42 million euro.
The economic and financial data given in the business plan do not include certain strategic opportunities and other projects of potentially significant impact, which are as yet still at the preliminary analysis stage.
The 2013-2017 Industrial Plan will be presented to the company's top management on 4
March, on the 2nd Family Office Investor Day, an event organised by IR Top to be held from
9.30 am in Milan, at the Intesa Sanpaolo Congress Hall in Piazza Belgioioso.
2. The Board of Directors has approved the provisional 2012 results.
The data show turnover of 37.0 million euro as compared with 35.2 million euro for the previous period (+5% on 2011). EBITDA is 9.7 million euro as compared with 10.7 million euro for the previous period (-9.3% on 2011), mainly due to the increased cost of product sold.
The net financial position at 31 December 2012 is 8.3 million euro, a significant improvement on the 2011 year end figure of 4.7 million euro.
In 2012, investments came to 6.8 million euro and were relative to the development of
connections for customers, adapting the Data Centers and in strengthening the optical fiber network.
3. Bearers of warrants are reminded that the final deadline for exercising them, under the terms of Article 2, paragraph I, of the "Retelit 2008 -2013" ordinary share Warrants Regulations (the "Regulations") is set at 31 March 2013.
Any warrants not presented to be exercised by this deadline will forfeit all rights, becoming invalid for all effects and purposes.
As of today's date, there are 37,101,871 warrants in issue valid for the subscription of an equal number of newly-issued shares, with regular dividends, at the exercise price of 0.50 euro, according to the methods indicated in the Regulations.
For further information on the conditions and methods of exercising the Warrants see the Regulations available at the company's headquarters, on the Borsa Italiana website and on the Issuer's website at the address: www.retelit.it.
Finally, the Board of Directors has planned the meeting to convene the shareholders' meeting for this coming 22 March. If the date should be confirmed, in accordance with Art. 2 of the Regulations, the exercise of warrants will be suspended from the day after the date of the resolution, namely 23 March, until the meeting date (30 April if held at first calling or 6 May at
second). Please therefore note that the last date to exercise warrants will probably be this coming 22 March.
The Manager in Charge of the Company's Financial Reports, Ivano Barzago, declares, in compliance with the second paragraph of article 154-bis of the Consolidated Law on Finance, that the accounting information contained in this press release corresponds to the books.
It should be noted that this press release contains forward-looking statements regarding intentions, beliefs or current expectations of the Group in relation to the financial results and other aspects of the Group's activities and strategies. Readers of this press release must use due prudence with these forecasts, as the final results could differ significantly from those contained in the said forecasts as a consequence of many factors, most of which are beyond the Group's control.
With over 7,500 kilometres of optical fiber, 8 metropolitan networks and 18 Data Centers, Retelit is one of Italy's leading providers of data services and infrastructures on the telecommunications market. In 2011, Retelit expanded into complementary markets, such as the ICT market, thanks to the availability of over 16,000 sq. m. of space equipped to house cloud computing solutions. The group holds the 3.5 GHz frequency usage rights for the centre and north of Italy, used in the sector of the WiMAX services. Since 2000 Retelit has been listed on the MTA market of the Milan stock exchange.