News - GTS news

GTS Central Europe Announces 2008 Financial Results, and stable year-by-year revenue growth

• 2008 revenue grew by 10.1% to Euro436 mil (2007: Euro 396 mil)
• EBITDA grew by 8.5% to Euro 77 mil (2007: Euro 71 mil)
• Total 2008 CAPEX investments were Euro 49 mil

February 27, 2008 – GTS Central Europe the leading regional alternative telecom operator (GTSCE), today reported sustained revenue and EBITDA growth in 2008. Achieving a solid underlying performance, the company’s revenues reached Euro 436 mil, a 10.1% increase over the 2007 revenues, with the EBITDA growth of 8.5%, up to Euro 77 mil.

The 2008 financial performance represents the best results of the company in the 15 year history of the Group, strengthening its position as the leading alternative telecommunication operator in Central & Eastern Europe. The solid Revenue and EBITDA performance was driven by the 19% increase of the data communications services, boosted primarily by the international telecom services and infrastructure investments with a total of Euro 49 mil in CAPEX.

Commenting on the results Adam Sawicki, CEO of GTS Central Europe, noted ‘that despite the deteriorating macro economic environment, 2008 was an exceptional year and establishes a solid platform for the further development on the Group. Recent strengthening of our management team coupled with various efficiency programs will allow us to better focus and execute on our core competency which is being the preferred provider of data and voice solutions to corporate and carrier customers in Central Europe’.

Gerald Grace (Group CFO) noted that "the Group continues to be focused on cash flow performance with operating cash flow o f Euro 28 mil in 2008 representing 45% growth on the prior year".

In Romania GTS Telecom maintained its quality leading market positioning and reported Euro 19.07 mil revenue, up by 18.2% over the 2007 revenue of 16.17 mil. EBITDA reached Euro 4.8 mil. in the same interval, a 23.1% growth over 2007, when the same indicator was Euro 3.9 mil.

"Our strategy is to continue developing GTS Telecom, in an intensive manner, by first, leveraging our regional group synergies." said Dan Mihăescu, Country Manager GTS Telecom. "We aim to continue on delivering services based primarily on satisfying the market needs." added Dan Mihăescu.

About GTS Central Europe
GTS Central Europe (GTS CE) is a multi-layered infrastructure based provider of integrated telecommunications solutions for those countries of Central and Eastern Europe lying between Frankfurt and Istanbul. Using its own regional fibre network GTS CE provides fixed voice, data, IP (Internet Protocol), MPLS and broadband services primarily to business customers as well as services to other telecoms carriers, mobile operators and providers of content. GTS CE’s primary countries of operation are Czech, Hungary, Poland, Romania and Slovakia and with network extensions and local partnerships into the neighbouring countries of the Ukraine, Baltic States, Bulgaria, Russia, Croatia, Slovenia, Serbia, Moldova and Turkey. GTS CE reached Euro 436 mil revenue and Euro 77 mil EBITDA in 2008.
For further information, please visit www.gtsce.com.

About GTS Telecom
ISO 9001 certified, GTS Telecom delivers to the business market the most reliable and stable telecommunications solutions in Romania, managed up to the connection interface of the client (end-to-end). The average SLA level of the communications solutions delivered to clients in 2008 was 99.83%. Positioned as Business AcceleratorTM, GTS Telecom delivers a full range of carrier services, corporate networking solutions based on TCP/IP, MPLS, SDH, DWDM, Internet services, telephony and hosting.
The company owns and operates the fibre-optic metropolitan network in Bucharest with a carrier capacity of 70Gbit/sec, connecting PoPs and the DataCenter. On the national scale, the company operates the 72.5 Gbit-sec MPLS backbone with ring topology connecting PoPs in 21 cities, and directly interconnected with GTS Central Europe infrastructure through own fiber-optic cross-border network of 100Gbit/sec in Arad, Oradea, Timisoara, Giurgiu and Ungheni.

For further details please contact

Cristian Copilău
GTS Telecom
Marcom Manager
[t] 031-2.200.200; 021-4.100.100
[f] 031-2.200.222; 021-410.3883
[m] 0740-55.44.04
[e] cristian.copilau@gtstelecom.ro
[i] www.gtstelecom.ro

Other news