ecotel communication ag / Key word(s): Final Results
27.03.2013 / 08:09

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* Sales trend exceeds forecast
Revenue in 2012: EUR 94.3 million (previous year: EUR 84.5 million) * EBITDA development at the upper end of the forecast corridor EBITDA 2012: EUR 6.8 million (previous year: EUR 7.1 million) * Net debt completely eliminated to EUR -0.3 million (previous year: EUR 3.0 million)
* One-time extraordinary depreciations of EUR 4.0 million burden earnings * Buy-back of shares totalling EUR 1.0 million resolved
Düsseldorf, 27 March 2013

In 2012 ecotel was again able to continue the positive business development of the previous years. The operational target figures were either exceeded or at least reached at the upper end. Consolidated turnover was increased from EUR 84.5 million to EUR 94.3 million, gross profit improved from EUR 24.6 million to EUR 25.1 million and EBITDA totalled EUR 6.8 million following EUR 7.1 million last year.

The company's most important goal of completely eliminating the net debt was also successfully implemented. As of 31 December 2012 the company had net assets of EUR 0.3 million (previous year: EUR -3.0 million).
Unfortunately, one-time special effects from depreciations burdened the earnings. During the review of the pecuniary assets in the balance sheet, extraordinary depreciations had to be implemented. For one thing, the goodwill of the subsidiary nacamar, which originated in connection with the acquisition of the company in 2007, was completely written off (EUR 2.9 million). For another, in the financial results, the shareholders' loans of EUR 0.9 million to the 49% holdings mvneco GmbH and synergyPLUS GmbH had to be partially adjusted. It must be mentioned in this connection, however, that the extraordinary special depreciations have no cash relevance and are for accounting purposes only. As a result of the extraordinary depreciations the company's risk report was shortened considerably.
Without the above-mentioned special effects, adjusted EBIT would have totalled EUR 3.5 million, after EUR 3.2 million last year. Adjusted consolidated profit would have been EUR 1.4 million (previous year: EUR 1.2 million) with adjusted earnings per share of EUR 0.38.
Due to the depreciations on the loans, accounting law prevents ecotel from undertaking a payment of dividends. Therefore, the Management Board and Supervisory Board have decided to continue the share buy-back program that was already initiated last year. The share buy-back program provides for the repurchase of up to 175,096 treasury shares (corresponding to 4.5 percent of the share capital) between 28 February 2013 and 31 July 2013.
From the point of view of marketing, 2012 was the most successful year in ecotel's history. Supplementing an excellent incoming order volume in the classic B2B segment, ecotel was able to land a major contract in November 2012 with Allianz Deutschland AG for the integration of its agencies.
Management is also optimistic with respect to the company's further development and plans a significant increase in B2B revenue from EUR 40 million in 2012 to EUR 50 million by 2015. For 2013 the company expects - with B2B revenue already increasing - consolidated turnover of EUR 80-90 million with EBITDA of EUR 6-7 million. The planned decrease in revenue compared with 2012 is a result of the lowering of the mobile communication scheduling fees, which were passed on 1:1 to other carriers, resulting in a corresponding reduction of revenue by more than EUR 10 million in the wholesale segment. In the medium term the company consistently pursues the goal of increasing revenue to EUR 100 million and EBITDA to EUR 10 million by 2015.

About ecotel communication ag:

Listed in the Prime Standard segment of the Frankfurt Stock Exchange, ecotel communication ag is a telecommunications company with activities in three business sectors throughout Germany.

In the core segment of 'Business Solutions' ecotel provides about 19,000 business customers with an integrated product portfolio consisting of voice, data and mobile communications solutions. This includes nationwide available and convergent bundled products, broadband data access on the basis of DSL and Ethernet technologies, scalable networking of corporate locations (VPNs) as well as housing and hosting services.
In the second segment, 'Wholesale Solutions', the ecotel group markets preliminary service products to other telecommunications companies. At the same time, the company achieves high traffic volumes in this segment, enhancing added value for the core segment of Business Solutions. In addition to the international wholesale voice activities of ecotel, mvneco GmbH is also included in this segment.

The 'New Business' segment covers new, fast-growing business segments and niches of independently operating subsidiaries. In addition to easybell GmbH, which is aligned to private customer business, nacamar GmbH, which now focuses exclusively on new media activities, is part of this independent business unit.

The corporate group, with its main office in Düsseldorf, currently has about 210 employees, including subsidiaries and holdings.
Note:
This publication is not an offer for the sale nor an invitation for the purchase or subscription of securities. This publication is not a securities brochure. This publication and the information contained therein are not intended for direct or indirect dissemination to or within the United States of America, Canada, Australia or Japan.

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Language: English Company: ecotel communication ag Prinzenallee 11 40549 Düsseldorf Germany Phone: +49 (0)211 55 00 70 Fax: +49 (0)211 55 00 7 222 E-mail: info@ecotel.de Internet: http://www.ecotel.de ISIN: DE0005854343 WKN: 585434 Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, München, Stuttgart  
 
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