Interim Management Statement
Telecity Group plc, Europe’s industry-leading provider of premium carrier-neutral data centres, today issues the following Interim Management Statement.
- TelecityGroup has had a positive start to 2012 with good first quarter growth in revenue and profitability
- New capacity has been brought on-line across the Group, adding 7MW of customer power and taking total available customer power up by over 10% since the year end to 75MW
- Management confirm their positive outlook for the full year
Current trading and outlook
TelecityGroup has had a positive start to 2012. The Group delivered a good performance in the first quarter in terms of growth in revenue, EBITDA and EPS. This is despite the relative weakness of the euro and Swedish Krona, which together account for over half of the Group’s revenues.
TelecityGroup’s financial position is very robust as its operations are highly cash generative. At the end of the first quarter net debt remained at less than 1.5x expected full year EBITDA.
The on-going growth of the digital economy continues to drive strong demand for premium highly-connected data centre capacity in Europe. TelecityGroup’s trading remains strong and the Group continues to expect its trading performance to be in-line with market expectations for the full year.
As previously announced, the Group’s excellent cash generation and financial position allow for the introduction of a progressive dividend policy in 2012, with an inaugural payment to be made following the first half results.
Secured capacity expansion programme
TelecityGroup continues to achieve controlled, sustainable and profitable growth by increasing its capacity across Europe, in response to customer demand.
The Group opened the first phase of its Amsterdam 5 data centre in March and has recently opened the first phases of its site expansions at London Powergate and Gutleutstrasse in Frankfurt.
Amsterdam 5, directly connected to Amsterdam 2, one of Europe’s key internet hubs and the largest point of presence for the Amsterdam Internet Exchange (AMS-IX), offers unrivalled levels of connectivity. Gutleutstrasse is likewise one of the leading internet hubs in Europe and hosts the German Internet Exchange (DE-CIX).
Powergate is the largest premium, highly connected carrier-neutral data centre in London and hosts a point of presence of the London Internet Exchange (LINX). It is being expanded in phases to ultimately deliver a total customer power capacity of 29MW.
TelecityGroup’s total secured growth capacity across Europe is 124MW, up from the current 75MW of customer power available today. The majority of this expansion will be delivered over the next three years, giving the Group very significant medium-term revenue growth potential. In addition to this, the Group expects to announce further growth capacity over the course of this year.
Michael Tobin, CEO of TelecityGroup, commented:
“I am delighted with TelecityGroup’s performance to date in 2012. In particular, it is exciting to see new capacity coming on-line in prime locations which will enrich the Group’s position at the heart of the European digital economy and greatly enhance the Group in terms of scale and profitability.”
For further information please contact:
Matthew Springett +44 (0)20 7005 6337
James Tyler +44 (0)20 7001 0076
Brunswick: Sarah West / James Olley +44 (0)20 7404 5959
Notes to Editors
TelecityGroup is the leading provider of carrier-neutral data centres in Europe, operating highly connected facilities in key cities.
These data centres are the places in which separate networks that make up the internet meet and where bandwidth-intensive applications, content and information are hosted. As such, they are the key network hubs, or enabling environments, of the European digital economy. TelecityGroup’s customers take advantage of the highly connected facilities to operate, store, share, distribute and access digital media, IT applications and information effectively and efficiently.
Telecity Group plc is listed on the London Stock Exchange (LSE: TCY).
The content of the Telecity Group plc web site should not be considered to form a part of or be incorporated into this announcement.
Cautionary note regarding forward-looking statements
This announcement includes statements that are forward-looking in nature. The actual results, performance or achievements of the Group may be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements due to known and unknown risks, uncertainties and other factors. Except as required by the Listing Rules and applicable law, Telecity Group plc undertakes no obligation to update or change any forward-looking statements to reflect events occurring after the date such statements are published.