TeamTalk result up 25% on prospectus

26 August 2005

TeamTalk result up 25% on prospectus

Listed mobile radio firm TeamTalk Ltd announced a $3.02 million net full-year profit today, up 25% on prospectus projections.

TeamTalk will pay a final dividend of 9c per share, taking the total fully-imputed dividend to a healthy 18c per share for the year.

The Wellington-based telco listed in May last year at $1.75 and shares are currently trading at around $2.40.

Managing Director David Ware said TeamTalk continued to generate strong cashflows, and it would continue to seek suitable acquisition targets.

This strong cash flow enabled the company to reduce net debt from $10.3 million to $6.6 million during the year, while paying dividends totalling $3.6 million.

Due largely to decreasing contributions from its expired lease book, the company is forecasting a slightly smaller profit next year of $2.6 million, however the dividend will be at least the 18c per share paid to June 2005.

ENDS

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