Top Scoops

Book Reviews | Gordon Campbell | Scoop News | Wellington Scoop | Community Scoop | Search

 

Kordia profit climbs post-Orcon

Kordia profit climbs post-Orcon

By Bill Bennett
August 30, 2013

http://www.digitl.co.nz/491/kordia-profit-2013/

State-owned network business telecommunications specialist Kordia posted a $10.7 million profit on revenues of $309 million for the year to June 2013. The result reflects the company’s ‘continuing operations’, that is, not taking the Orcon business unit, sold in March, into account.

The 2013 profit represents a rise of of 46 percent when compared to the year earlier. In 2012 Kordia’s profit was $7.3 million on revenues of $306.4 million.

Kordia grew out of the government owned operation originally set up to manage television transmission services. For most of its recent the history the company has been preparing for when the analogue TV network switches off – that is due to happen next year and will have a significant effect on the company.

Kordia ‘well-placed’
Group chairman David Clarke says the company is well placed to deal with the analogue TV network closure. “Over the last several years, Kordia Group has improved its core profitability, increased its dividend, reduced its gearing and is ready for the analogue switch off. Gearing reduced to 36 percent at 30 June 2013, from 46 percent at the half year,” he says.

“With net debt at its lowest level for eight years there continues to be plenty of headroom under our bank facilities and covenants to fund continued growth in the business. The performance of the on-going business in FY13 together with the divestment of Orcon has strengthened the balance sheet,” Clarke says.

New Zealand braces for earnings hit…
The analogue switch off will hit 2014 earnings, yet Clarke says Kordia saw solid revenue growth from its telecommunications products, including the core corporate offering, managed WAN product OnKor. He says the company will increase the range of its products and services.

Kordia also reports continued strong demand for digital television transmission services and good growth int telecommunications sector. Clarke says the Kordia Solutions New Zealand business made progress identifying new opportunities both nationally and in the Pacific region.

…while Australia surges
Kordia’s Australian business continues to perform well consolidating the 2012 growth with another year of record revenues. Clarke says the business has driven further into new market segments and expanded its service offering. Significantly 40 percent of the unit’s revenue in 2013 came from services that didn’t exist three years ago.

He says: “The transformation of the business has continued from providing specialist services to becoming a true end-to-end services provider across the entire network deployment value chain. This capability enables Kordia Solutions Australia to work with its customers seamlessly, enhancing value and reducing cost.”

“This growth was underpinned by the progress of work for APLNG in the energy and natural resources market, civil infrastructure design and construction works for mobile operators, and design work for the Australian National Broadband Network (NBN)”, he says.

Find me on Google+

Related posts:
1. Chorus posts profit, flags flat 2014
2. Fast growing Xero passes 200,000 milestone
3. Chorus to offer faster residential UFB within year
4. Simon Moutter interview part 4: Fast change delivers certainty

ENDS

© Scoop Media

 
 
 
Top Scoops Headlines

 

Binoy Kampmark: Biden’s Victory: A Eunuch Presidency Beckons

Whatever was set to happen on November 3, President Donald J. Trump would not lose. Falling in that establishment firebreak against democracy known as the Electoral College would not erase, let alone repudiate him. His now victorious opponent, far ... More>>

Reese Ehrlich: Foreign Correspondent: The Challenge For Joe Biden

If he’s smart, the likely President-elect will stop the unpopular endless wars and use the money to help our domestic economy. By Reese Erlich I’m pissed. I’m pissed at Donald Trump for trying to shut down the vote count early and at Republicans More>>

Boris Johnson At Sea: Coronavirus Confusion In The UK

The tide has been turning against UK Prime Minister Boris Johnson. Oafishly, he has managed to convert that tide into a deluge of dissatisfaction assisted by the gravitational pull of singular incompetence. Much of this is due to such errors of ... More>>

The Conversation: Biodiversity: Where The World Is Making Progress – And Where It’s Not

The future of biodiversity hangs in the balance. World leaders are gathering to review international targets and make new pledges for action to stem wildlife declines. Depending on whether you are a glass half-full or half-empty person, you’re likely ... More>>

The Conversation: The Numbers Suggest The Campaign For Cannabis Reform In NZ Will Outlive The Generations That Voted Against It

Like Brexit in the UK, cannabis reform in New Zealand fell into an age gap — given time, a second referendum would probably succeed. More>>

Gordon Campbell: 22 Short Takes On The US Election

Finally, the long night of Donald Trump’s presidency is over. To date, the courts have been given no cause to conclude that the exhaustively lengthy counts of those mountains of mail ballots was anything other than legal. Stacking the US Supreme ... More>>

Gordon Campbell: On How The US Supreme Court Is Undermining American Democracy

If Joe Biden is elected President next week, here comes the bad news. If Biden tries to defend Obamacare, combat climate change (via say, a variant of the Green New Deal) or tries to improve the access of US women to abortion services , he will run afoul ... More>>

The Coronavirus Republic: Three Million Infections And Rising

The United States is famed for doing things, not to scale, but off it. Size is the be-all and end-all, and the coronavirus is now doing its bit to assure that the country remains unrivalled in the charts of infection . In time, other unfortunates may well ... More>>

 
 
 
 
 
 
 
 
 
  • PublicAddress
  • Pundit
  • Kiwiblog