Gamma Communications plc (“Gamma” or “the Group”), a leading, technology based provider of communications services to the UK business market, is pleased to announce its audited results for the year ended 31 December 2017.
|Years ended 31 December|
|EPS (Fully Diluted, “FD”)||23.9p||18.8p||+27%|
|Adjusted EPS (FD)||24.6p||21.1p||+17%|
|Total dividend per share||8.4p||7.5p||+12%|
|Cash generated by operations||£38.8m||£31.3m||+24%|
|Cash generated by operations / Adj EBITDA||93.3%||91.5%|
All adjusted measures set out above and throughout this document which are described as “adjusted” and represent Alternative Performance Measures (“APMs”) are separately presented within the statement of comprehensive income or reconciled in the Financial Review section or segment note and are applied consistently. Where reference is made to adjusted EPS this is stated on a fully diluted basis. Definitions of APMs are included in Note 1.
Bob Falconer, Chief Executive Officer, commented
“The business performed well throughout 2017, with solid growth across the product range and in both indirect and direct routes to market. Our Cloud PBX product – Horizon – now has an excellent position and reputation in the market and continues to displace traditional on-premises equipment, whilst Gamma remains synonymous with SIP Trunking, where we have continued to outpace the market growth. Data volumes have accelerated both in our fixed and mobile capabilities and this will continue to be fuelled by the general shift to Cloud based services, the expansion of fibre reach in the UK and the necessity to work from anywhere. We are seeing good returns on our selective investments in this area. Direct wins in enterprise and public sector include Leicester City Council, itsu, The Financial Ombudsman, and MacMillan Cancer Support. Our investments in development have brought many useful product enhancements and I was particularly pleased to be able to launch our initial converged fixed/mobile voice service which brings real and novel benefits to a business user.
“Having recently announced my planned retirement at the AGM on the 23rd May, these are my last set of results as Chief Executive of Gamma. The business is in excellent shape, has a clear differentiated strategy, with many exciting opportunities ahead of it; a momentum my successor Andrew Taylor and the board are keen to maintain. I would like
to thank everyone at Gamma, our many partners, customers, shareholders and Board, I have enjoyed working with you all. I look forward to welcoming Andrew Taylor to Gamma as CEO Designate in April and wish him all the best for the future.”
Gamma is a rapidly growing, technology based, provider of communications services to the business market (sales are in GBP to UK based businesses). Gamma’s services, such as Cloud PBX, Inbound Call Control Services and SIP Trunking, are designed to meet the increasingly complex voice, data and mobility requirements of businesses, through the exploitation of its own intellectual property.
Gamma also provides business-grade mobile and data services and, as a consequence of its history, has a substantial voice service capability. These services enable Gamma to provide a comprehensive range of communications services.
Gamma has enjoyed strong organic revenue and EBITDA growth driven by a high percentage of revenues which repeat monthly. The business had 901 employees at 31 December 2017. It operates across six main locations – headquartered in Newbury – with offices in London, Manchester, Glasgow, Portsmouth and Budapest.
A full set of the audited statutory accounts are available at