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AdEPT Telecom plc (ADT)

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Tuesday 04 April, 2017

AdEPT Telecom plc

Trading Update

RNS Number : 4346B
AdEPT Telecom plc
04 April 2017

AdEPT Telecom PLC

("AdEPT" or the "Company")


Trading Update

AdEPT Telecom plc, one of the UK's leading independent providers of unified telecommunications and IT solutions, today announces a trading update for the year ended 31 March 2017 (ahead of its final results which are expected to be announced in early July 2017).

·      Net borrowings of £15.8m were £1.3m lower than consensus market expectations

·      Underlying EBITDA increase of around 26% will be ahead of market expectation of a 18% rise year-on-year

·      Board recommendation of an increased final dividend of 4.00p (2016: final 3.50p)

·      Total dividends proposed for the year of 7.75p represents an increase of 19% over the prior period

Trading performance

The Company is pleased to announce that it anticipates that underlying EBITDA will be around 26% ahead of the previous year (ahead of the market consensus expectation of an 18% rise year-on-year). Turnover is expected to be approximately 16% ahead of the previous year and above market consensus expectation.

Cash flow and net debt

Net borrowings of £15.8m as at 31 March 2017 were £1.3m lower than market expectations.  AdEPT continues to generate consistently strong free cash flow.  This improved performance in debt reduction is after payment of (i) £9.7m aggregate initial consideration for the acquisitions of Comms Group UK Limited, CAT Communications Limited and OurIT Department Limited, (ii) £3.0m deferred consideration for the acquisition of Centrix Limited and (iii) a £0.4m increase in dividends paid in the year.


AdEPT announced an interim dividend of 3.75p per share in its September 2016 interim statement, which will be paid to shareholders on 7 April 2017.  The Board today announces that as a result of strong free cash flow and trading results it recommends an increased final dividend of 4.00p (2016: 3.50p) per Ordinary Share which, subject to Shareholder approval at the Annual General Meeting later in the year, will be paid in October 2017. Total dividends proposed for the year ended 31 March 2017 of 7.75p per Ordinary Share represent a 19% increase year-on-year (2016: 6.50p).

This announcement contains inside information.


For more information please contact:


AdEPT Telecom Plc

Roger Wilson, Chairman

Ian Fishwick, Chief Executive

John Swaite, Finance Director




07786 111 535

01892 550 225

01892 550 243


Northland Capital Partners Limited

Nominated Adviser

Edward Hutton/Gerry Beaney



John Howes


020 3861 6625


About AdEPT Telecom plc:

AdEPT Telecom plc is one of the UK's leading independent providers of unified communications solutions.  The Company provides a complete communications portfolio of fixed line calls, line rental, mobile, IP telephony, equipment installation, managed services, IT services, Wi-Fi, IT and communications hardware and data connectivity products.  AdEPT's tailored services are used by thousands of customers across the UK and are brought together through the strategic relationships with tier-1 suppliers such as BT Openreach, Vodafone, Virgin Media, Avaya, Microsoft, Dell and Apple.


AdEPT is listed on the London Stock Exchange (Ticker: ADT). For further information please visit:

This information is provided by RNS
The company news service from the London Stock Exchange

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