AVENIR TELECOM (EPA:AVT) First half 2013-2014 revenues

Transparency directive : regulatory news

14/11/2013 17:43

Press release

First half 2013-2014 revenues

* Decline in volumes of low-margin mobile handsets

* Double-digit growth in volumes of accessories and connected devices

Marseilles, 14 November 2013. The Avenir Telecom Group, a key distributor of
telecommunication products and services, recorded revenues of EUR144.6 million
in the first half of its 2013-2014 financial year (from 1 April 2013 to
30 September 2013).

The trend seen in the first quarter of the year continued in the second quarter.
The consolidated revenues of the Avenir Telecom Group was impacted by the
decrease of sales of mobile handsets and by the sale of the Ensitel store
network in Portugal, which was sold in the third quarter of the previous year.

Mobile and multimedia accessories, particularly products sold under licence
from Energizer, the global leader in batteries and bulbs present in 160
countries, and under the OXO and BeeWi brands, which have a strong presence in
the in-home connected devices segment, maintained their growth in terms of
volume and revenues in the first half of 20 13-2014. They are enabling the
Group to move upmarket into distinctive added-value products with high
technological content.

Drawing on its acknowledged expertise in accessories and connected devices,
Avenir Telecom now provides outsourced management of accessory shelf space at
1,500 sales outlets, mainly in the networks of telecom operators across
Europe.

The Group's products are distributed in over 40 countries around the world. The
Avenir Telecom Group generated 56% of its revenues outside France in the first
half of 2013-2014.

(EUR millions)       First half  First half  Change %   Change %
                     2013-2014    2012-2013           excl. mobile
                                                        handset
                                                       sales and
                                                        Ensitel

Direct distribution    (83.0)      (95.4)    -13.1%      -6.7%
Indirect distribution  (61.7)     (115.7)    -46.7%     -20.7%
Total revenues        (144.6)     (211.2)    -31.5%     -12.9%

Direct distribution: revenues holding up well particularly in Spain

Excluding the negative structure effect associated with the sale of Ensitel in
Portugal, revenues from direct distribution declined by 6.7% as a result of the
active policy, pursued for over a year, of refocusing the Internity store
base.

In terms of country performances, while revenues remain under pressure in
France, the situation in the other European countries in which the Group is
present improved, particularly in Spain, as in the first quarter.

Indirect distribution: continued decrease in revenues due to decline in volumes
of lowmargin mobile handsets

The Group continued to reduce its sale volumes of low-margin mobile handsets in
the first half of 2013-2014 to concentrate on products making a bigger
contribution to its gross margin. Excluding sales of mobile handsets, revenues
fell by 20.7% in the first half of 2013- 2014. The gross margin of indirect
distribution, expressed as a percentage of revenues, increased by around five
points in the first half of 2013-2014.

As in the first quarter, sales of licensed and own-brand mobile and multimedia
accessories made up almost 70% of the total volumes in indirect distribution in
the first half of 2013-2014.

Avenir Telecom - well positioned to take advantage of digital convergence
around mobile telephony and evolving distribution concepts

In a connected devices market that is expected to total 500 billion devices on
a global level in 2020 compared to five billion today, Avenir Telecom will
pursue the development of its ranges of accessories and connected devices by
relying on its strong capacity for innovation and its global distribution
network. The Group should benefit in particular from the potential offered by
the Energizer brand, for which the licence contract covers the whole world
except North America for five years, and from the upmarket shift of the BeeWi
brand into innovative products with high technological content in the world of
connected  devices.

Avenir Telecom will announce its half year results on 28 November 2013 after
market close.

About Avenir Telecom
With revenues of EUR412 million and a gross margin of EUR109 million as at
31 March 2013, the Avenir Telecom Group (ISIN: FR0000066052 / Reuters:
AVOM.LN / Bloomberg: AVT:FP) is one of the leading European distributors of
mobile telephony products and services. The Group partners with the leading
handset manufacturers and telecom operators in Europe, distributing their
mobile phones and subscription plans across all distribution channels
(multi-brand and multi-operator stores, websites, food superstores, specialist
superstores, independent resellers and affiliated stores). The Avenir Telecom
Group also designs and distributes a comprehensive range of accessories and
multimedia products under licensed and owned brands. As at 31 March 2013,
Avenir Telecom employed almost 2,000 people, mainly in France, the UK, Spain,
Romania, Portugal and Bulgaria.
Avenir Telecom is listed on NYSE EURONEXT - compartment C (Euronext Paris). The
Avenir Telecom share is included in the CAC All Shares, CAC Mid & Small, CAC
Small, CAC All-Tradable, CAC T.Hard & Eq. and CAC Technology indices.

Second quarter revenues (from 1 July to 30 September 2013)

EUR millions)        Second half  Second half  Change %   Change %
                      2013-2014    2012-2013            excl. mobile
                                                          handset
                                                         sales and
                                                          Ensitel

Direct distribution    (41.9)        (49.0)    -14.5%      -8.1%
Indirect distribution  (30.4)        (57.6)    -47.3%     -24.2%
Total revenues         (72.3)       (106.6)    -32.2%     -15.3%

Forthcoming publications(1)

Event Date
First half 2013-2014 results            28 November 2013
Third quarter 2013-2014 revenues        06 February 2014
Full-year 2013-2014 revenues            14 May 2014
Full-year 2013-2014 results             19 June 2014

Press and investor contacts

Agnès Tixier             Tel.: +33 4 88 00 63 21
Financial Director       Fax: +33 4 88 00 60 30
                         E-mail: atixier@avenir-telecom.fr

Vincent Gouley           Tel.: +33 1 47 64 78 20
                         Mob.: +33 6 74 79 61 87
                         E-mail: vincent.gouley@watchowah.com

      All our financial information is available at www.avenir-telecom.com

(1) These dates are provided for information purposes and are liable to change
if the Company deems it necessary. Press releases will usually be distributed
after the close of the market.

AVENIR TELECOM's latest news

29/01/2015 17:49

AVENIR TELECOM (EPA:AVT) First half 2013-2014 revenues

Transparency directive : regulatory news

AVENIR TELECOM's latest news

Other stories