AVENIR TELECOM (EPA:AVT) Revenue Q3 2014-2015

Transparency directive : regulatory news

29/01/2015 17:49

Press Release

                Revenues for the First Nine Months of 2014-2015

  * Revenues up 32.9% for new business
  * Continued Streamlining of the Store Base in France and Spain

Marseille, 29 January 2015. The Avenir Telecom Group, a key player in the design
and distribution of mobile phones, accessories and connected devices, reported
revenues of 139.2 million euros during the first nine months of its 2014-2015
financial year (period from 1 April 2014 to 31 December 2014). This revenue does
not comprise the direct activity in Portugal or the indirect activity in
England.

In June this year, the Group transferred 11 stores operated on behalf of the
operator TMN in Portugal to a partner distributor, bringing an end to its direct
service distribution business in Portugal and also transferred its service
distribution activity for the O2 operator account in the United Kingdom. These
transfers were carried out to focus business on the sale of licensed and
own-brand accessories and connected devices and the distribution  of alternative
smartphones under the YEZZ brand. The consolidated revenues of the Avenir
Telecom Group, assuming a comparable range of activity, stood at 139.2 million
euros for the period, in comparison with 202.6 million euros during the same
period in the previous year.

The revenue for new business - mobile phones, accessories and connected objects
- grew 32.9% over the first nine months of the 2014-2015 financial year driven
by:

* the good performance of mobile telephone accessories under the Energizer brand
  - for which the Group holds an exclusive worldwide licence, excluding USA and
  Canada - especially in Europe with the acquisition of new customers that enjoy
  high recognition confirming a conquest started during the previous year

* the good start in sales of smartphones under the US brand YEZZ with which the
  Group has an exclusive contract for Europe, the Middle East, Africa and
  Russia; thanks to signature of several distribution contacts with major
  actors in the mobile phones industry and among the operators.

The Group's products are distributed in over 40 countries around the world. The
Avenir Telecom Group generated 54.2% of its revenues outside France during the
first nine months of the 2014-2015 financial year, a constant progression.

(in millions of euros)      First Nine Months     First Nine Months     Var. %
                                 2014-2015(1)        2013 - 2014(1)

Retail distribution                      97.4                 126.1    -22.8%
Wholesale distribution                   41.8                  76.5    -45.4%
Total revenue                           139.2                 202.6    -31.3%

1. Excluding direct operations in Portugal and indirect operations in England
    as this they were sold during the  period

Retail distribution Continued Store Base Streamlining

Excluding the perimeter effect associated with the transfer of the 11 stores in
Portugal, the revenue for retail distribution showed an income drop of 22.8%
over the nine months.

This drop in business is a result of the high pressure on revenues in France,
Spain and Romania associated to the change in the perimeter of the store base in
France and Spain leading a reduced amount of business on behalf of operators. On
31 December 2014, the base comprised 368 sales outlets in comparison with 459 on
31 December 2013.

Bulgaria, for its part, showed an 11.3% increase in revenues from its store
base.

The sale of new products increased by 8.8% over the first nine months, owing, in
particular, to the distribution of alternative YEZZ phones in the stores, which
were met with great enthusiasm by consumers.

Wholesale distribution: Strong growth in revenue for new products - mobile
phones, accessories and connected objects - at +39.9%

The business in this segment reported a constant decrease of 45.4% excluding the
effect of the transfer of indirect business in England, in the middle of June
2014.

The Group continued to restructure its mix of products by reducing the volume of
sales of low-paying mobile terminals and stopping the sale of operator
subscriptions.

The revenue for new business - mobile phones, accessories and connected objects
- has reported strong growth, at 39.9%.

The Financial Situation of the Group:

On 30 November 2014, given the seasonal nature of the business the Group's net
debt (unaudited figures) stood at 22.8 million euros in comparison with 18.6
million euros on 30 September 2014 and available cash stood at 7.4 million euros
in comparison with 11.7 million euros on 30 September 2014.

Avenir Telecom is pursuing its offensive strategy in the distribution of
alternative mobile telephones and accessories with added value.

The world of connected devices met with great success at the most recent
Consumer Electronics Show (CES) in Las Vegas at the beginning of January 2015.
The true potential for the growth of these products on a planet-wide scale over
the next ten years was demonstrated during this event.

Avenir Telecom shall continue to develop its ranges of accessories and connected
devices, relying on its strong innovative ability and its worldwide distribution
network.

The Group is, in particular, extending its partnership contract with Energizer
for the marketing of memory carriers under the Energizer brand and has just
signed a distribution agreement for BTP, outdoor, Sport, accessories - a niche
market with high added value under the Energizer Hard Case brand (shells, screen
protectors).

The group shall continue to extend the BeeWi range for innovative products with
a high technological content in the world of connected devices with the placing
of Smarthome products on the world market from now on.

On the alternative Smartphone market, the group is benefiting from its
distribution agreement for mobile phones under the YEZZ brand on the European,
African, Middle Eastern and Russian markets and is bolstering its portfolio of
mobile telephones with the YEZZ manufacturer by extending the range to BTP,
outdoor, Sport smartphones - a niche market with high added value under the
Energizer Hard Case brand.

Avenir Telecom shall announce its annual revenues on 13 May 2015 when the stock
market closes.

About Avenir Telecom

With revenues of 285 million euros on 31 March 2014, the Avenir Telecom Group
(ISIN: FR0000066052 / Reuters: AVOM.LN / Bloomberg: AVT:FP) is a key player in
the design and distribution of accessories and connected devices and is one of
the leading European distributors of mobile telephony products and services.
Avenir Telecom Group, in particular, distributes smartphones with the YEZZ
licensed brand, a comprehensive range of accessories under the licensed
Energizer brand and designs and distributes connected devices under its own
brand, BeeWi. Avenir Telecom employs nearly 2 000 people, is present in more
than 40 countries and generates more than half of its sales abroad.

Avenir Telecom is listed on the 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.

> Third Quarter Turnover (1 October to 31 December 2014)

(in millions of euros)        Third Quarter     Third Quarter     Var. %
                               2014-2015(1)      2013-2014(1)

Retail distribution                    32.0              45.0     -28.9%
Wholesale distribution                 14.1              26.2     -46.2%
Total revenue                          46.1              71.2     -35.3%

1. Excluding direct operations in Portugal and indirect operations in England
as this they were sold during the  period

Upcoming Publications(2)

Event                                      Date
Full year 2014-2015 revenues               13 May 2015
Full year 2014-2015 results                18 June 2015

> Press and Investor Contacts

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

   Find all our financial information at http://corporate.avenir-telecom.com

(2) This schedule is provided for information only and may be changed if the
Company deems such action necessary. As a general rule, press releases shall be
distributed after the market closes.

AVENIR TELECOM's latest news

29/01/2015 17:49

AVENIR TELECOM (EPA:AVT) Revenue Q3 2014-2015

Transparency directive : regulatory news

AVENIR TELECOM's latest news

Other stories