Brightpoint has released its Q3 financial results, revealing a 30 per cent year on year drop in EBITDA to £10.26 million.
Group revenue is down 26 per cent to £520.79 million. The company said the loss is primarily due to a lower average selling price as well as an 11 per cent decrease in wireless devices handled through distribution.
However, there has been a significant increase from last quarter, with a 27.5 per cent growth in EBITDA and a revenue growth of 21 per cent. The growth been accredited to an increase in distribution revenue from the Middle East and Singapore.
It was also confimed that as part of Brightpoint’s spending and debt reduction plan that further workforcec reductions may be necessary. There have currently been 220 redundancies made across the company’s global workforce, accounting for around seven per cent of all staff.
Brightpoint chief executive officer Robert Laikin said: “I am pleased with our third quarter results in what continues to be an extremely challenging economic environment.
“In addition to our focus on operating our business in the most disciplined financial manner, we also are focused on implementing our Europe strategy which revolves around two significant initiatives: building ‘centres of excellence’ and creating a ‘shared services centre’. By executing the successful roll-out of these plans, we will be positioned as a leading provider of customised logistics in Europe with capabilities quite similar to what we have developed in the Americas and Asia-Pacific.”
Meanwhile, Brightpoint has also confirmed the appointment of Ryan Willman as controller of Brightpoint Europe, Middle East and Africa (EMEA).
Willman will be responsible for improving controls and the implementation of best practices within the region. He will be based at the Brightpoint EMEA regional headquarters in Barcelona, Spain, which also houses Brightpoint’s Business Services Centre; responsible for centralising business support functions across all properties in the region.
Before joining Brightpoint, Willman worked for Guidant Corporation as a senior financial analyst and prior to that he spent five years in public accounting with Ernst & Young. He joined Brightpoint in November 2005 as the SEC reporting and compliance manager and was promoted to his current role of director of finance in November 2006
Brightpoint executive vice President, chief financial officer, treasurer and interim president for EMEA Anthony Boor said: “Mr. Willman’s appointment is an important step in Brightpoint’s continuing investment in the EMEA region. Ryan has a very strong background in public company reporting, finance and accounting as well as a proven track record at Brightpoint.”