Unified comms supplier confident of positive results following a refinancing exercise and the introduction of a new management team
Azzurri Communications posted drops in revenue and profit for its most recent financial year, but has said it is well placed to succeed this year.
In the 12 month period to June 30, 2012, Azzurri saw revenue fall three per cent to £125.6 million compared to the eight per cent decline experienced the previous year.
However, following the management changes and refinancing of the company in December 2011, Azzurri achieved all its quarterly targets and delivered 65 per cent of the annual profitability.
Mobile revenues rose by more than a million to £23.8 million but data revenues revenues fell by almost £6 million to £27.4 million.
Gross profit was £19.95 million, down from £22.53 million posted in the previous financial year, with underlying operating profit down by almost £3 million to £9 million. Profit before tax fell by over £3 million to £5.77 million.
Azzurri underwent a number of changes in the financial year, including a refinancing exercise, change of ownership and the introduction of a new management team.
The new management team removed over £2 million of annualised costs, with £1.4 million impacting in the financial year. Azzurri said the team is focussed on delivering sustainable cash generation to ensure the business achieves its targets in the current financial year.
During December 2011, Keith Taylor (pictured) was appointed chairman, Vim Vithaldas took over from Mark Quartermaine as CEO and John Whitehead became CFO.
Taylor said: Azzurri underwent a significant number of financial and management changes in the financial year. Whilst these changes were introduced in a short period of time, the outcome has been very positive for the business. It has given Azzurri its clients, suppliers and employees a real sense of stability.
“We believe that customers are increasingly looking to trust one supplier with all their communication challenges to ensure they receive independent and coordinated advice on how to extract the maximum benefits from their legacy estate and new investments.
“Despite the gloomy market propositions, Azzurri is well placed to succeed in 2012-13 and beyond. This is based on our well developed proposition which delivers real benefits and cost savings to clients. The results of the business since the refinancing and the appointment of the new team have been excellent and the trend of the business continues to be very encouraging.”