Digicel Group Ltd announces strong financial results

Digicel Group Ltd on Tuesday announced a strong set of financial results for the year ended 31 March 2012.{{more}}

With subscribers up 27% to 12.8 million and revenues for Digicel Group Limited (which comprises 30 markets in the Caribbean, Central America and the Pacific) up 14% to US$2.54 billion, EBITDA margins remained steady at a robust 45%.

The company posted EBITDA of US$1,082 million – up from US$954 million in the previous year – representing a year on year increase of 13%.

Value Added Services and data revenues were up an impressive 47% year on year and now account for 20% of overall service revenues. This growth was supported in part by Digicel’s 4G Mobile offering which is now available in 14 markets across the globe (with further rollouts planned) and by the rise in smartphone usage. The Diaspora business meanwhile saw its revenues grow by 28% year on year.

Digicel’s balance sheet and liquidity position has continued to improve with cash reserves of over US$657 million at 31 March 2012. The Group’s strong financial performance has been endorsed by ratings agency, Fitch, which in May reaffirmed the Group’s debt rating citing its “strong operational performance”.

Commenting on the performance, Digicel Group CEO, Colm Delves, said; “I am pleased to report that Digicel has closed out another strong year in which, for the first time in our 11 year history, our annual EBITDA was over US$1 billion. With 12.8 million subscribers across 30 markets, Digicel has delivered 14% revenue growth placing us at the leading edge of performance amongst telecoms operators worldwide.”

He continues; “I would like to take this opportunity to thank our customers for their loyalty to Digicel and our partners and staff who always go the extra mile to ensure that our customers benefit from what we do and how we do it.”

Denis O’Brien, Chairman and Founder of Digicel Group, commented; “The results announced today reflect the continued growth and development of Digicel in the Caribbean, Central America and Asia Pacific. The success of Digicel is due to the commitment of a very strong management team and workforce whose sole focus is on the highest standards of service delivery in all markets.”

Digicel’s investment across its 30 markets worldwide totals US$4.5 billion and the company employs over 4,700 people worldwide.