M2 Group, which owns broadband companies including Dodo and iPrimus, has reported $67.1 million in net profits with annual revenue levels breaking through the billion dollar mark. The Melbourne-based company made revenue of $1.024 billion with earnings before interest, taxation, depreciation and amortisation rising to $160.1 million in the year ending June 30. The result was slightly above analyst expectations with most of the market expecting net profits of $66 million. This is the first time in three years M2 hasn’t made a major acquisition during the year.
Australian telecommunications and energy provider M2 has posted a 50 percent increase in revenue for the last financial year to AU$1.02 billion, and a net profit after tax of AU$67.1 million, up 53 percent. M2 CEO Geoff Horth told ZDNet that the growth for the company came in a year where M2 uncharacteristically didn’t make any acquisitions. To have posted that sort of organic growth is pleasing. We have not done any acquisitions this year,” he said. The company that acquired Dodo and Eftel for AU$204 million in the 2013 financial year saw an 8 percent organic growth in its customer base, with 121,000 new post-paid services, including 70,000 broadband customers and 37,000 energy customers. As flagged in July, Horth said that much of the growth came from the company’s consumer base, with iPrimus and Dodo performing particularly well with their bundled broadband and fixed phone products. The company still struggled in mobile, where 29,000 subscriptions were lost for the financial year as M2 prepared its 4G offering.