Digicel posts double digit profit growth for last quarter of 2010
DIGICEL, the mobile operator owned by businessman Denis O'Brien and other investors, saw a double-digit increase in pre-tax profit in the last quarter of 2010, the company has said.
Bermuda-based Digicel Group, which has 11.5 million subscribers in 32 markets, declined to give details about the company's profitability beyond saying there had been a double-digit increase in both pre-tax profit and net income.
Earnings before interest, taxes, depreciation and amortisation jumped 32pc to more than $240m (€174m) in the quarter from the same quarter last year, chief executive Colm Delves said. Sales jumped 32pc year-on-year to $580m (€420m), he added.
The sponsor of the West Indies cricket team is competing against a plethora of mobile operators including Cable & Wireless, Millicom and Mexican billionaire Carlos Slim's America Movil in central and Latin America and the Pacific.
"Digicel has outperformed its industry peers with strong revenue growth and robust margins," Mr Delves said. "We're very happy that we've kept . the momentum in the quarter."
The company has strong cash balances and is looking forward to future organic growth as the booming US economy stokes demand in the Caribbean and Latin America, he added.
Digicel raised €300m late last year to bolster its war chest and invest in new products such as Wimax, a new type of high-speed internet.