AdEPT Telecom plc, formerly AdEPT Telecom, is a United Kingdom-based company providing voice and data telecommunications services to both domestic and business customers. The Company provides fixed line calls, line rental, mobile and data connectivity products to thousands of business and residential customers across the United Kingdom. The Company offers a range of business telecom products for all sizes of business. AdEPT's Inbound Call Handling services offer a way to manage inbound calls, with online access enabling customers to implement changes instantly. AdEPT broadband products offer unlimited downloads and Internet speeds of up to 16 megabits, 50 megabits of Webspace. As at March 2010, AdEPT has completed the acquisition and integration of 16 telecom businesses, all of which have been integrated and trade under the AdEPT Telecom brand

http://www.adept-telecom.co.uk/data-connections/data-quote-tool

RNS Release - Final Results
9th Jul 2013, 7:00 am
RNS Number : 8451I

AdEPT Telecom plc

09 July 2013




AdEPT Telecom plc



("AdEPT" or the "Company")



Final results for the year ended 31 March 2013



AdEPT (AIM: ADT), a leading UK independent provider of award-winning telecommunications services for fixed line, mobile, data connectivity and VoIP, announces its results for the year ended 31 March 2013.

Financial Highlights

· Tenth consecutive year of increased underlying EBITDA up 2.2% to £3.73m (2012: £3.65m)

· Underlying EBITDA margin % increased by 1.1% to 17.8% (2012: 16.7%)

· 37% increase to Profit Before Tax to £1.6m (2012: £1.2m)

· 68% increase to Profit After Tax to £1.0m (2012: £0.6m)

· 200% increase to dividends declared to 1.5p (Interim 0.75p, Final 0.75p) (2012: 0.5p)

· Excellent cash generation with free cash flow, after interest, of £3.0m (2012: £2.2m)

· EBITDA conversion to cash generated from operating activities increased to 92.6% (2012: 79.6%)

· Net debt reduction of £2.0m year-on-year (2012: £2.1m) to £3.3m (2012: £5.3m)

· Total interest costs reduced by 39.2% to £0.37m (2012: £0.61m)

· Adjusted Earnings Per Share of 11.20p (2012: 11.35p)

Operational Highlights

· 9% increase to data connectivity and broadband revenues year-on-year

· 15% increase to inbound call revenue year-on-year

· 94% of revenue generated from customers taking more than one product or service (2012: 92%)

· 46% of revenue generated from customers taking 3 or more products (2012: 41%)

· 7% increase in business customer ARPU to £167 as at March 2013 (2012: £156)



Commenting upon these results Chairman Roger Wilson said:



"AdEPT has delivered a tenth consecutive year of increased EBITDA and continued to deliver consistent free cash flow generation, resulting in further deleveraging and a 200% increase to dividends declared during the year. The Board is confident that continued focus on underlying profitability and strong cash generation will support a progressive dividend policy."

INVESTMENT EXTRA: Investors must listen as Adept Telecom keeps dialing the right numbers

By Ian Lyall

PUBLISHED: 22:21, 26 July 2013 | UPDATED: 10:30, 27 July 2013


Adept Telecom’s share price has enjoyed a spectacular run since paying a maiden dividend in April last year.


It might have been a nominal payout, but its impact was significant in alerting the market to the company’s rude financial health.


Its debts, which peaked in 2008 at £12.3million, are now just under £3.3million, or less than one times earnings before interest, tax and depreciation.



Dialing the right numbers

Not only does this reveal a very disciplined approach to paying off those liabilities, but it underlines the business’ ability to generate significant cash.


An interesting fact emerges from the group’s recent results presentation regarding the debt. The amount saved in interest payments last year (£240,000) allowed it to increase the dividend 200 per cent (at a cost of £210,000).






‘For a lot of time the market hasn’t understood we are in very safe territory so far as the debt is concerned,’ said chief executive Ian Fishwick.


‘We paid a maiden dividend of half a penny last year and this was to say to the market, “Are you listening?”.


‘Judging from the share price the we were the fastest rising tel-co last year and this.’


In the last 15 months the shares have gone orbital, shifting from 35p in April 2012 to over £1.


But even at these levels this still puts the group on a fairly reasonable price-to-earnings ratio – which is at the lower rung of the valuation scale of this particular industry.


And there is an argument that it should be on multiples closer to the sector leader. To understand why this may be the case, you need to know a little more about Adept.


It provides the full gamut of telecoms services from fixed line, mobile, data connectivity and cloud-based services. But it does so without owning infrastructure – so it sources the best solutions at the lowest costs from existing providers, mixing up a cocktail of different services from competing suppliers.


If this sounds like an administrative and organisational nightmare, then it’s not the way Adept does it.


Project management is at the heart of its offering (juggling the right balls and not dropping them, Fishwick describes it). Often it is a case of flicking a virtual switch to turn a service on, or at worst hiring BT’s Openreach to make the connection.


Automation, meanwhile, is also a key element that ensures its sales staff are the highest earning per head in the industry – £489,000 per employee, compared with a sector average of £168,000.


This translates into industry-leading margins that are six percentage points higher than Adept’s nearest rivals.


Two impressive facts emerge from the company’s recent prelims – first is that underlying profitability has grown for the last decade, as have those profit margins.


Organic growth will be driven by those opportunities to cross-sell, while the public sector presents a huge potential market. In fact the group has gained significant early traction with local authorities, landing three contracts in the early months of this framework.


Its cash generation means the group can return to the acquisition trail, albeit at a modest level. The business telecoms market is made up of 700 small firms, so at £20million Adept is one of the larger players.


As chairman Roger Wilson points out, there are always opportunities to acquire companies. ‘At any one time there is always someone retiring or getting divorced that presents an opportunity.’


Of course it is then about doing these deals at the right price. So there is plenty of scope to grow the business – and that share price.


‘If we want to increase the dividend further there is still enough money to do that and do some small acquisitions,’ Fishwick said.


OUR VERDICT: The share price has advanced significantly in the past 15 months. Adept is still only at a relatively modest 9.3m-times next year’s earnings. Value enhancing bolt-on acquisitions and solid underlying growth should maintain the momentum.


The ability to crank up the dividend at will provides a welcome income stream and is a novelty for AIM. I would set a stop-loss at around 85p.






http://www.dailymail.co.uk/money/investing/article-2379413/INVESTMENT-EXTRA-Investors-listen-Adept-Telecom-keeps-dialing-right-numbers.html

Adept Telecom looking to grow already impressive share price
By Ian Lyall July 26 2013, 11:15am Adept provides the full gamut of telecoms services from fixed line, mobile, data connectivity and cloud-based servicesAdept provides the full gamut of telecoms services from fixed line, mobile, data connectivity and cloud-based services

Adept Telecom’s (LON:ADT) share price has enjoyed a spectacular run since paying a maiden dividend in April last year.




It might have been a nominal payout, but its impact was significant in alerting the market to the company’s rude financial health.





Its debts, which peaked in 2008 at £12.3mln, are now just under £3.3mln, or less than one times earnings before interest tax and depreciation.




Not only does this reveal a very disciplined approach to paying off those liabilities, but it underlines the business’s ability to generate significant cash.




An interesting fact emerges from the company’s recent results presentation regarding the debt. The amount saved in interest payments last year (£240,000) allowed it to increase the dividend 200% (at a cost of £210,000).




“For a lot of time the market hasn’t understood we are in very safe territory so far as the debt is concerned,” said chief executive Ian Fishwick.




“We paid a maiden dividend of half a penny last year and this was to say to the market, ‘are you listening’.”




“Judging from the share price the market was – we were the fastest rising telco last year and this.”




In the last 15 months the shares have gone orbital, shifting from 35 pence in April 2012 to over £1.




But even at these levels this still puts the group on a fairly reasonable price to earnings ratio of 9.3x (adj EPS) which is at the lower rung of the valuation scale of this particular industry. And there is an argument that it should be on multiples closer to the sector leader.




To understand why this may be the case, you need to know a little more about Adept.




It provides the full gamut of telecoms services from fixed line, mobile, data connectivity and cloud-based services.




But it does so without owning infrastructure – so it sources the best solutions at the lowest costs from existing providers, mixing up a cocktail of different services from competing suppliers.




So for example, a client might take its landlines via BT, calls with Vodafone, its data network from specialists Redcentric and might have a cloud based “inbound solution” provided by TalkTalk.




If this sounds like an administrative and organisational nightmare, then it’s not the way Adept does it.




Project management is at the heart of its offering (juggling the right balls and not dropping them, Fishwick describes it). Often it is a case of flicking a virtual switch to turn a service on, or at worst hiring BT’s Openreach to make the connection.




Automation, meanwhile, is also a key element that ensures its sales staff are the highest earning in per head in the industry - £489,000 per employee, compared with a sector average of £168,000 or £250,000 for a top quartile provider.




This translates into industry-leading EBITDA margins that are six percentage points higher than Adept’s nearest rivals.




Two impressive facts emerge from the company’s recent prelims – first is that underlying profitability has grown for the last decade, as have those EBITDA margins.




In the last year that was done against the backdrop of a 4.4% fall in revenues, which was largely the result of an OFCOM diktat on mobile call charges.




Organic growth will be driven by those opportunities to cross-sell – 46% of revenues already come from customers taking three or more products from Adept; but there is room for improvement. This has been helped by targeting larger companies.




The public sector also presents a huge growth opportunity – and the company is gaining some major traction in this arena.




This is helped by the fact that it is one of a small number of companies approved to sell data connectivity to UK colleges and universities.




This was key to landing a significant contract with Southampton University.




Adept is also the sole recommended supplier of calls, lines and broadband to the public sector and registered charities in the UK.




This is done under what’s known as a government ‘framework’ for procurement.




“We soon realised we were recommended supplier rather than being mandated,” explained Fishwick.




“This means councils can still go out and do their own tender.




“Our job is to say, ‘you know you don’t have to go through this whole hassle. We are pre-approved, pre-agreed. You can just move to this straight away’.”




In fact the company has gained significant early traction with local authorities, landing three significant contracts in the early months of this framework.




“We are not prepared after a fantastic three months to extrapolate this. But it is a stunningly good start to the year,” said CEO Fishwick.




The company has grown historically through acquisitions, having completed 17 to date. The continued strong cash generation means the company can return to the acquisition trail, albeit at a modest level.




In business telecoms, the market is made up of 700 small communication providers (compared with a handful in the residential market) and at around £20mln, Adept is one of the larger players.




As chairman Roger Wilson points out, there are always opportunities to acquire companies. “The deal flow is there,” he revealed. “At any one time there is always someone retiring or getting divorced that presents an opportunity.”




Of course, it is then about doing these deals at the right price to add value.




Given the fragmented state of the market, providing opportunities for the handful of big fish, it is unlikely the predator will become prey.




But given the shareholding structure (management owns over 40%), the current board has a strong say in the company’s destiny. “We’re not vulnerable to an aggressive takeover. If it made sense, then okay,” said Fishwick.




In the meantime, there is plenty of scope to grow the business – and that share price. “If we want to increase the dividends further there is still more than enough money to do that and do some small acquisitions,” the Adept chief executive said.




“You certainly aren’t getting a great return by keeping it in the bank.”

Potential acquisition

RNS


RNS Number : 2369K

AdEPT Telecom plc

26 July 2013






AdEPT Telecom plc

("AdEPT Telecom" or the "Company")



Potential Acquisition



AdEPT Telecom, one of the UK's leading independent providers of voice and data telecommunications solutions, announces that it is in advanced discussions to acquire approximately 3,000 business customer contracts for an initial cash consideration of approximately £2m. Further consideration of approximately £0.5m in cash may be payable based upon performance of the contracts post-acquisition.


It is anticipated that the transaction will be completed during the next few weeks but there can be no certainty that completion will occur.


Annualised revenue and EBITDA attributable to the contracts is anticipated to be approximately £1.8 million and £0.6 million respectively.



The total cash consideration would be funded out of AdEPT Telecom's existing bank facilities.



A further announcement will be made, as appropriate.

AdEPT Telecom has 'lots of scope to increase dividend'
By Proactive Investors July 12 2013, 8:33am

Roger Wilson, Chairman of Adept Telecom (LON:ADT), tells Proactiveinvestors that the company is generating lots of cash and as a consequence has lots of scope to raise the dividend and have lots of cash for acquisitions. Roger says that the company continues to focus on margin and customer base improvements.

http://www.proactiveinvestors.co.uk/companies/stocktube/2094/adept-telecom-has-lots-of-scope-to-increase-dividend--2094.html

Up 21% :-))

Broker Round-up II: AdEPT Telecom, Allocate Software, Horizonte Minerals
By Jamie Nimmo
July 29 2013, 3:57pm


Northland Capital’s 115p target price on AdEPT Telecom (LON:ADT) already looks outdated, even though it would have meant a healthy return from investing in the AIM-listed telecoms company.

On Friday, the company revealed it is in advanced talks to buy around 3,000 business customer contracts for around £2mln, with a further £500,000 payable if the contracts do well.

The shares jumped 27p to 137p each today, which means the broker will have to revise its target price again if it is to keep its ‘buy’ rating.

Its share price has enjoyed a spectacular run since paying a maiden dividend in April last year.

It is thought the contracts will contribute £1.8mln in annualised revenues and £600,000 in underlying earnings (EBITDA) to the group.

AdEPT Telcom shares surge again as Northland keeps 'buy' stance
By Giles Gwinnett July 29 2013, 1:10pm Shares in the telecoms group rose again on MondayShares in the telecoms group rose again on Monday

Broker Northland repeated its 'buy' rating on AIM-listed telecoms company AdEPT Telecom (LON:ADT) following Friday's news of a potential acquisition.

Shares in the telecoms group rose again on Monday, lifting nearly 23%, continuing the share's spectacular run over the past year, which has seen it more than double in value.

On Friday, shares advanced after it revealed it was in advanced talks to buy around 3,000 business customer contracts.

Although not certain to occur, the acquisition is expected to set the company back £2mln initially, with an extra £500,000 payable in cash based on the performance of the contracts after the deal.

It is thought the contracts will contribute £1.8mln in annualised revenues and £600,000 in underlying earnings (EBITDA) to the group.

The broker kept its 115p price target for the shares unchanged.

Well done here DC.

Thanks gf.

Saw it in Saturdays paper and then forgot ........ s--t. Tore my shoulder joint so been busy at A@E.

Drat drat ............and a final drat.

I thought you we laying out on the sun bed in the rain/sun :-))

LOL, I wish.

Got this corset thingy around my shoulder neck and top half. Can hardly move.

Did it trying to tear away tree roots. Devils sprung back and I went twack.

So easily done. Your the third person to tell me they have done that. Hope the trading finger still works fine. Plenty of cups of tea as they say in my house and REST IT.

Still moving up.:-))

Notice of AGM and Dividend Timetable

RNS


RNS Number : 7012K

AdEPT Telecom plc

01 August 2013




AdEPT Telecom plc

("AdEPT Telecom" or the "Company")



Notice of AGM and Dividend Timetable



The Board of AdEPT Telecom confirms that a notice convening an annual general meeting of the Company, to be held at 10.00am on 26 September 2013 at 77 Mount Ephraim, Tunbridge Wells, Kent TN4 8BS (the "AGM") is available to download from the Company's website, www.adept-telecom.co.uk and will shortly be posted to shareholders.



The notice of AGM includes a resolution to approve the final dividend of 0.75p per ordinary share to be paid on 10 October 2013 to shareholders who are on the register of members on the record date of 20 September 2013. Total dividends declared during the year ended 31 March 2013 of 1.50p per ordinary share represent a 200% increase year-on-year (2012: 0.50p).



For further information on AdEPT Telecom please visit www.adept-telecom.co.uk or contact:

Shares in Adept Telecoms (unchanged today at 140p) was another of the week’s top performers, rising 27 per cent, as it continued its share's spectacular run over the past year, which has seen it more than double in value.




http://www.dailymail.co.uk/money/markets/article-2383447/SMALL-CAP-MOVERS-Summer-rush-sweeps-AIM-market-results-season-starts.html

Acquisition

RNS


RNS Number : 0049L

AdEPT Telecom plc

06 August 2013






AdEPT Telecom plc

("AdEPT Telecom" or the "Company")



Acquisition of certain trade and assets from Bluebell Telecom Limited



Further to the announcement on 26 July 2013, the Board of AdEPT Telecom, one of the UK's leading independent providers of voice and data telecommunications solutions, is pleased to announce that it has signed an agreement to acquire approximately 3,000 business customer contracts from Bluebell Telecom Limited ("Bluebell") for an initial cash consideration of approximately £2m. Further consideration of approximately £0.5m may be payable based upon performance of the contracts post-acquisition.



The business customer contracts acquired from Bluebell complement the AdEPT Telecom portfolio as they are all UK based fixed-line telecom business customers taking communications products including lines, calls, data connectivity, inbound-telephony and maintenance services. Management of the contracts will be transferred to AdEPT Telecom's office in Tunbridge Wells, Kent during August 2013.



Based on recent management accounting information, annualised revenue and EBITDA attributable to the contracts being acquired is anticipated to be approximately £1.8 million and £0.6 million respectively.



The total consideration will be funded out of AdEPT Telecom's existing bank facilities.



For further information on AdEPT Telecom please visit www.adept-telecom.co.uk or contact:

Northland also repeated its ‘buy’ AdEPT Telecom (LON:ADT), which on Tuesday confirmed it will pull the trigger on a £2mln deal to acquire 3,000 business customers from Bluebell Telecom.

The contracts being bought are all UK fixed line and generate annual sales and EBITDA of £1.8mln and £600,000 respectively.

“The AdEPT management team has a proven ability to make and integrate acquisitions (18 to date) and convert profits into cash,” said Northland analyst David Johnson.

“The UK business telecoms market remains highly fragmented and there is scope for further consolidation.”

Earlier analysts weighed in with no fewer than six downgrades to recommendations, with the promise of more to follow.



http://www.proactiveinvestors.co.uk/columns/broker-spotlight/13769/broker-spotlight-pt2-gemfields-888-adept-and-regency-find-support-13769.html

We maintain our BUY rating and set a new price target of 145p


http://www.proactiveinvestors.co.uk/columns/northland-capital-partners-view-on-the-city/13763/northland-capital-partners-view-on-the-city-adept-telecom-and-regency-mines-13763.html

Ex dividend Wed 18 Sept 0.75p

Result of AGM

RNS


RNS Number : 9808O

AdEPT Telecom plc

26 September 2013




AdEPT Telecom plc

("AdEPT Telecom" or the "Company")



AdEPT Telecom is pleased to announce that at the Annual General Meeting ("AGM") of the Company held at 10.00am today, all the proposed resolutions were duly passed.



Roger Wilson, Chairman of AdEPT Telecom, commenting at the Company's AGM said:



"AdEPT has delivered a tenth consecutive year of increased EBITDA. Continued deleveraging from consistent free cash flow generation has been used to finance the 200% increase to dividends during the year ended 31 March 2013 and subsequently the recent acquisition of business customers from Bluebell Telecom Limited."



For further information on AdEPT Telecom please visit www.adept-telecom.co.uk or contact:

Looking for a re-entry price, once the dust settles with the markets.

3 Oct Northland... 145.00 Buy

AdEPT Telecom still looking for acquisitions
By Charlotte Kan November 01 2013, 8:24am


Roger Wilson, chairman of AdEPT Telecom (LON:ADT), a provider of voice and data network services, told Proactiveinvestors the company is still seeking acquisition opportunities and will pursue its "very progressive" dividend policy.


http://www.proactiveinvestors.co.uk/companies/stocktube/2294/-adept-telecom-still-looking-for-acquisitions-2294.html

Trading Update & Acquisition

RNS


RNS Number : 2759E

AdEPT Telecom plc

08 April 2014




AdEPT Telecom PLC

("AdEPT" or the "Company")

Trading Update and Acquisition

AdEPT Telecom plc, one of the UK's leading independent providers of voice and data telecommunications solutions, today announces a trading update for the year ended 31 March 2014 (ahead of its final results which are expected to be announced in early July 2014) and details of the acquisition of Bluecherry Telecom Limited.

Trading performance

The Company is pleased to announce that it anticipates that underlying EBITDA will be ahead of the previous year and in line with the market expectations of an 8% rise year-on-year. Adjusted* profit before tax is expected to be ahead of the prior year and in line with market expectations. Turnover is expected to be in line with the previous year but slightly below market expectations.

* adjusted for amortisation and share option costs

Cash flow and net debt

The reduction in net borrowings was ahead of market expectations. Net borrowings reduced by £0.3m in the year to £3.0m as at 31 March 2014. AdEPT continues to generate consistently strong cash flow. This reduction in debt is after payment of (i) the deferred consideration for the acquisition of customer contracts from Expanse Communications (UK) Limited and Bluebell Telecom Limited, (ii) 18 months corporation tax following the transition to large company status for tax purposes and (iii) a 200 per cent. increase in dividends.

Dividends

AdEPT announced an interim dividend of 1.50p per share in its September 2013 interim statement, which will paid to shareholders on 11 April 2014. The Board today announces that it recommends a final dividend of 1.50p (2012: 0.75p) per Ordinary Share which, subject to Shareholder approval at the Annual General Meeting later in the year, will be paid in October 2014. Total dividends declared during the year ended 31 March 2014 of 3.00p per Ordinary Share represent a 100 per cent. increase year-on-year (2012: 1.50p).

Acquisition

AdEPT has c20,000 customers. The 1,000 largest customers equate to about half of the revenue and the 19,000 smaller customers the other half. Our strategy is to concentrate our organic sales efforts on attracting larger customers, particularly in the public sector. Rather than operate a telesales operation aimed at acquiring smaller business customers we instead use our cash generation to buy customer bases from other telesales operations in the industry. Our smaller in-fill acquisitions are therefore simply an alternative to sales and marketing spend.

The Board of AdEPT is pleased to announce another small, partly in-fill, acquisition. We have signed an agreement to acquire the share capital of Bluecherry Telecom Limited ("Bluecherry") for an initial consideration of £1.8m plus the value of the net assets at completion (estimated to amount to £0.25m and being represented by cash), payable in cash. Further consideration of between £0.2m and £0.75m will be payable, also in cash, dependent upon performance of the contracts post-acquisition. The total consideration will be funded out of AdEPT's existing bank facilities. The business customers of Bluecherry complement the AdEPT portfolio as they are all UK-based fixed-line telecom business customers taking communications products including lines, calls and broadband services. Management of the Bluecherry contracts will be transferred to AdEPT's office in Tunbridge Wells, Kent during April 2014. Based on recent management accounting information, annualised revenue and EBITDA of Bluecherry is approximately £1.2 million and £0.45 million respectively.

AdEPT Telecom’s (LON:ADT) acquisition of Blue Cherry Telecom fits its recent pattern of deals and should be earnings enhancing said Northland.

It acquires existing customer bases in the fragmented reseller market and transfers accounts over to its own billing systems in a highly efficient manner. AdEPT has repeated the exercise several times and will typically take on few, if any staff, with the acquisitions.

Results were in line the broker’s expectations and the rating remains ‘buy’ with a 165p price target.



http://www.proactiveinvestors.co.uk/columns/broker-spotlight/15877/broker-spotlight-lonmin-hsbc-hikma-pharma-gemfields-petroceltic-adept-telecom-15877.html

THE BIG PICTURE - AdEPT Telecom trading at ‘unwarranted discount’ to peers

By Jamie Nimmo

April 09 2014, 11:02am
Northland Capital has a target price of 165p on the stock



AdEPT Telecom’s (LON:ADT) share price has been as robust as ever, but there are some voices from the City still claiming the group is undervalued.

Among them is broker Northland Capital, which has a 165p target price on the AIM-listed telecoms company – some 35p above the current price.

Analyst David Johnson’s basis for the ‘buy’ recommendation is that the shares are trading on an “unwarranted discount to other quoted non-network owning peers”.

The stock is currently priced at 10.3 times earnings for next year and the year after, with the yield increasing from 3% to 3.7% respectively.

This is based on Johnson’s upgraded forecasts following yesterday’s trading statement, which confirmed the company is continuing to convert profits into cash, which is going towards paying down debt, its dividend policy, and customer contract acquisitions.

The firm has just splashed out an initial £1.8mln on Bluecherry Telecom, with the fee rising based on future performance.

Bluecherry has annualised revenues of £1.2mln and underlying earnings (EBITDA) of £450,000. The acquisition is expected to be earnings enhancing next year.

“Our strategy is to concentrate our organic sales efforts on attracting larger customers, particularly in the public sector,” AdEPT explained.

“Rather than operate a telesales operation aimed at acquiring smaller business customers we instead use our cash generation to buy customer bases from other telesales operations in the industry.

“Our smaller in-fill acquisitions are therefore simply an alternative to sales and marketing spend.”

The acquisition fits in with that strategy and eliminates the need for a large telesales operation to secure smaller customers as chief executive Ian Fishwick explains.

“We use the cash generation every now and again to buy a customer base because we’re set up to integrate them. This is the 19th integration we’ve done over the last 11 years,” he said.

“It’s [Bluecherry] a telesales operation that we like – we like the way they behave. The product set they’re selling is easy for us to integrate – if they were selling things we didn’t have, then we’d think twice about doing it so it’s a relatively easy one for us to do.”

Fishwick added: “We’re looking at these deals constantly. We must turn down six or seven for every one we do. It’s a way of life for us; we do it all the time.”

In Tuesday’s trading update, the company said it expects EBITDA to register an 8% rise from last year, while turnover is likely to be a little lower than previously anticipated.

Notably, it will be the eleventh consecutive year the company has announced record underlying EBITDA.

The group said its borrowings had reduced by a greater than expected £300,000 to £3mln as it continues to generate consistently strong cash flows.

The final dividend will be 1.5p, double the amount it paid out at the same time last year, making a total dividend for the year of 3p.

“We can see there are few dividend payers on AIM,” Fishwick continues.

“Now that AIM’s attractive to ISA holders, when you add in a good dividend yield in as well, clearly that makes us fairly unusual on AIM.”

Automation plays a key role in the company’s high margins. Its sales staff are the highest-earning per head in the industry – it makes almost £500,000 per employee compared with a sector average of £168,000 or £250,000 for a top quartile provider.

The business telecoms market is made up of 700 small communication providers (compared with a handful in the residential market) and at around £28mln, Adept is one of the larger players.

The company’s full-year results are expected to be released in July.

Final Results

RNS


RNS Number : 6664L

AdEPT Telecom plc

08 July 2014




AdEPT Telecom plc



("AdEPT" or the "Company")



Final results for the year ended 31 March 2014



AdEPT (AIM: ADT), a leading UK independent provider of award-winning telecommunications services for fixed line, mobile, data connectivity and VoIP, announces its results for the year ended 31 March 2014.

Financial Highlights

· Eleventh consecutive year of increased underlying EBITDA up 8.3% to £4.04m (2013: £3.73m)

· Underlying EBITDA margin % increased by 1.6% to 19.4% (2013: 17.8%)

· 12.8% increase to Profit Before Tax to £1.85m (2013: £1.64m)

· 35.2% increase to Profit After Tax to £1.33m (2013: £0.98m)

· 18.0% increase to Adjusted Basic Earnings Per Share of 14.99p (2013: 12.70p)

· 100% increase to dividends declared to 3.0p (Interim 1.50p, Final 1.50p) (2013: 1.50p)

· Cash generation with free cash flow, after interest, of £2.6m (2013: £3.0m)

· Net debt reduction of £0.3m year-on-year to £3.0m (2013: £3.3m)

· Total interest costs reduced by 30.4% to £0.26m (2013: £0.37m)

Operational Highlights

· 26.9% increase to data connectivity and broadband revenues year-on-year

· Acquisition of customer base from Bluebell Telecom Limited completed in August 2013



Commenting upon these results Chairman Roger Wilson said:



"AdEPT has delivered its eleventh consecutive year of increased EBITDA and continues to deliver consistent free cash flow generation. The Company has achieved a reduction to net borrowings despite undertaking a customer base acquisition during the year, with a further acquisition completed and fully integrated post year-end. The continued strong cash generation has funded a 100% increase to dividends declared during the year. The Board is confident that continued focus on underlying profitability and strong cash generation will support a progressive dividend policy. Organically the Company has strengthened its position through successfully leveraging its various frameworks to increase the scale of its public sector customer base."

AdEPT Telecom doubles dividend as cash rolls in

By Philip Whiterow

July 08 2014, 8:12am
Adept, which is a re-seller and has no infrastructure itself, specialises in supplying large public sector customers.
Adept, which is a re-seller and has no infrastructure itself, specialises in supplying large public sector customers.


Telecoms services supplier Adept Telecom (LON:ADT) celebrated its eleventh year of higher underlying profits by doubling its dividend.

Roger Wilson, chairman, said strong cash flow funded the higher payout, adding he was confident the focus on underlying profitability would support further increases in the future.

Underlying profits [EBITDA] rose by 8% to £4mln in the year to March despite a small decline in revenues to £20.9mln. Pre-tax profits rose by 13% to £1.85mln.

Adept, which is a re-seller and has no infrastructure itself, specialises in supplying large public sector customers with a full range of telecom requirements.

Its recent strategy has been to acquire customer bases through the acquisition of smaller rivals, which the focus on building its data and broadband side as fixed line revenues decline.

Revenues were also affected by a reduction in the mobile termination charge with fixed line revenues of £15.7mln (£16.8mln), offset partly by a 27% rise in data and broadband.

“The business focus for the coming year remains on continued development of organic sales through leveraging AdEPT's approved supplier status on the various telecom frameworks, maintaining profitability and cash flow generation, which will be used to reduce net borrowings and/or fund suitable earnings-enhancing acquisitions if identified,” it said.

The dividend for the year rises to 3p.

Shares - Adept Telecom's dividend could double over the next three years to 6p per share, according to stockbroker WH Ireland. It says the telecom services provider, trading at 120.5p, is highly cash generative as it doesn't own any major telecoms infrastructure, so there's low levels of capital expenditure.

EX-Dividend Wed 17 Sept 1.5p

UPDATE - AdEPT Telecom celebrates extension of council framework agreement

By John Harrington

October 14 2014, 12:26pm
UPDATE - AdEPT Telecom celebrates extension of council framework agreement

---ADDS BROKER COMMENT AND SHARE PRICE---

AdEPT Telecom (LON:ADT) has been awarded an extension to the public sector telecom framework it has with the Eastern Shires Purchasing Organisation (ESPO).

The telecom framework has been extended for a further two years until the end of October 2016.

Under this framework agreement AdEPT is the sole recommended supplier of landlines, broadband, session Internet protocol and Internet connectivity to the public sector and not for profit organisations nationwide.

Ian Fishwick, chief executive of AdEPT Telecom said that in the first two years of the ESPO agreement, 20 councils moved their service to AdEPT.

“This has made AdEPT one of the fastest growing suppliers in this part of the public sector market,” Fishwick said.

Picking up that theme, broker Northland Capital Partners said the public sector has been a good source of new business for AdEPT Telecom over the past few years and is likely to continue to provide further opportunities in the years to come.

“As well as ESPO, AdEPT was awarded approved supplier status to the Crown Commercial Services (central government bodies) in FY14 and is a long standing supplier under the Ja.net framework, whereby it can sell data connectivity and networks to UK Universities and Colleges,” the broker noted, adding that public sector revenue represented 11.9% of total revenue at the end of fiscal 2014, up from 4.5% a year earlier.

“We anticipate further growth this year as revenues ramp up in signed contracts and new contracts are secured,” AdEPT’s nominated adviser added, as it reiterated its ‘buy’ recommendation and 165p price target.

Shares in AdEPT were down 1.5p at 110p in lunchtime trading.

Contract renewal

RNS


RNS Number : 0372W

AdEPT Telecom plc

04 November 2014




AdEPT Telecom plc

("AdEPT" or the "Company")



AdEPT'S LARGEST CUSTOMER RENEWS FOR 3 MORE YEARS



AdEPT Telecom plc is pleased to announce that our largest customer has renewed their contract for another 3 years. The contract value is anticipated to be around £2.2 million.



Ian Fishwick, Chief Executive, said: "This is the third time that our largest customer has renewed their contract and it will extend our relationship to 9 years. Our largest customer has over 400 sites across the UK and this renewal is great testament to the fantastic level of service that we offer our multiple site customers."

Half Yearly Report

RNS


RNS Number : 5309W

AdEPT Telecom plc

11 November 2014






AdEPT Telecom plc



("AdEPT" or the "Company")



Interim results for the 6 months ended 30 September 2014



AdEPT, one of the UK's leading independent providers of award-winning landline voice and data connectivity telecommunications services, VoIP and mobile networks, announces its results for the 6 months ended 30 September 2014.



Highlights



· Total revenue increased by 11.3% to £11.3 million (2013: £10.2 million)

· EBITDA increased by 12.7% to £2.36 million (2013: £2.09 million)

· EBITDA margin increased to 20.8% (2013: 20.6%)

· Adjusted profit before tax increased by 13.9% to £2.2 million (2013: £1.9 million)

· Adjusted EPS increased by 12.2% to 8.38p (2013: 7.47p)



· Interim dividend increased by 50% to 2.25p per share (2013: 1.50p)



· Free cash flow increased by 29.1% to £2.2 million (2013: £1.7 million)

· Gearing down to 29% (2013: 38%)

· Net debt, after £2.1m acquisition payments, reduced by £0.7 million in the last 12 months to £3.2 million (2013: £3.9 million)



· Next generation services revenue increased by 29.0% to £3.0 million (2013: £2.4 million)



Business review

Total revenue increased by 11.3% through a combination of organic new contract wins, particularly in the public sector, and acquisitions. AdEPT is continuing to successfully make the transition from a traditional fixed line service provider to a complete communications integrator offering best of breed products from all major UK networks. Revenue from next generation services, including data connectivity, network solutions and cloud-based contact centre solutions increased by 29.0% to 26.8% of total revenue for the six months ended 30 September 2014 (September 2013: 23.2%). The demand for faster data connectivity speeds has continued and this is being achieved through a wider data connectivity service offering, including 10Gb, 40Gb and 100Gb Optical Spectrum Services (OSEA) data connectivity solutions under the Ja.Net framework for universities and colleges.



AdEPT has had continued success in the public sector space during the period winning a number of new contracts with councils within the public sector. Over the last 18 months AdEPT has been successful in gaining new contracts with more than 20 councils as a result of its various public sector framework agreements. In July 2014, the Company renewed the Ja.net framework agreement under which AdEPT is one of only a small number of companies approved to sell data connectivity and networks to UK universities and colleges. Shortly after the period end, in October 2014, the Eastern Shires Purchasing Organisation awarded AdEPT a two year extension to its sole supplier Telecom Framework to local government for calls, lines, broadband, super-fast broadband (fibre), data connectivity and SIP trunks. AdEPT is also an approved supplier under the Telephony Services Framework by Crown Commercial Service, the purchasing arm of the Cabinet Office. Approved supplier status under these framework agreements gives the Company authority to provide services to both local and central government bodies.



Financing

Free cash flow (cash generated from operations after interest) amounted to £2.2 million, representing an increase of 29.1% (September 2013: £1.7 million). £1.8 million of available funds was used to fund the initial cash consideration for the acquisition the issued share capital of Bluecherry Telecom Limited on 8 April 2014. These interim results include a full 6 month contribution from the acquisition of the entire issued share capital of Bluecherry Telecom Limited (further details are included in Note 6). In addition, a further £0.3 million was used to fund part of the deferred consideration in relation to the acquisition of certain trade and assets from Bluebell Telecom Limited which was announced on 6 August 2013.



Net debt and gearing

Net borrowings have been reduced by £0.7 million during the last 12 months, despite £2.1 million acquisition payments. Net borrowings at 30 September 2014 were £3.2 million (September 2013: £3.9 million).

This resulted in a reduction in gearing to 29% (September 2013: 38%).



Profit before and after tax

Adjusted profit before tax (adding back non-cash amortisation) increased by 13.9% to £2.2 million (September 2013: £1.9 million) arising entirely from the improved operating profit. Reported profit after tax increased by 11.9% to £0.8 million (2013: £0.7 million).



Earnings per share

Adjusted (basic) earnings per share has increased 12.2% to 8.38p for the six months ended 30 September 2014 (September 2013: 7.47p) as a result of the £0.27 million increase to EBITDA.



Dividends

The Directors have declared an interim dividend of 2.25p per Ordinary Share in respect of the year ending 31 March 2015, an increase of 50% over interim dividend for the comparative period (September 2013: 1.50p). This will absorb approximately £0.50 million of shareholders' funds (September 2013: £0.32 million). It is proposed by the Directors that this dividend will be paid on 10 April 2015 to shareholders who are on the register of members on the record date of 20 March 2015. Subject to the audited results for the year ending 31 March 2015, it is the intention of the Board to look to propose a final dividend with the March 2015 final results.



Strong free cash flow generation has continued since the end of the period, so there continues to be considerable scope for the Board to continue its progressive future dividend policy.



Outlook

This has been an excellent 6 months with improved results in all key areas. We continue to be highly cash generative and there is considerable scope for a progressive dividend policy whilst continuing to identify and integrate earnings-enhancing acquisitions.

AdEPT Telecom: WH Ireland moves target price from 170p to 185p, keeping its buy recommendation. Northland moves target price from 165p to 175p and maintains a buy recommendation.

AdEPT Telecom dials up the right numbers

By John Harrington

November 11 2014, 4:13pm
On the current share price of 125p, up 4.2% on the day at the time of writing, the projected FY2017 dividend puts the dividend yield at a meaty 5.2%.
On the current share price of 125p, up 4.2% on the day at the time of writing, the projected FY2017 dividend puts the dividend yield at a meaty 5.2%.


---ADDS BROKER COMMENT AND SHARE PRICE---

AdEPT Telecom (LON:ADT) has signalled strong confidence in the future by bumping up its interim dividend by 50%.

The results for the six months to 30 September revealed the half-year divi has been increased to 2.25p from 1.50p last year, on the back of a 12.7% increase in underlying earnings (EBITDA) to £2.4mln from £2.1mln last year.

The increase in underlying earnings extends the company’s enviable streak of increasing half-year EBITDA each year to 12.

Chairman Roger Wilson described the six-month period as an excellent one in which results improved in all key areas.

Adjusted profit before tax increased by 13.9% to £2.2mln from £1.9mln, while free cash flow jumped 29.1% to £2.2mln from £1.7mln.

“There’s no point generating profit if it does not turn into cash,” finance director John Swaite told Proactive Investors.

Net debt has come down by £0.7mln during the last 12 months to £3.2mln, despite the company spending £2.1mln on acquisitions.

Strong free cash flow generation has continued since the end of the reporting period and Swaite told Proactive Investors the company could probably be cash positive in 12 to 18 months, but with interest rates so low the company saw little point when it could earn a better return by acquiring businesses.

Total revenue in the period rose by 11.3% to £11.3mln from £10.2mln, helped by acquisitions but also as a result of new contract wins, an increasing proportion of which are coming from the public sector.

Revenue from next generation services, including data connectivity, network solutions and Cloud-based contact centre solutions increased by 29.0% to 26.8% of total revenue, while the proportion of revenue from old school phone calls is down to 26% of total revenue.

“Calls are a much smaller part of what we do now,” chief executive officer Ian Fishwick told Proactive Investors, adding that some of the pricing pressure in the sector is beginning to ease.

“Fixed lines into buildings are not going to disappear,” predicted Fishwick, but it is clear the company’s focus is increasingly moving to other areas.

“The public sector is increasingly important to us,” Fishwick said, noting that the government is keen to have a higher proportion of small to medium enterprises (SMEs) providing data connections to loosen the grips of the big beasts in the telecoms sector.

The company has bagged more than 20 council deals over the last 18 months and is present on three procurement frameworks; frameworks essentially identify approved government procurement organisations that government agencies can buy from, without having to go through the hassle of putting a contract out for tender, and so are much more significant than individual tenders.

“We are the SME that is leading that charge,” Fishwick declared.

AdEPT's nominated adviser (Nomad) said the results demonstrate good progress on a number of fronts.

A better than expected margin improvement has prompted the broker to upgrade its forecasts for the current financial year (FY15) and next (FY16), while it has introduced forecasts for the year to end-March 2017.

The company is now tipped to make an adjusted profit before tax of £4.2mln this year, up from £3.7mln last year; previously the broker had pencilled in a pre-tax profit figure of £3.9mln.

FY16 adjusted profit before tax is seen rising to £4.3mln (previous estimate: £3.9mln), while the new FY17 number is £4.4mln.

The interim dividend was also higher than Northland expected and it has upped its dividend forecasts by half a penny for the current year and next.

Northland reckons the full-year dividend this year will be 4.5p, and next year's divi will be 5.5p, and it is predicting the FY17 dividend will be 6.5p.

"The share price has failed to reflect the progress made and the potential for further growth both organically and through acquisition and the current discount to the peer group is unwarranted," the broker maintains.

It reiterated its 'buy' rating and upped its price target to 175p from 165p.

12 Nov Beaufort... N/A Speculative Buy
11 Nov WH Ireland... 185.00 Buy
11 Nov Northland... 175.00 Buy

AdEPT Telecom lands NHS Trust contract

By John Harrington

November 25 2014, 7:15am
AdEPT Telecom is one of the UK's leading independent providers of voice and data telecommunications solutions
AdEPT Telecom is one of the UK's leading independent providers of voice and data telecommunications solutions


AdEPT Telecom's (LON:ADT) expanding footprint in the public sector had widened further with the award of a new NHS Trust contract.

The initial contract term is for 12 months, and the value of the contract is expected to be in the region of £200,000.

"This contract award is significant as it is AdEPT's first NHS Trust customer contract to be awarded under one of AdEPT's public sector frameworks and forms part of the continuing focus of the company on public sector business," said Ian Fishwick, chief executive of AdEPT.

Fishwick has previously explained to Proactive Investors the significance of frameworks, which essentially identify approved government procurement organisations that government agencies can buy from, without having to go through the hassle of putting a contract out for tender.

AdEPT Telecom to buy back up to 15% of shares

By Philip Whiterow

December 18 2014, 4:42pm
The telecoms services provider can buy back up to 15% of its shares in issue through the scheme.
The telecoms services provider can buy back up to 15% of its shares in issue through the scheme.


AdEPT Telecom (LON:ADT) has launched a limited share buyback scheme just weeks after it raised its interim dividend by 50%.

The telecoms services provider can buy back up to 15% of its shares in issue through the scheme.

AdEPT’s underlying earnings rose by 13% in the half year to September to £2.4mln from £2.1mln. Its dividend hike was a reflection of strong cash flow and confidence in the future, it said then.

Shares today rose 6% to 146.2p, just shy of the high for the year.

19 Dec Northland... 175.00 Buy

AdEPT Telecom buyback highlights strong cash generations says broker

By Philip Whiterow

December 19 2014, 2:38pm
The telecoms services provider is to buy back up to 15% of its shares in issue through the scheme.



AdEPT Telecom’s (LON:ADT) share buyback plans highlight its low capex business model and strong working capital management, says broker Northland.

The telecoms services provider is to buy back up to 15% of its shares in issue through the scheme.

Northland added that AdEPT’s cash generation has been used already to reduce net debt, fund acquisitions and raise the dividend, though it expects the buybacks will be a very gradual process that will not impact the growth strategy.

Buy with a 175p price target remains the broker’s view.

Shares today were trading at 145.9p, up 2%

6 Jan Northland... 175.00

Trading Update
RNS
RNS Number : 3542J
AdEPT Telecom plc
07 April 2015

AdEPT Telecom PLC

("AdEPT" or the "Company")

Trading Update

AdEPT Telecom plc, one of the UK's leading independent providers of voice and data telecommunications solutions, today announces a trading update for the year ended 31 March 2015 (ahead of its final results which are expected to be announced in early July 2015).

· £1.4m (47%) reduction in net borrowings to £1.6m was £1.1m better than consensus market expectations

· EBITDA increase in line with market expectation of 14% rise year-on-year

· Board recommendation of an improved final dividend of 2.50p (2013: final 1.50p)

· Total dividends declared for the year of 4.75p represents an increase of 58% over the prior period

Trading performance

The Company is pleased to announce that it anticipates that underlying EBITDA will be ahead of the previous year and in line with the market consensus expectation of a 14% rise year-on-year. Adjusted* profit before tax is expected to be ahead of the prior year and in line with market consensus expectation. Turnover is expected to be nearly 6% ahead of the previous year but slightly below market expectations.

* adjusted for amortisation and share option costs

Cash flow and net debt

The reduction in net borrowings in the year of £1.4m (47%) was significantly ahead of market expectations being reduced to £1.6m as at 31 March 2015. AdEPT continues to generate consistently strong free cash flow. This reduction in debt is after payment of (i) £0.36m deferred consideration for the acquisition of customer contracts from Bluebell Telecom Limited, (ii) £1.78m initial consideration for the acquisition of Bluecherry Telecom Limited and (iii) a 108 per cent. increase in dividends paid.

Dividends

AdEPT announced an interim dividend of 2.25p per share in its September 2014 interim statement, which will be paid to shareholders on 10 April 2015. The Board today announces that as a result of strong free cash flow it recommends an improved final dividend of 2.50p (2013: 1.50p) per Ordinary Share which, subject to Shareholder approval at the Annual General Meeting later in the year, will be paid in October 2015. Total dividends declared during the year ended 31 March 2015 of 4.75p per Ordinary Share represent a 58 per cent. increase year-on-year (2013: 3.00p).

7 Apr Northland... 175.00 Buy

AdEPT Telecom gains more firepower with improved banking facility

By John Harrington

April 22 2015, 4:54pm
Roger Wilson, chairman of AdEPT Telecom plc, said:'The new bank facility will enable the company to continue with its strategy of consolidation of the fragmented fixed line telecom market in the UK.'
Roger Wilson, chairman of AdEPT Telecom plc, said:"The new bank facility will enable the company to continue with its strategy of consolidation of the fragmented fixed line telecom market in the UK."


Acquisitive telecoms firm AdEPT Telecom (LON:ADT) has sewn-up a new improved banking facility that will fuel its acquisition growth strategy.

The new £15mln revolving credit facility will be in place for five years and replaces the previous £5mln arrangement, which had 18 months to run.

The new increased debt facility will be used by the company to fund the strategic acquisition of businesses within the fragmented fixed line telecom market.

Roger Wilson, chairman of AdEPT Telecom, said:" We continue to identify earnings enhancing acquisition opportunities, and the increased scale and structure of this new debt facility will provide greater flexibility and support for future growth."

Shares in Adept closed at 175p, up 5p on the day.

UPDATE - AdEPT Telecom to acquire rival in earnings enhancing deal worth up to £10.5mln

By Ian Lyall

May 01 2015, 3:45pm
AdEPT reckons the two firms have a well matched customer base and complementary product set with little overlap.
AdEPT reckons the two firms have a well matched customer base and complementary product set with little overlap.


---ADDS BROKER COMMENT AND SHARE PRICE---

Shares in AdEPT Telecom (LON:ADT) rose almost 5% after it said it is acquiring rival voice and data group Centrix for up to £10.5mln.

It is expected that Centrix, which supplies Avaya phone systems to business, will be immediately earnings enhancing.

Analysts said it AdEPT had “secured a keen deal” that values Centrix at just over a year’s revenues.

It will hand over an initial £7mln, with up to a further £3.5mln paid dependent on the newly purchased business’s ongoing financial performance.

Last year Centrix turned over £8.75mln, generating a pre-tax profit of £2.26mln.

Around 80% of those revenues are recurring given the firm’s long-term relationships with medium-sized and large companies.

AdEPT reckons the two firms have a well-matched customer base and complementary product set with little overlap.

“Centrix is an excellent fit because, like AdEPT, it is asset-light, complements and builds upon AdEPT's existing expertise and skills, and further extends its offering in the unified communications space,” said AdEPT chief executive Ian Fishwick.

“Centrix has a high level of recurring revenue and offers a well-developed customer base with long term relationships across a range of medium and large enterprises, including the related vertical markets of public sector and healthcare.”

The shares rose almost 6.2% to 184.3p, valuing the business at just over £40mln.

According to the broker Northland Capital, the purchase will be funded from the recently agreed £15mln debt facility.

It reckons AdEPT has “headroom for further accretive acquisitions in the fragmented reseller market.”

Analyst David Johnson added: “The Centrix acquisition represents a significant step in AdEPT’s stated strategy of increasing its proportion of larger customers, expanding its public sector presence and reducing its reliance on calls and line rental.

“Centrix also brings long term relationships with Avaya and Medusa with the scope for system sales.

“Centrix is a long established and highly profitable business and AdEPT’s management has secured a keen deal.”

He has raised his revenue forecast by 25% and EBITDA by 22%. Johnson has also increased his price target from 175p a share to 210p.

6 May Northland... 210.00 Buy

StockMarketWire.com
AdEPT Telecom posts pre-tax profits of £2.1m for the year the end of March - 15.8% up on last time.

The group reports its 12th consecutive year of increased underlying EBITDA - up 13.5% at £4.6m - on margins of 20.8%, up from 19.4% last time.Revenue increased by 5.8% to £22.1m and the total dividend of 4.75p per share (interim 2.25p, final 2.50p) is up from 3.00p in 2014.

Chairman Roger Wilson said: "AdEPT has delivered its 12th consecutive year of increased EBITDA and continues to deliver consistently free cash flow generation. The Company achieved a significant reduction to net borrowings despite undertaking an acquisition during the year. The continued strong cash generation has funded a 58% increase to dividends declared during the year and the Board is confident that continued focus on underlying profitability and strong cash generation will support a progressive dividend policy.

"Organically the Company has strengthened its position during the year through successfully renewing and leveraging its various frameworks to increase the scale of its public sector customer base. The new larger debt facility put in place after the year end has been partially used by the Company to complete a further acquisition in May 2015, which enables the Company to extend its product portfolio to include specialist unified communications."

Adept Telecom PLC (ADT:LSE) set a new 52-week high during Wednesday's trading session when it reached 230.00. Over this period, the share price is up 99.59%.

The motley fool - Telecoms success

For a really stunning rise, we only need to look at AdEPT Telecom (LSE: ADT). Its shares have doubled over the course of a year to 249p, which is good enough on its own — but they’ve 12-bagged in five years!

AdEPT provides business telecommunications services, and it’s a strategy that has paid off in the form of double-digit earnings growth every year for five years in a row and with the same forecast this year. At the same time, the dividend yield has gone from nothing in 2010 to 3.4% last year. The big question is when that growth is going to slow, especially as this is a small company in a very big market — and EPS growth for 2017 is currently forecast at only 2%.

At market-average P/E ratings the shares don’t look overpriced, but for me the rapid price growth is in the past now.

Award of Framework Agreement
RNS
RNS Number : 2420V
AdEPT Telecom plc
06 August 2015





AdEPT Telecom Plc

("AdEPT" or the "Company")

AdEPT Telecom awarded Network Services framework agreement



AdEPT Telecom plc is pleased to announce that it has been awarded a Network Services framework agreement by the Crown Commercial Service, the procurement arm of central government. The agreement covers Data Access services, Traditional Telephony services, IP Telephony services and Integrated Communications. The agreement is initially for 2 years with the option to extend for a further 2 years.

Ian Fishwick, Chief Executive said: "In May 2015 we announced that the acquisition of Centrix had given us an increased range of products and skills, in particular in IP Telephony and Unified Communications. Whilst winning a Crown Commercial Services Network Services framework agreement is no guarantee that we will win future Public Sector contracts, the important point is that we are now formally approved to be able to offer these services to Public Sector bodies across the UK. Our plans to offer a wider range of products to the Public Sector are proceeding well."

adept-telecom-ceo-eyes-more-public-sector-contracts.

Half Yearly Report
RNS
RNS Number : 0278F
AdEPT Telecom plc
10 November 2015



AdEPT Telecom plc



("AdEPT" or the "Company")



Interim results for the 6 months ended 30 September 2015



AdEPT, one of the UK's leading independent communications integrator and managed service providers, announces its results for the 6 months ended 30 September 2015.



Highlights



· Total revenue increased by 22.8% to £13.9 million (2014: £11.3 million)

· EBITDA increased by 24.8% to £2.9 million (2014: £2.4 million)

· EBITDA margin increased to 21.1% (2014: 20.8%)

· Adjusted profit before tax increased by 19.7% to £2.6 million (2014: £2.2 million)

· Adjusted EPS increased by 23.1% to 10.32p (2014: 8.38p)



· Interim dividend increased by 33.3% to 3.00p per share (2014: 2.25p)



· Operating cash flow before tax of £2.5 million (2014: £2.3 million)



· New £15 million Revolving Credit Facility with Barclays completed in April 2015

· Acquisition of Centrix Limited completed on 1 May 2015

· Net debt, after £7.2 million acquisition payments, of £7.6 million (2014: £3.2 million)



· Managed services revenue increased by 88.7% to £5.7 million (2014: £3.0 million)



Business review

Total revenue increased by 22.8% to £13.9 million with the increase being a reflection of the 5 month revenue contribution from Centrix Limited ("Centrix") following the completion of the acquisition on 1 May 2015. Centrix is a UK based specialist provider of complex unified communications, Avaya IP telephony, hosted IP solutions and managed services. With over 300 Avaya solutions in the UK and across the world Centrix has one of the largest customer bases backed by specialist knowledge of the Avaya Aura solution in particular, which has extended the Group's ability to provide a complete unified communications solution.



AdEPT has had continued success in the public sector and healthcare space during the period winning a number of new contracts with councils and other public sector bodies. Over the last 24 months AdEPT has been successful in gaining new contracts with public sector and healthcare organisations as a result of its various framework agreements. This has seen an increase to 28 councils from 18 in the comparative period. The acquisition of Centrix provided a complementary customer focus both in terms of size and sector. The continued targeting of larger contracts has seen the Premier Customer division now accounting for just over 70% of total revenue at 30 September 2015 (2014: 55%). The public and healthcare sector customer base has been extended and now accounts for 24.3% of total revenue at 30 September 2015 (2014: 13.3%).



In July 2015 AdEPT was awarded approved supplier status under the RM1045 Network Services Framework by the Crown Commercial Service and AdEPT has already been successful in winning new public sector customers under this framework by utilising its extended product portfolio acquired with Centrix. The Company holds additional framework agreements, including the Ja.Net framework agreement under which AdEPT is one of only a small number of companies approved to sell data connectivity and networks to UK universities and colleges, the Eastern Shires Purchasing Organisation sole supplier Telecom Framework to local government and charities for calls, lines, broadband, super-fast broadband (fibre), data connectivity and SIP trunks, and the G-Cloud 6 RM1557vi framework with Crown Commercial Service. Approved supplier status under these framework agreements gives the Company authority to provide services to both local and central government bodies.



In September 2015 Centrix was recognised by being awarded Avaya Partner in Customer Excellence based on independent customer feedback. Subsequently, in October 2015 Centrix was awarded Avaya Certified Gold Partner status, recognising the ability of the Company to deliver leading-edge and world-class communications solutions and support.



AdEPT continues to successfully make the transition from a traditional fixed line service provider to a complete communications integrator offering best of breed products from all major UK networks. Revenue from managed services, including data connectivity, hardware and cloud-based contact centre solutions, increased by 88.7% now accounting for 41.2% of total revenue for the six months ended 30 September 2015 (September 2014: 26.8%). The demand for faster data connectivity speeds continues, and this is being met through a wider data connectivity service offering, including up to 10Gb Optical Spectrum Services (OSA) data connectivity being provided to customers solutions under the Ja.Net framework for universities and colleges.



Financing and cash flow

Cash generated from operating activities before tax increased by 10.3% to £2.5 million (September 2014: £2.3 million), which equates to 99.2% reported EBITDA conversion (after £0.39m one-off acquisition fees). £0.6 million corporation tax instalments were paid during the period ended 30 September 2015 compared to £nil in the comparative period, due to a combination of share option relief and the timing of the instalment payments in the prior period.

Dividends paid in the period absorbed £0.5 million of funds (September 2014: £0.3 million), which is a reflection of the progressive dividend policy of the Company. The Company operates a capex-light model but after 12 years of operation, to ensure that the billing system remains fully supported, £0.2 million has been spent on essential upgrades during the period ended 30 September 2015.



£7.0 million of available funds (net of cash acquired) was used to fund the initial cash consideration for the acquisition of the entire issued share capital of Centrix on 1 May 2015. The interim results for the current period include a 5 month contribution from Centrix, further details of which are included in Note 6. £0.2 million was used to fund the deferred consideration in relation to the acquisition of the entire issued share capital of Bluecherry Telecom Limited on 1 April 2014.



Net debt and bank facilities

A new £15 million Revolving Credit Facility was agreed with Barclays Bank plc on 22 April 2015, part of which was used to fund the initial cash consideration for the acquisition of Centrix. The flexible structure of the new agreement has resulted in a facility which is larger, cheaper and of longer duration than the previous arrangement. The remaining debt facility will be used by the Company to fund the strategic acquisition of earnings-enhancing businesses within the fragmented telecoms and managed services market.

Net borrowings have been increased to £7.6 million at 30 September 2015 largely as a result of £7.2 million acquisition payments. Increased net borrowings following the acquisition resulted in increased gearing to 61% (September 2014: 29%). Net Debt:EBITDA (annualised) ratio remains low at 1.3x at 30 September 2015.



Profit before and after tax

Adjusted profit before tax (adding back non-cash amortisation and one-off acquisition related fees) increased by 19.7% to £2.6 million (September 2014: £2.2 million) arising entirely from the improved underlying operating profit. Reported profit before tax increased by 4.1% to £1.2 million (2014: £1.1 million) and reported profit after tax increased by 8.1% to £0.8 million (2014: £0.8 million).



Earnings per share

Adjusted (basic) earnings per share has increased 23.1% to 10.32p for the six months ended 30 September 2015 (September 2014: 8.38p) as a result of the £0.45 million increase to underlying EBITDA.



Dividends

The Directors have declared an interim dividend of 3.00p per Ordinary Share in respect of the period ended 30 September 2015, an increase of 33.3% over the interim dividend for the comparative period (September 2014: 2.25p). This will absorb approximately £0.67 million of shareholders' funds (September 2014: £0.50 million). It is proposed by the Directors that this dividend will be paid on 8 April 2016 to shareholders who are on the register of members on the record date of 18 March 2016. Subject to the audited results for the year ending 31 March 2016, it is the intention of the Board to propose a final dividend with the March 2016 final results.



Strong free cash flow generation has continued since the end of the period, and there continues to be considerable scope for the Board to continue its progressive future dividend policy.



Director change

The Company announces that after more than 10 years with AdEPT its Sales Director, Joe Murphy, has decided to pursue other opportunities. Joe was instrumental in the development of the partner sales channel for the Company, and the Board would like to take this opportunity to thank Joe for his valuable contribution to AdEPT. Joe will leave the Company with effect from 20 November 2015 with our best wishes for the future.



Outlook

This has been an excellent 6 months with improved results in all key areas and an extremely positive contribution from the Centrix acquisition. We continue to be highly cash generative with adequate debt facilities in place to enable to Board to continue to identify earnings-enhancing acquisitions whilst retaining scope for a progressive dividend policy.



Roger Wilson

Chairman

10 November 2015

10 Nov Northland... 285.00 Buy

wh-ireland-ups-forecasts-on-adept-telecom-after-strong-half-year-result

Comms Dealer.

Adept Telecom achieves fastest rising telecom share price on LSE

5 January, 2016 - 09:26


Adept Telecom's strong performance last year drove the fastest rising telecom share price on the London Stock Exchange in 2015 at +101.75%, followed by Gamma with +84.47% and KCom at +35.83% (source: Bloomberg 1st January 2016).

"We'd like to say a huge thank you to our investors for their support and also to everyone who has worked for us, or with us, to achieve the results that have underpinned this share price performance," said Adept's CEO Ian Fishwick.

Manx Telecom was ranked fourth with +26.56%, followed by BT at +20.23% and Maintel with +16.67%.

"All other telecom companies on the London Stock Exchange fell in value over the year," added Fishwick.

Trading Update

RNS


RNS Number : 1117U

AdEPT Telecom plc

05 April 2016




AdEPT Telecom PLC

("AdEPT" or the "Company")



Trading Update

AdEPT Telecom plc, one of the UK's leading independent providers of voice, data and unified telecommunications solutions, today announces a trading update for the year ended 31 March 2016 (ahead of its final results which are expected to be announced in early July 2016).

· Net borrowings of £6.2m were £0.8m lower than consensus market expectations

· Underlying EBITDA increase of around 33% will be ahead of market expectation of a 30% rise year-on-year

· Board recommendation of an increased final dividend of 3.50p (2015: final 2.50p)

· Total dividends for the year of 6.50p represents an increase of 37% over the prior period

Trading performance

The Company is pleased to announce that it anticipates that underlying EBITDA of around £6.15m will be around 33% ahead of the previous year (ahead of the market consensus expectation of a 30% rise year-on-year). Turnover is expected to be approximately 30% ahead of the previous year and above market consensus expectation.

Cash flow and net debt

Net borrowings reduction was £0.8m better than market expectations being reduced to £6.2m as at 31 March 2016. AdEPT continues to generate consistently strong free cash flow. This improved performance in debt reduction is after payment of (i) £7.0m initial consideration for the acquisition of Centrix Limited, (ii) £0.2m deferred consideration for the acquisition of Bluecherry Telecom Limited and (iii) a £0.4m increase in dividends paid in the year.

Dividends

AdEPT announced an interim dividend of 3.00p per share in its September 2015 interim statement, which will be paid to shareholders on 8 April 2016. The Board today announces that as a result of strong free cash flow and trading results it recommends an increased final dividend of 3.50p (2014: 2.50p) per Ordinary Share which, subject to Shareholder approval at the Annual General Meeting later in the year, will be paid in October 2016. Total dividends for the year ended 31 March 2016 of 6.50p per Ordinary Share represent a 37 % increase year-on-year (2015: 4.75p).

5 Apr Northland... 300.00

Acquisition

RNS


RNS Number : 7087X

AdEPT Telecom plc

10 May 2016




AdEPT Telecom plc

("AdEPT" or the "Company")



Acquisition of Comms Group UK Limited



The Board of AdEPT, one of the UK's leading independent providers of unified telecommunications solutions, today announces it has signed an agreement with effect from 1 May 2016 to acquire the entire issued share capital of Comms Group UK Limited ("Comms Group"), a well-established UK based specialist provider of unified communications, Avaya IP telephony, hosted IP solutions, IT and managed services.



Acquisition highlights:

· Initial consideration of £3.5m plus the surplus cash balance of Comms Group at completion

· Expected to be immediately earnings enhancing

· Long term relationships with SME customers

· Highly complementary product set

· Asset-light strategy

· Highly experienced senior management team to remain with Comms Group



Strategic rationale

Comms Group offers its clients the delivery of unified communications and managed service solutions specialising in the Avaya IP Office product, which is highly complementary to the existing specialism of AdEPT's Fleet office in the Avaya Aura product. The addition of a skilled team of Avaya IP Office experts, together with an experienced IT Installation and Support team, extends AdEPT's capability and enables it to address the whole market from small through to very large enterprise customers.



AdEPT and Comms Group have each adopted capital asset-light strategies and are dedicated to offering a full suite of flexible data and unified communication solutions.



Information on Comms Group

Comms Group was established in June 2008 by Matt Tarry and Paul Simmons. The company employs 25 people at its Northampton offices and is accredited by Avaya, Cisco and Gamma, supporting customers across the UK. Clients range from major, well known organisations to regional and local businesses, service organisations, entrepreneurs and online businesses in the public and private sectors.



Comms Group offers particular expertise in the provision, support and maintenance of Avaya IP Office product. Comms Group is recognised as a Partner in Customer Excellence by Avaya, its engineering team having achieved SME Expert status together with outstanding independent Customer Satisfaction survey results. In addition, Comms Group is a market leading provider of new and refurbished telecom hardware, providing a supply channel for customers to purchase new and high quality pre-owned equipment at an attractive price point backed up by a comprehensive warranty. At its Northampton offices, Comms Group holds stock from leading manufacturers including Avaya, Mitel, Cisco, Plantronics and Polycom which is used to fulfill direct and online sales orders.



Comms Group has an experienced team of IT professionals which are accredited with Microsoft, Cisco, GFI and Fujitsu in relation to IT services. It provides installation, maintenance and support for customer of all sizes, from a single PC to a virtual cluster, offering pro-active services which allow remote monitoring of customers IT equipment and remotely managed anti-virus software and mail services.



Comms Group will retain its current presence and customer service operation in Northampton. The vendors of Comms Group are to be retained in their current roles within the business for a period of at least 12 months post-completion.



The last filed accounts of Comms Group for the year ended 31 March 2015 reported revenue, operating profit and profit before tax of £3.3 million, £0.5 million and £0.4m respectively. Capital expenditure in the year ended 31 March 2015 was insignificant. Net and gross assets at that date were £1.2 million and £1.8 million respectively.



The trading performance of Comms Group for the year ended 31 March 2016 was ahead of the historic results with the unaudited management accounts of Comms Group showing revenue and operating profit of approximately £3.7 million and £0.8 million respectively.



Consideration

Initial consideration of £3.5 million plus the surplus cash balance of Comms Group at completion is payable in cash. Further consideration of up to a maximum of £3.5 million in cash is payable dependent upon the trading performance of Comms Group post-completion. The total consideration will be funded out of AdEPT's existing bank facilities provided by Barclays.



Ian Fishwick, Chief Executive of AdEPT, commented:

"We are delighted to have acquired such a high quality and profitable business with a strong committed management team. Comms Group is an excellent fit because, like AdEPT, it is asset-light, complements and builds upon AdEPT's existing expertise and skills, particularly within the Avaya product set, and further extends its offering in the unified communications space through the addition of IT services. Following the acquisition, AdEPT is now in a position to provide a complete unified communications offering which can address the whole of the market, from small customers right through to very large enterprise clients. Comms Group has a well-developed customer base with long term relationships across a range of customers. The acquisition is expected to be earnings enhancing from completion."

09:40 10/05/2016
Broker Forecast - Northland Capital issues a broker note on AdEPT Telecom PLC

Northland Capital today reaffirms its buy investment rating on AdEPT Telecom PLC (LON:ADT) and raised its price target to 310p (from 300p). Story provided by StockMarketWire.com

Final Results

RNS


RNS Number : 2128D

AdEPT Telecom plc

05 July 2016




AdEPT Telecom plc

("AdEPT", the "Company" or together with its subsidiaries the "Group")

Final results for the year ended 31 March 2016

AdEPT (AIM: ADT), a leading UK independent provider of award-winning telecommunications services for business-to-business communications, announces its results for the year ended 31 March 2016.

Financial highlights

· 13th consecutive year of increased underlying EBITDA up 34.0% to £6.15m (2015: £4.59m)

· Revenue increased by 30.8% to £28.9m (2015: £22.1m)

· Underlying EBITDA margin % increased by 0.5% to 21.3% (2015: 20.8%)

· 28.7% increase to profit before tax to £2.8m (2015: £2.1m)

· 28.0% increase to profit after tax to £2.0m (2015: £1.5m)

· 27.2% increase to basic earnings per share of 8.78p (2015: 6.90p)

· 24.2% increase to adjusted earnings per share of 19.57p (2015: 15.76p)

· 36.8% increase to dividends declared to 6.50p (Interim 3.00p, Final 3.50p) (2015: 4.75p)

· Year-end net debt* of £6.0m (2015: £1.5m)

Operational highlights

· Managed services accounted for 44.3% of total revenue (2015: 27.4%)

· Acquisition of entire issued share capital of Centrix Limited completed in May 2015

· Acquisition of entire issued share capital of Comms Group UK Limited completed in May 2016



* Net debt is defined as cash and cash equivalents less short-term and long-term borrowings



Commenting upon these results Chairman Roger Wilson said:

"AdEPT has delivered its 13th consecutive year of increased underlying EBITDA through a combination of strategic acquisition and organic contract wins and the Group continues to deliver consistently high levels of free cash flow generation. The continued strong cash generation has funded a 37% increase to dividends declared during the year and the Board is confident that continued focus on underlying profitability and cash generation will support a progressive dividend policy.

Organically the Company has strengthened its position during the year through successfully gaining approved status on further public sector frameworks, which have been leveraged to increase the scale of its public and healthcare sector customer base. The new larger debt facility put in place in April 2015 was partially used by the Company to complete the acquisition of Centrix Limited in May 2015, which has been complemented by a further acquisition of another unified communications provider, Comms Group UK Limited post year end in May 2016. The Company has continued its transition towards a complete managed service provider, with revenue from managed services accounting for more than 44% of the total in the year ended 31 March 2016."



This announcement contains inside information for the purposes of Article 7 of Regulation 596/2014

Director/PDMR Shareholding

RNS


RNS Number : 8755E

AdEPT Telecom plc

21 July 2016




AdEPT Telecom plc

("AdEPT" or the "Company")



Director/PDMR shareholding



AdEPT (AIM: ADT), one of the UK's leading independent communications integrators and managed service providers, today announces that Richard Burbage, Unified Communications Director, has purchased 125,000 shares at 240p per share.



Following the purchase, Richard Burbage is now interested in 125,000 ordinary shares (representing 0.56 per cent. of the issued ordinary share capital).

Half Yearly Report
RNS
RNS Number : 1261P
AdEPT Telecom plc
15 November 2016
 
AdEPT Telecom plc
 
("AdEPT" or the "Company")
 
Interim results for the 6 months ended 30 September 2016
 
AdEPT, one of the UK's leading independent communications integrator and managed service providers, announces its unaudited results for the 6 months ended 30 September 2016.
 
Highlights
Revenue and EBITDA
·      Total revenue increased by 19% to £16.5 million (2015: £13.9 million)
·      EBITDA increased by 20% to £3.5 million (2015: £2.9 million)
·      EBITDA margin increased to 21.4% (2015: 21.1%)
 
·      Managed service revenue accounted for 53% of total revenue (2015: 41%)
·      Managed services revenue increased by 53% to £8.8 million (2015: £5.7 million)
 
EPS and Dividends
·      Adjusted EPS increased by 12% to 11.1p (2015: 9.9p)
·      Interim dividend increased by 25% to 3.75p per share (2015: 3.00p)
 
Cash Flow and Debt
·      Operating cash flow before tax of £3.2 million (2015: £2.5 million)
·      Reported EBITDA to pre-tax cash from operating activities 98.9% (2015: 89.8%)
·      Net debt of £10.8 million (2015: £7.6 million), after £6.6 million acquisition payments
 
Acquisitions
·      Acquisition of Comms Group UK Limited completed in May 2016
·      Comms Groups UK Limited 5 month revenue contribution equating to 12% of revenue increase
·      Acquisition of CAT Communications Limited completed post period end in November 2016
 
Business review
Total revenue increased by 19% to £16.5 million with the increase being a reflection of the 5 month revenue contribution from Comms Group UK Limited ("Comms") following the completion of the acquisition in May 2016.  Comms is a UK based specialist provider of unified communications, Avaya IP telephony, hosted IP solutions, IT and managed services, which is an increasing requisite for AdEPT's existing and targeted enterprise and public sector customer base. Comm's technical skills and product set complement and enhance AdEPT's existing services, particularly in the Fleet office.  Comms is an Avaya specialist and the acquisition has enabled AdEPT to offer a complete suite of unified communications products and services to customers of all sizes, from small retail through to large enterprise customers.  Comms contributed 12% of the revenue increase in the interim period, which is in line with the expectation set at the date of acquisition.
 
AdEPT has had continued success in the public sector and healthcare space during the period, winning a number of new contracts with councils and other public sector bodies.  Over the last 36 months, AdEPT has been successful in gaining new contracts with public sector and healthcare organisations as a result of its various framework agreements. This has seen an increase in contracts with 40 councils at the end of the interim period from 28 as at 30 September 2015. The acquisition of Centrix provided a complementary customer focus both in terms of size and sector.  The Comms customer base was primarily small enterprise customers; however the continued targeting of larger contracts at Fleet and Tunbridge Wells has maintained the Premier Customer division (customers spending more than £5,000 per annum) proportion across the Group.  The Premier Customer division accounted for 72% of total recurring revenue at 30 September 2016 which is in line with the prior period (September 2015: 70%).  The contract success through AdEPT's frameworks resulted in the public and healthcare sector customer base being extended and accounted for 29% of total revenue at 30 September 2016 (September 2015: 24%).
 
AdEPT continues to transition successfully from a traditional fixed line service provider to a complete communications integrator offering best of breed products from all major UK networks.  Revenue from managed services, including data connectivity, hardware and cloud-based contact centre solutions, increased by 53% to £8.8 million and accounted for 53% of total revenue for the six months ended 30 September 2016 (September 2015: 41%).
 
Financing and cash flow
Cash generated from operating activities before tax increased by 39.5% to £3.2 million (September 2015: £2.3 million), which equates to a 98.9% reported EBITDA conversion (after £0.3 million acquisition fees).  This increase is driven by the improved profit before tax whilst maintaining working capital terms and therefore driving high cash flow conversion.
 
Dividends paid in the period absorbed £0.7 million of funds (September 2015: £0.5 million), which is a reflection of the progressive dividend policy of the Board. The Company operates a capex-light model and therefore capital expenditure was low at 0.6% of revenue.
 
£3.6 million of available funds (net of cash acquired) was used to fund the initial cash consideration for the acquisition of the entire issued share capital of Comms on 1 May 2016.  The interim results for the current period include a 5 month contribution from Comms, further details of which are included in Note 6.  Deferred consideration of £3.0 million in respect of the Centrix acquisition (in May 2015) was paid during the period, with no further amounts due.
 
Net borrowings have increased to £10.8 million at 30 September 2016, largely as a result of the £6.5 million acquisition payments.  Net Debt:EBITDA (annualised) ratio remained low at 1.5x at 30 September 2016.
 
Post-balance sheet events
On 1 November 2016 the Company acquired the entire issued share capital of CAT Communications Limited and Progressive Communications Limited (together referred to as 'CAT') for an initial consideration of £1.05m less the net debt of CAT at completion (approximately £0.07m), payable in cash. Further contingent consideration of between £0.2m and £0.95m will be payable, also in cash, dependent upon the performance of CAT post-acquisition.
 
CAT, based in Pewsey, Wiltshire, is a well-established UK-based specialist provider of unified communications, Avaya IP telephony, hosted IP solutions and managed services. CAT offers the delivery of complex unified communications, managed service solutions and specialist inbound call centre management to its customer base across the UK, and further supporting customers with global deployment planning and solutionsin Europe. The support function of the CAT customer base is to be transferred and integrated into AdEPT's existing site in Fleet. CAT has a high level of recurring revenue and offers a well-developed customer base with which it enjoys long term relationships.  The Board believes that the CAT technical skills and product set, particularly in relation to Avaya Aura, will complement and enhance AdEPT's existing services already being provided from the Fleet office.  The acquisition is expected to be earnings accretive from completion.
 
The last filed accounts of CAT for the year ended 31 March 2015 reported turnover, operating profit and profit before tax of £1.3m, £0.3m and £0.3m respectively. Capital expenditure in the year ended 31 March 2015 was insignificant. Net and gross assets at that date were £0.2m and £0.7m respectively. Acquisition related costs of approximately £0.1m will be recognised as an expense in the statement of comprehensive income for the year ending 31 March 2017.
 
Profit before and after tax and earnings per share
Reported profit before tax increased by 26% to £1.5 million (2015: £1.2 million) and reported profit after tax increased by 23% to £1.0 million (2015: £0.8 million).  Both of these increases are a reflection of the improved operating profit over the prior period, less the movement in interest charges and tax liability respectively.
 
Adjusted (basic) earnings per share has increased 12% to 11.1p for the six months ended 30 September 2016 (September 2015: 9.9p) as a result of the £0.6 million increase to underlying EBITDA, less the additional tax liability.
 
Dividends
The Directors have declared an interim dividend of 3.75p per Ordinary Share in respect of the period ended 30 September 2016, an increase of 25% over the interim dividend for the comparative period (September 2015: 3.00p).  This will absorb approximately £0.8 million of shareholders' funds (September 2015: £0.5 million).  It is proposed by the Directors that this dividend will be paid on 7 April 2017 to shareholders who are on the register of members on the record date of 17 March 2017.  Subject to the audited results for the year ending 31 March 2017, it is the intention of the Board to propose a final dividend with the March 2017 final results.
 
Dividend cover for the interim period was 3.0x (September 2015: 3.3x).  Strong free cash flow generation has continued since the end of the period, and there continues to be considerable scope for the Board to continue its progressive dividend policy.
 
Outlook
This has been another excellent 6 months with completion of an earnings enhancing acquisition during the period. Improved results in all key areas have been achieved from the underlying business combined with a positive contribution from the Comms acquisition completed in the period.  Since the end of the interim period, the completion of the CAT Communications acquisition is expected to be earnings accretive from the date of completion and complements the existing skill set of the Fleet office to support enterprise customers.  We continue to be highly cash generative with adequate debt facilities in place to enable the Board to continue to identify earnings-enhancing acquisitions whilst retaining scope for a progressive dividend policy.
 
Roger Wilson
Chairman
14 November 2016

15 Nov
Northland...
310.00
Buy

New �30 million Banking Facility and Acquisition

RNS


RNS Number : 9284V

AdEPT Telecom plc

03 February 2017




AdEPT Telecom Plc



("AdEPT" or the "Company")

New £30m Banking Facility and Acquisition

NEW BANK FACILITY



· New £30 million 5 year debt facility

· Facility structure with increased flexibility

· Increased capacity to support acquisition growth strategy



AdEPT Telecom, one of the UK's leading independent providers of unified communications solutions, today announces that it has signed a £30 million 5 year revolving credit facility agreement.



The new larger facility is to be provided by Barclays Bank Plc ("Barclays") and The Royal Bank of Scotland Plc ("RBS) on an equal basis and will be used by the Company to fund the strategic acquisition of businesses to leverage benefits from increased scale and a wider product set.



Following the successful execution of the Company's acquisition strategy the Company had outgrown the previous £15 million revolving credit facility, provided by Barclays, relative to the profitability of the Company. The new syndicated debt facility provides increased scale and has a more flexible structure when compared to the Company's previous debt facility agreement.



Roger Wilson, Chairman of AdEPT, commented:

"We are delighted to have obtained the support of the team at RBS to work alongside our existing debt provider, Barclays, and provide a larger syndicated debt facility. This new bank facility provides the Company with a larger and more flexible structure to enable the Company continue with its strategy of acquiring earnings enhancing businesses for future growth."



ACQUISITION OF OUR IT DEPARTMENT LIMITED

The Board of AdEPT also announces that it has signed an agreement with effect from 1 February 2017 to acquire the entire issued share capital of Our IT Department Limited ("OurIT") and its trading subsidiary called Brightvisions Limited ("Brightvisions"), (together referred to as "OurIT Group") both well-established UK based specialist providers of IT Services.



Acquisition highlights

· Initial consideration of £4.75m less the net debt plus working capital of OurIT Group at 31 January 2017

· Expected to be earnings enhancing from completion

· AdEPT group revenue run rate anticipated to increase by approximately 15%

· Long term relationships with medium to large enterprise customers

· Highly complementary product set for telecommunication and IT convergence

· Well-matched customer base with London and South-East focus

· Asset-light strategy

· Highly experienced senior management team to remain with OurIT



Strategic rationale

OurIT Group offers its clients the delivery of outsourced IT services and managed service solutions. The convergence of telecommunications and IT is an increasing requirement for AdEPT's existing and targeted enterprise and public sector customer base. The highly skilled team and product set at OurIT Group will complement and enhance AdEPT's existing services, allowing AdEPT to provide a full managed service to customers, incorporating unified communications and IT.



AdEPT and OurIT Group have both adopted capital asset light strategies which are highly cash generative and are dedicated to offering a full suite of flexible IT, data and unified communication strategies.



Information on OurIT

OurIT, founded in 1993, is is a highly accredited IT services provider with over 20 years' experience, offering award winning 24 hour IT support services and technology solutions. OurIT and Brightvisions have a directly employed team of highly skilled certified professionals, including Microsoft Gold Partner and Business Specialist, Apple Specialist, Cisco Certified Partner, Dell Preferred Partner, and is focused on providing outsourced IT services to customers in London and the South East.



OurIT operates from premises in Chingford, East London and Bevis Marks. Brightvisions is based in St Neots, near Cambridge. OurIT and Brightvisions will retain their current presence and customer service operations in Chingford, Bevis Marks and St Neots. The vendor of OurIT Group is to be retained in his current capacity within the business for a period of at least 12 months post-acquisition.



The statutory accounts of OurIT for the year ended 31 December 2015 reported turnover, operating profit and profit before tax of £3.71 million, £0.286 million and £0.259m respectively. Capital expenditure in the year ended 31 December 2015 was insignificant. Net and gross assets at that date were £0.49 million and £1.07 million respectively.



The statutory accounts of Brightvisions for the year ended 31 December 2015 reported turnover, operating profit and profit before tax of £1.46 million, £0.165 million and £0.167m respectively. Capital expenditure in the year ended 31 December 2015 was insignificant. Net and gross assets at that date were £0.32 million and £0.53 million respectively.



Consideration

Initial consideration of £4.75 million less the net debt plus working capital of OurIT Group at 31 January 2017 ("Net Debt") is payable in cash. Further consideration of up to £3.75 million, less the Net Debt plus working capital, may be payable in cash dependent upon the trading performance of OurIT Group post-acquisition. The total consideration will be funded out of AdEPT's new bank facility, with headroom in the facility to support further acquisitive growth.



Ian Fishwick, Chief Executive of AdEPT, commented:

"We are delighted to have acquired such a high quality, well-run and profitable business with a strong management team. OurIT Group is an excellent fit because, like AdEPT, it is asset-light, complements and builds upon AdEPT's existing expertise and skills, and further extends the product and service portfolio by adding IT services. With the increasing convergence between telecoms and IT, this is an important step forward in our strategy to become a fully managed service provider. OurIT Group has a well-developed customer base with long term relationships across a range of medium and large enterprises. The acquisition is expected to be earnings enhancing from completion."

Transaction in Own Shares
RNS
RNS Number : 8912Y
AdEPT Telecom plc
08 March 2017
 
AdEPT Telecom plc
("AdEPT" or the "Company")
 
Transaction in own shares
 
The Company announces that on 8 March 2017 it purchased 3,909 Shares on the London Stock Exchange for cancellation at a price of 340p per Share (the "Purchase") pursuant to the general authority given to it at the Company's 2016 Annual General Meeting held on 28 September 2016 ("the 2016 BuyBack Authority").
 
Further details regarding the 2016 BuyBack Authority are set out at the end of this announcement.    
 
Total voting rights
 
Following the Purchase and cancellation, the Company's issued share capital is 22,497,115 Shares. The Company does not hold any Shares in treasury. Therefore, the total number of voting rights in the Company is 22,497,115. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules.

Trading Update
RNS
RNS Number : 4346B
AdEPT Telecom plc
04 April 2017
 
AdEPT Telecom PLC
("AdEPT" or the "Company")
 
Trading Update
AdEPT Telecom plc, one of the UK's leading independent providers of unified telecommunications and IT solutions, today announces a trading update for the year ended 31 March 2017 (ahead of its final results which are expected to be announced in early July 2017).
·      Net borrowings of £15.8m were £1.3m lower than consensus market expectations
·      Underlying EBITDA increase of around 26% will be ahead of market expectation of a 18% rise year-on-year
·      Board recommendation of an increased final dividend of 4.00p (2016: final 3.50p)
·      Total dividends proposed for the year of 7.75p represents an increase of 19% over the prior period
Trading performance
The Company is pleased to announce that it anticipates that underlying EBITDA will be around 26% ahead of the previous year (ahead of the market consensus expectation of an 18% rise year-on-year). Turnover is expected to be approximately 16% ahead of the previous year and above market consensus expectation.
Cash flow and net debt
Net borrowings of £15.8m as at 31 March 2017 were £1.3m lower than market expectations.  AdEPT continues to generate consistently strong free cash flow.  This improved performance in debt reduction is after payment of (i) £9.7m aggregate initial consideration for the acquisitions of Comms Group UK Limited, CAT Communications Limited and OurIT Department Limited, (ii) £3.0m deferred consideration for the acquisition of Centrix Limited and (iii) a £0.4m increase in dividends paid in the year.
Dividends
AdEPT announced an interim dividend of 3.75p per share in its September 2016 interim statement, which will be paid to shareholders on 7 April 2017.  The Board today announces that as a result of strong free cash flow and trading results it recommends an increased final dividend of 4.00p (2016: 3.50p) per Ordinary Share which, subject to Shareholder approval at the Annual General Meeting later in the year, will be paid in October 2017. Total dividends proposed for the year ended 31 March 2017 of 7.75p per Ordinary Share represent a 19% increase year-on-year (2016: 6.50p

AGM Statement, Interim Dividend, Notice of Results
RNS
RNS Number : 6124S
AdEPT Telecom plc
04 October 2017
 
 
 
 
 
AdEPT Telecom PLC
("AdEPT" or the "Company")
 
AGM Statement
13.3% increase to Interim Dividend
Notice of Results
 
AdEPT Telecom plc, one of the UK's leading independent providers of managed services for IT, unified communications, connectivity and voice solutions, is holding its 2017 annual general meeting at 10.00am today at 77 Mount Ephraim, Tunbridge Wells, Kent, TN4 8BS. At the meeting, the Chairman, Roger Wilson, will make the following statement:-
 
"I am pleased to report that, in the 6 months to the 30 September 2017, the AdEPT Group continued to make considerable progress in transforming itself from our original Telecoms background into Unified Communications and then into IT, a journey we embarked on in 2015. AdEPT provides a full suite of managed services and is now in an excellent position to take advantage of the continuing convergence between IT and Telecoms.
 
Although our interim results for the 6 months ended 30 September 2017 are not expected to be published until 14 November 2017, the Board is confident that they will support its progressive dividend growth policy. Therefore, the Directors have declared an interim dividend of 4.25p per Ordinary Share in respect of the 6 months ended 30 September 2017, an increase of 13.3% over the interim dividend of 3.75p for the comparative period.
 
This dividend will absorb approximately £1.0 million of shareholders' funds (September 2016: £0.8 million).  It is proposed by the Directors that this dividend will be paid on 9 April 2018 to shareholders who are on the register of members on the record date of 16 March 2018.
I look forward to reporting in more detail on the progress being made in integrating our acquisitions at the time of the interim results as well as the other progress which they are achieving. In this context, I am delighted to announce that Comms Group; an Avaya IP Office specialist for smaller customers which we acquired in May 2016, met its performance targets in the 12-month performance-based earn-out period to 31 May 2017. As a result, the vendors hit the maximum earn-out of £3.5 million which was paid in July 2017.
 
We made our most recent acquisition, Atomwide, in August 2017. Atomwide is a highly accredited IT services provider with over 30 years' experience, offering highly specialised IT support services and technology solutions to approximately 2 million users in over 4,000 schools. The statutory accounts of Atomwide for the year ended 31 March 2017 reported turnover, operating profit and profit before tax of £7.5 million, £1.9 million and £1.9m respectively.  As this acquisition was made part-way through the current financial year, it will therefore be sometime before the positive impact of this acquisition on our run-rate revenues and EBITDA will show in our reported numbers."
 

Half yearly report

Highlights
Revenue and EBITDA
·      Total revenue increased by 36% to £22.6 million (2016: £16.5 million)
·      EBITDA increased by 34% to £4.7 million (2016: £3.5 million)
·      EBITDA margin 21.0% (2016: 21.4%)
 
·      Managed services revenue accounted for 68% of total revenue (2016: 53%)
·      Managed services revenue increased by 75% to £15.3 million (2016: £8.8 million)
 
PBT, EPS and Dividends
·      Profit before tax increased by 36% to £2.1 million (2016: £1.5 million)
·      Adjusted profit before tax increased by 29% to £3.9 million (2016: £3.0 million)
·      Adjusted EPS increased by 20% to 13.3p (2016: 11.1p)
·      Interim dividend increased by 13% to 4.25p per share (2016: 3.75p)
 
Cash Flow and Debt
·      Operating cash flow before tax of £3.8 million (2016: £3.2 million)
·      Reported EBITDA to pre-tax cash from operating activities 86% (2016: 99%)
·      Net senior debt of £20.8 million (2016: £10.8 million)
·      BGF convertible loan note of £7.3 million used to fund Atomwide Limited acquisition
 
Acquisitions
·      CAT Communications earnout settled in June 2017
·      Comms Group earnout settled in full in July 2017
·      Acquisition of Atomwide Limited completed in August 2017

Top Director Buys
Adept Telecom (ADT)
Director name: Kingsman ,Christopher
Amount purchased: 129,537 @ 305.12p
Value: £395,249.77

Director Increases Shareholding
RNS
RNS Number : 7825F
AdEPT Telecom plc
23 February 2018

AdEPT Telecom plc
("AdEPT" or the "Company")

Director increases shareholding

AdEPT (AIM: ADT), one of the UK's leading independent providers of managed services for IT, unified communications, connectivity and voice solutions, was notified today that on 22 February 2018 Christopher Kingsman (Non-Executive Director) had increased his shareholding in the Company following the purchase of 100,000 ordinary shares of 10p each ("Ordinary Shares") by Greenwood Investments Limited at a price of 305.125p per Ordinary Share.

Following the purchase, Mr Kingsman has a total beneficial interest in 4,249,357 Ordinary Shares held via Greenwood Investments Limited, representing approximately 17.9 per cent. of the current issued share capital of the Company.

Director increases share holding

Trading Update
RNS
RNS Number : 8671J
AdEPT Telecom plc
05 April 2018

AdEPT Telecom PLC
("AdEPT" or the "Company")

Trading Update
AdEPT (AIM: ADT), one of the UK's leading independent providers of managed services for IT, unified communications, connectivity and voice solutions, today announces a trading update for the year ended 31 March 2018 (ahead of its final results which are expected to be announced in early July 2018).
· Net senior debt of £18.05m was lower than market expectations
· Underlying EBITDA increase will be slightly ahead of market expectation of a 23% rise year-on-year
· Board recommendation of an increased final dividend of 4.50p per share (2017: final 4.00p)
· Total dividends proposed for the year of 8.75p per share represents an increase of 13% over the prior period
Trading performance
The Company is pleased to announce that it anticipates that underlying EBITDA will be slightly ahead of the market consensus expectation of a 23% rise year-on-year. Turnover is also expected to be above market consensus expectation of a 29% rise year-on-year.
The deferred consideration period in relation to the acquisition of Our IT Department Limited ended on 31 January 2018 and we are pleased to announce that the results for the 12 month post-acquisition period exceeded the maximum consideration threshold. The deferred consideration for Our IT Department Limited of £3.65 million will be paid in early April 2018.
Cash flow and net debt
Net senior debt of £18.05m as at 31 March 2018 was lower than market expectations which arises largely from the timing of the payment of deferred consideration in relation to Our IT Department Limited being made after year end, combined with the impact of EBITDA being ahead of market expectation. AdEPT continues to generate consistently strong free cash flow conversion from EBITDA with a capital asset light model.
Cash flow generation in the year is after payment of (i) £12.14m aggregate initial consideration for the acquisition of Atomwide Limited, (ii) £3.46m deferred consideration for the acquisition of Comms Group (UK) Limited and (iii) a £0.38m increase in dividends paid in the year.
Dividends
AdEPT announced an interim dividend of 4.25p per share in its September 2017 interim statement, which will be paid to shareholders on 7 April 2018.
The Board today announces that as a result of strong free cash flow and trading results it recommends an increased final dividend of 4.50p (2016: 4.00p) per share which, subject to Shareholder approval at the Annual General Meeting later in the year, will be paid in October 2018. Total dividends proposed for the year ended 31 March 2018 of 8.75p per share represent a 13% increase year-on-year (2017: 7.75p).

Final Results
RNS
RNS Number : 0665U
AdEPT Telecom plc
10 July 2018

AdEPT Telecom plc
("AdEPT", the "Company" or together with its subsidiaries the "Group")
Final results for the year ended 31 March 2018
AdEPT (AIM: ADT), a leading UK independent provider of award-winning managed services for IT, unified communications, connectivity and voice solutions, announces its results for the year ended 31 March 2018.
Financial highlights
· 15th consecutive year of increased underlying EBITDA up 24.8% to £9.8m (2017: £7.8m)
· Revenue increased by 34.8% to £46.4m (2017: £34.4m)
· Gross margin % increased by 5.4% to 47.7% (2017: 42.3%)**
· Underlying EBITDA margin % of 21.0% (2017: 22.7%)
· Profit before tax increased by 32.8% to £4.5m (2017: £3.4m)
· 26.2% increase to adjusted fully diluted earnings per share to 27.69p (2017: 21.94p)
· 12.9% increase to dividends declared to 8.75p (Interim 4.25p, Final 4.50p) (2017: 7.75p)
· Year-end net senior debt* of £17.6m (2017: £15.5m)
· Capital expenditure 0.8% of revenue (2017: 0.3%)
Operational highlights
· Managed services accounted for 69.8% of total revenue (2017: 55.4%)
· Acquisition of entire issued share capital of Atomwide Limited completed in August 2017

* Net senior debt is defined as cash and cash equivalents less short-term and long-term bank borrowings and prepaid bank fees
** Excluding £0.755m Openreach compensation credits

Commenting upon these results Chairman Roger Wilson said:
"AdEPT has delivered a 25% increase to underlying EBITDA for the year ended 31 March 2018 and the Group continues to deliver consistently high levels of free cash flow generation with more than 80% of reported EBITDA turned into net cash from operating activities after tax. The continued strong cash generation has funded a 13% increase to dividends declared during the year and the Board is confident that continued focus on underlying profitability and cash generation will support a progressive dividend policy.
Free cash flow generated combined with the drawdown of part of the accordion debt facility, put in place in February 2017, and the convertible loan from BGF, was used by the Company to complete the earnings enhancing acquisition of Atomwide Limited during the current period. The acquisition completed during the year combined with organic sales have increased the rate of transition of the Group towards a complete managed service provider, with revenue from managed services accounting for 70% of the total in the year ended 31 March 2018."

Acquisition of Shift F7
RNS
RNS Number : 2072Y
AdEPT Telecom plc
20 August 2018

AdEPT Telecom Plc

("AdEPT" or the "Company")

Acquisition of Shift F7 Group Limited

AdEPT (AIM: ADT), a leading UK independent provider of award-winning managed services for IT, unified communications, connectivity and voice solutions, is pleased to announce that it has signed an agreement to acquire the entire issued share capital of Shift F7 Group Limited ("Shift F7") and its subsidiaries Shift F7 Limited and Greencorn Limited, a well-established UK based specialist provider of IT services to the commercial sector ("the Acquisition").

Acquisition highlights
· Initial cash consideration of £5 million less net debt and tax liabilities of Shift F7 at 31 July 2018
· Expected to be earnings enhancing from completion
· Approximately 75% of Shift F7's gross margin is from recurring revenue streams
· Highly complementary product set for telecommunication and IT convergence
· Shift F7's customer focus on London and South East
· Highly experienced senior management team that will remain with Shift F7
· Pre-existing commercial relationship of more than 10 years between AdEPT and Shift F7
· AdEPT annualised group revenue run rate anticipated to increase by approximately 10%

Strategic rationale
The acquisition of Shift F7 fits perfectly into the Company's acquisition strategy as it further expands the commercial IT capability and customer base of AdEPT, whilst providing the Company with continued geographical focus on London and the South East.

Shift F7 is a vendor-independent managed service provider which offers its clients outsourced managed IT and telecoms solutions, including IT support, hosted IT, cyber-security, data connectivity and next generation IP telephony services. The products and services of Shift F7 are highly complementary to those of the existing IT service divisions in the AdEPT Group. In addition, the teams at Shift F7 and AdEPT have been working together for more than 10 years in relation to the supply of telecom and data connectivity services.

AdEPT and Shift F7 have both focused on recurring margin and capital asset light strategies which are highly cash generative. Approximately 75% of Shift F7's gross margin is generated from recurring products and services.

Information on Shift F7
Shift F7, founded in 1995, is a highly accredited IT services provider with over 20 years' experience, offering highly specialised IT support services and technology solutions to more than 200 commercial mid-market customers.

Shift F7 has security accredited dedicated hosted platform environments in London Docklands and Heathrow. Key suppliers include Citrix, Microsoft, HP, Cisco, Ericsson LG and VMWare.

All services provided by Shift F7 are supported by a highly experienced team of IT professionals based at Shift F7's premises in Dorking, Surrey, which will be retained post-acquisition. The senior management team responsible for the strategic direction, technical development and the day-to-day operations of Shift F7 are to be retained within the business post-acquisition.

The unaudited management accounts for Shift F7 and its wholly owned subsidiaries for the year ended 31 May 2018 show turnover and EBITDA on a proforma combined basis of £5.0 million and £0.7 million respectively. Capital expenditure in the year ended 31 May 2018 was £0.2 million. The consolidated net and gross assets of Shift F7 and its subsidiaries at 31 May 2018 were £2.3 million and £3.6 million respectively.


Consideration
Initial consideration for the Acquisition is £5.0 million in cash less the net debt and tax liabilities of Shift F7 at 31 July 2018 (estimated to be £0.5 million). Pursuant to the terms of the acquisition agreement, the Acquisition is deemed to have been effective from 1 August 2018 and therefore AdEPT will also receive the trading contribution of Shift F7 from that date. The initial consideration will be funded out of the drawdown of AdEPT's existing bank revolving credit facility. Further consideration of up to £2.9 million may be payable in cash dependent upon the trading performance of Shift F7 in the 12 months post-acquisition.

Ian Fishwick, Chief Executive of AdEPT, commented:
"We are delighted to have acquired such a high quality, well-run and profitable business with a strong management team. Shift F7 is an excellent fit because it enhances our market position in IT, particularly in London. Shift F7 complements our acquisition of OurIT in February 2017 which is also focused on London and South East commercial customers. After the Shift F7 acquisition, more than 70% of AdEPT revenue will be generated from managed services including IT support, unified communications and data networks. The Acquisition is expected to be earnings enhancing from completion."

AGM Statement,Interim Dividend & Notice of Results
RNS
RNS Number : 0507C
AdEPT Telecom plc
27 September 2018


THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO. 596/2014 ("MAR"). ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE ("RIS"), THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

AdEPT Telecom PLC
("AdEPT" or the "Company")

AGM Statement
15.3% increase to Interim Dividend
Notice of Results

AdEPT Telecom plc, one of the UK's leading independent providers of managed services for IT, unified communications, connectivity and voice solutions, is holding its 2018 annual general meeting at 10.15am today at 77 Mount Ephraim, Tunbridge Wells, Kent, TN4 8BS. At the meeting, the Chairman, Roger Wilson, will make the following statement:-

"I am pleased to report that, in the 6 months to the 30 September 2018, AdEPT made considerable progress in its strategy of further expanding its managed service and IT capability, with continuing geographical focus on London and the South East. This progress has been made through a combination of organic sales from IT and managed services and the contribution from our acquisition of Shift F7 Group Limited ("Shift F7"), a commercial IT business. Providing a full suite of managed services, AdEPT is in an excellent position to take advantage of the continuing convergence between IT and telecoms.

Included in the AGM resolutions there is a proposal to change the name of the Company to AdEPT Technology Group plc. With more than 75% of revenues being generated from managed services and IT, the board believes that this new name better reflects the products and services being provided by the Company. Should the resolution be passed, the Company is expecting the change of name to take effect from Monday, 1 October 2018.

Although our interim results for the 6 months ended 30 September 2018 are not expected to be published until 13 November 2018, the Board is confident that they will support its progressive dividend growth policy. Therefore, the Directors are declaring an interim dividend of 4.90p per Ordinary Share in respect of the 6 months ended 30 September 2018, an increase of 15.3% over the interim dividend of 4.25p for the comparative period.

This dividend will absorb approximately £1.1 million of shareholders' funds (September 2017: £1.0 million). It is proposed by the Directors that this dividend will be paid on 8 April 2019 to shareholders who are on the register of members on the record date of 15 March 2019.

The Company's most recent acquisition in the IT space, Shift F7, was announced in August 2018. Shift F7 is a highly accredited IT services provider with over 20 years' experience, offering highly specialised IT support services and technology solutions to more than 200 commercial mid-market customers. Shift F7 is a vendor-independent managed service provider which offers its clients outsourced managed IT and telecoms solutions, including IT support, hosted IT, cyber-security, data connectivity and next generation IP telephony services. The products and services of Shift F7 are highly complementary to those of the existing IT service divisions within AdEPT. In addition, the teams at Shift F7 and AdEPT have been working together for more than 10 years in relation to the supply of telecom and data connectivity services.

The integration of Shift F7 into the Group has only just begun and as this acquisition was made part-way through the current financial year, it will only have two-month contribution to the interim financial results. We look forward to providing further information on the results for the period and the early progress of Shift F7 at the time of our interim results when these are announced on 13 November 2018."

Result of AGM
RNS
RNS Number : 1696C
AdEPT Telecom plc
27 September 2018



AdEPT Telecom PLC
("AdEPT" or the "Company")

Result of AGM & Change of Name

AdEPT Telecom plc, one of the UK's leading independent providers of managed services for IT, unified communications, connectivity and voice solutions, is pleased to announce that at its annual general meeting held earlier today, all resolutions were duly passed.

As a result, the Company confirms that as of 08.00 a.m. on Monday, 1 October 2018, its shares will trade under the new name AdEPT Technology Group plc. The TIDM remains ADT and there is no change to the Company's ISIN: GB00B0WY3Y47.

The Company's website remains at www.adept.co.uk

Change of Name
RNS
RNS Number : 5692C
AdEPT Telecom plc
01 October 2018


1 October 2018

AdEPT Telecom PLC
("AdEPT" or the "Company")

Further re: Change of Name

Following shareholder approval at the Company's AGM held on 27 September 2018, AdEPT is pleased to confirm that the required documentation to effect the Company's name change has now been received from Companies House. Therefore the Company's change of name will now take effect as of 08.00 a.m. on 2 October 2018. Its shares will trade under the new name AdEPT Technology Group plc, the TIDM remains ADT and there is no change to the Company's ISIN: GB00B0WY3Y47.

Acquisition and extension of Banking Facility
RNS
RNS Number : 6948G
AdEPT Technology Group PLC
08 November 2018

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO. 596/2014 ("MAR"). ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE ("RIS"), THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

AdEPT Technology Group Plc

("AdEPT" or the "Company")
Acquisition and extension of Banking Facility
ACQUISITION OF ETS COMMUNICATIONS HOLDINGS LIMITED
AdEPT Technology Group plc, one of the UK's leading independent providers of managed services for IT, connectivity, unified communications solutions and cloud services, announces that it has signed an agreement to acquire the entire issued share capital of ETS Communications Holdings Limited ("ETS Holdings") and its trading subsidiary ETS Communications Limited ("ETS Comms"), (together referred to as "ETS") both well-established UK based specialist providers of unified communications services.

Acquisition highlights
· Initial consideration of £2.5m less the net debt of ETS at 31 October 2018
· Expected to be earnings enhancing from completion
· AdEPT group revenue run rate anticipated to increase by approximately 5%
· Highly complementary unified communications product set, including Avaya IP Office and Ericsson-LG
· ETS enhances AdEPT healthcare strategy with more than 200 GP surgeries as customers
· Highly experienced vendor to remain with ETS

Strategic rationale
ETS offers its clients the delivery of unified communications solutions, with particular expertise in the Avaya IP Office product set. The highly skilled team together with the well-matched customer base and product set at ETS will complement AdEPT's existing unified communication services offering provided by the Northampton office of AdEPT.

AdEPT and ETS have both adopted capital asset light strategies which are highly cash generative and are dedicated to offering a full suite of unified communication and data connectivity services.

Information on ETS
ETS, founded in 1981, is an independent unified communications services provider based in Wakefield with nearly 40 years' experience. ETS is focused on providing unified communications and connectivity to business customers and has a strong public sector presence, including managing and supporting cloud-based telephony solutions to more than 200 GP surgeries.

One of the vendors of ETS is to be retained in his current capacity within the business for a period of at least 12 months post-acquisition.

The statutory accounts of ETS for the year ended 31 March 2018 reported turnover, operating profit and profit before tax of £3.16 million, £0.32 million and £0.31m respectively. Capital expenditure in the year ended 31 March 2018 was insignificant. Net and gross assets (pro-forma consolidated basis) at that date were £0.10 million and £0.53 million respectively.

Consideration
Initial consideration of £2.5 million less the net debt of ETS at 31 October 2018 ("Net Debt") is payable in cash. Pursuant to the terms of the share purchase agreement, the effective date of the acquisition is 1 November 2018. Further consideration of up to £1.75 million may be payable in cash dependent upon the trading performance of ETS in the 12 month period ended 31 October 2019. The total consideration will be funded out of AdEPT's enlarged bank facility, with headroom in the facility to support further acquisitive growth.

Ian Fishwick, Chief Executive of AdEPT, commented:
"We are delighted to have acquired such a high-quality business with a highly experienced vendor remaining with ETS post-acquisition. With AdEPT having an existing specialist Avaya IP Office operation in Northampton, the acquisition of ETS builds on this capability and extends the geographical reach to Yorkshire and Lincolnshire. ETS has a well-developed customer base with long term relationships, which builds upon AdEPT's existing public sector healthcare presence. The acquisition is expected to be earnings enhancing from completion."

NEW BANK FACILITY

· Debt facility enlarged to £35 million
· Increased capacity to support acquisition growth strategy

The Board of AdEPT also announces that it has signed a £5 million extension to its existing £30 million 5-year revolving credit facility agreement, enlarging the total debt facility to £35 million.

The enlarged facility is to be provided by Barclays Bank Plc ("Barclays") and The Royal Bank of Scotland Plc ("RBS) on an equal basis. The facility will be used by AdEPT to fund acquisition of businesses that extend the AdEPT product set and by being part of the AdEPT group, will benefit from economies of scale. The terms of the enlarged facility remain the same as the existing facility.


Roger Wilson, Chairman of AdEPT, commented:
"We are delighted to have obtained the continued support of the teams at RBS and Barclays to provide a larger syndicated debt facility. This enlarged bank facility provides the Company with additional funding to undertake the acquisition of ETS as AdEPT continues with its strategy of acquiring earnings enhancing businesses."

Half-year Report
RNS
RNS Number : 1094H
AdEPT Technology Group PLC
13 November 2018

AdEPT Technology Group plc

("AdEPT" or the "Company", together with its subsidiaries the "Group")

Interim results for the 6 months ended 30 September 2018

AdEPT (AIM: ADT), one of the UK's leading independent providers of managed services for IT, unified communications, connectivity, voice and cloud services, announces its unaudited results for the 6 months ended 30 September 2018.

Highlights
Revenue and EBITDA
· Total revenue increased by 9.5% to £24.4 million (2017: £22.3 million)
· Managed services revenue increased by 19.2% to £18.0 million (2017: £15.1 million)
· Managed services revenue up to 74% of total revenue (2017: 67%)
· EBITDA* increased by 10.7% to £5.2 million (2017: £4.7 million)
· EBITDA* margin 21.2% (2017: 20.9%)

PBT, EPS and Dividends
· Adjusted profit after tax** increased by 13.4% to £3.7 million (2017: £3.2 million)
· Adjusted EPS increased by 11.7% to 14.5p (2017: 13.0p)
· Interim dividend increased by 15.3% to 4.9p per share (2017: 4.25p)

Cash Flow and Debt
· Reported EBITA conversion to pre-tax cash from operating activities 81.9% (2017: 90.7%)
· Net senior debt at period end of £25.1 million (2017: £20.8 million)
· £8.5m of funds used to fund Shift F7 Group Limited acquisition and Our IT earnout

Roger Wilson, Chairman, commented:

"I am delighted by the continued progress being made by the Group in its transformation into a managed service provider for unified communications and IT. The results for the period demonstrate the strength of our capex light model and our organic and acquisitive growth strategy.

Trading continues to be in line with management's expectations, we continue to be highly cash generative and with a fully supportive investor base and funding partners we remain confident in our strategy to identify earnings-enhancing acquisitions whilst retaining scope for a progressive dividend policy."

*Earnings before interest, tax, depreciation, amortisation and excluding one off acquisition costs and share based payments
** Adjusted profit after tax represents profit after tax adding back one off acquisition costs and amortisation

No one seems to be following you on this one DC but the half yearly report and the graph, plus increasing div has my attention now. Will watch to see where the drop stops with the sp.