OTEGLOBE recorded growth according to its 2013 financial results, despite the unstable macroeconomic environment in Greece and the other regions that the company operates.
OTEGLOBE’s revenues reached € 282,2 mn presenting an increase of 6% from 2012. Since 2007, the company has increased its revenues by 70% (from €165,1 mn in 2007 to €282,2 mn in 2013), by recording a year-to-year revenues increase. The 80% of the 2013 total revenues comes from international customers.
At the same time, thanks to the restraint of operational costs, the company has managed to maintain the EBITDA margin at the high level, considering the international market’s trends, of 8.2%.
In 2013 OTEGLOBE’s cash and cash equivalents were more than doubled from 2012 and reached €28,4 mn from €13,3 that were recorded in 2012. This is mainly result of the company’s profitability on operational level, more efficient working capital management and lower capital expenditure. Accordingly, OTEGLOBE still does not depend on external borrowing, covering its needs from its equity.
EBITDA reached €23,0 mn in 2013, presenting a slight decrease from 2012 (€25,4 mn.), while a slight decrease was also recorded in EBIT from €16,9 mn in 2012, to €13,6 mn in 2013. This is mainly a result of the price erosion due to increased competition and adverse economic conditions in Greece and the broader SE Europe.
Considering these adverse conditions and by capitalizing on Greece’s geographic advantage, OTEGLOBE has already implemented its expanding strategy in the new markets of M. East and N. Africa, through investments and partnerships with major carriers. In this context, the company has already secured its participation in the construction of Asia Africa Europe -1 (AAE-1), the new next generation international submarine cable, which by expending through 25.000 klm and with a capacity of 40 Tbps, will connect Greece with the emerging markets of Asia, Africa and M. East.