Intec Telecom Systems PLC, a supplier of billing and operations support systems to the global telecoms industry, has announced its unaudited results for the six months ended 31 March 2007 (“H1 2007”).

Solid trading has allowed Intec to deliver increases to both revenue and earnings. Intec also continues to win competitive contracts in all regions, with notable wins in the USA, Australia, Brazil, Russia, Poland, the Caribbean, China and Vietnam announced in the period. We brought new products to market, including a new billing solution for the fast-growing mobile sector and a solution to new EU data retention requirements.

Financial highlights

– Revenue increased by 6.5% to £61.3m (six months ended 31 March 2006 (“H1 2006”): £57.6m)
– Adjusted operating profit* up 43% to £3.0m (H1 2006: £2.1m)
– Operating loss of £8.0m (H1 2006: profit of £2.1m) after impairment charge and exceptional items of £10.9m
– Cash generated by operations of £5.0m (H1 2006: £10.7m)
– Adjusted basic earnings* per ordinary share of 0.73p (H1 2006: 0.43p)
– Basic (loss)/earnings per share of (2.86p) (H1 2006: 0.43p)
– Net cash of £19.6m (30 September 2006: £18.7m)

*Pre-exceptionals and goodwill impairment charges

Operational highlights

– Key new customer wins in the USA, Australia, Brazil, Russia, Poland, the Caribbean, China and Vietnam
– New solutions launched for high growth mobile markets and new EU legislative requirements
– Implemented more effective global delivery organisational structure
– Over 320 trained staff now deployed in offshore service centre

Commenting on today’s results, John Hughes, Intec’s Chairman and interim Chief Executive Officer, said:

“Intec’s first half results show improved margins and profitability, giving us a solid foundation for the second half. Our pipeline of future new business is healthy and we have a stable recurring revenue stream and a good contracted order book. Our challenge is to ensure that we convert both new opportunities and current contracts into profitable revenue. The Board, management team and staff are fully focused on this objective. I have confidence that we have the ability to deliver results that will demonstrate continued progress.”