02 November 2009
TelecityGroup issues Interim Management Statement
Telecity Group plc ('TelecityGroup' or the 'Group'), Europe’s industry leading provider of premium network independent data centres, today issues the following Interim Management Statement for the period from 1 July 2009 to the date of this statement.
Highlights:
- Trading remains strong, with revenue growth continuing in line with management’s expectations
- Demand for premium data centre capacity is robust and TelecityGroup’s occupied space increased to over 46,250 sq.m. in the third quarter of 2009
- The Group’s current expansion programme, targeted to meet incremental customer demand in key markets, is on-track. The Group now has over 48MW of available customer power, up from 38MW at the beginning of 2009 and expected to increase to 51MW by the end of 2009
Current trading
Trading is strong across TelecityGroup’s markets, with every business unit contributing to continued Group revenue growth. This revenue growth is resulting in strong operating profit growth due to a significant element of the Group’s cost base being largely fixed, along with tight control of the variable element of the cost base.
TelecityGroup’s order book pricing is robust and the order pipeline is healthy, with demand for incremental capacity continuing from a wide range of industry sectors.
Demand-led capacity expansion is being delivered according to plan
In line with TelecityGroup’s strategy of opening new space to meet customer demand in those existing markets where capacity is approaching full utilisation, the Group has delivered incremental capacity in London, Amsterdam, Frankfurt, Stockholm and Milan to date this year. The Group’s new Paris 3 data centre remains on-track to be opened in December 2009.
TelecityGroup’s financial position is robust and its currently announced expansion plans, which will increase total Group capacity to over 60MW in 2011, will all be funded from the company’s cash flows and existing borrowing facilities.
The Group is currently considering further capacity expansion in its core European markets consistent with its policy of meeting the ongoing growth in customer demand into the future.
Michael Tobin, CEO of TelecityGroup, commented:
“I am very pleased with TelecityGroup’s performance to date in 2009. We have opened significant new capacity to meet the ongoing growth in customer demand, on time and on budget. Our premium data centres continue to win new and expanded customer orders, with the most notable wins in the third quarter coming from the content, connectivity, financial and application provider segments.
I am confident that the momentum in our business will persist and that TelecityGroup will continue to deliver strong revenue and operating profit growth”.
For further information please contact:
Investors:
TelecityGroup:
Matthew Springett +44 (0)20 7005 6337
Media:
TelecityGroup:
James Tyler +44 (0)20 7001 0076
Brunswick:
Sarah West +44 (0)20 7404 5959
Notes to Editors
Telecity Group plc
TelecityGroup is Europe’s industry leading provider of premium network independent data centres offering a range of flexible, scalable data centre and managed services. TelecityGroup specialises in the design, build, and management of highly connected and secure environments in which customers can house their technical, web and internet infrastructure. Each of its data centres acts a connectivity and content hub facilitating the storage, sharing and distribution of data, content and media. Headquartered in London, TelecityGroup operates 22 network independent data centres across seven European countries. The data centres are located in prime positions for commerce and connectivity, including Amsterdam, Dublin, Frankfurt, London, Manchester, Milan, Paris and Stockholm.
Telecity Group plc, the parent company of TelecityGroup, is listed on the London Stock Exchange (LSE: TCY)
www.TelecityGroup.com
Cautionary note regarding forward-looking statements
This announcement includes statements that are forward-looking in nature. The actual results, performance or achievements of the Group may be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements due to known and unknown risks, uncertainties and other factors. Except as required by the Listing Rules and applicable law, Telecity Group plc undertakes no obligation to update or change any forward-looking statements to reflect events occurring after the date such statements are published.
