Company news
15/05/2008
Telecity Group Plc - Interim Management Statement
15 May, 2008: Telecity Group plc ('TelecityGroup' or the 'Group'), the leading pan-European operator of network independent data centres, today issues the following Interim Management Statement for the period from 1 January to 14 May 2008, to coincide with its Annual General Meeting taking place today at 2.00 pm in London.Highlights:
• Excellent start to 2008 across all markets
• Continued strong growth in revenues and EBITDA
• Order intake ahead of plan
• Substantial order pipeline across all markets
• Revenue per occupied square metre continues to increase
• New data centre to be built in Paris
Current trading
TelecityGroup has seen an excellent start to the year. It has experienced a solid performance across all markets, with net order intake value for the first four months of 2008 being 87% ahead of the level achieved in the same period in 2007. Year-on-year utilisation levels have continued to improve, driven by strong demand from both new and existing customers. The Group continues to achieve firm pricing in all of its geographical markets and, as a result, average revenue per occupied square metre continues to improve. These dynamics have continued to drive the Group’s ongoing growth in revenues and EBITDA.
In addition, the Group has built an extremely healthy financial base, with access to cash balances and undrawn committed senior debt facilities in excess of £100m. This leaves the Group well positioned to execute all planned capital projects.
Progress on new Amsterdam and London facilities
Last year, the Group announced the building of new data centres in Amsterdam and London. These new centres, together with the expansion projects to existing data centres, will increase the Group's overall power capacity in Amsterdam and London by over 100%. The Group is pleased to report good progress at both sites.
The new Amstel Business Park data centre in Amsterdam opened in April as planned. In addition to the large contract already announced with Computer Sciences Corporation, the Group has continued to sign significant customer contracts, and has a substantial pipeline of future orders for the facility.
In London, the new Powergate data centre is on track for opening at the end of this month. Customer interest in this new facility is already strong, with a significant pipeline of agreements in place.
New Paris site to be built
TelecityGroup today announces that it will build a new data centre in Paris. Ongoing customer demand and overall utilisation in TelecityGroup’s existing facilities in Paris is high and the new data centre will ensure the Group continues to have growth capacity in one of Europe’s largest data centre markets. The data centre is to be launched in phases from the second half of 2009 through to the second quarter of 2011. In total, the new data centre will provide over 3000 square metres of net customer space and offer total customer power of approximately 5 megawatts. Subject to final planning permission for the site, which is expected towards the end of 2008, the Group will invest a total of €48 million in the project which will be fully financed from existing bank facilities. This will be the Group’s 21st data centre in Europe and its third in the French capital.
Michael Tobin, CEO of TelecityGroup, commented:
“TelecityGroup has had an excellent start to the year. The internet economy that we serve is buoyant, sales are ahead of plan, and pricing continues to be firm. Our new builds are opening on time and are generating significant customer interest.”
The new facility in Paris will enable us to take advantage of the consistently high levels of demand in the market and, at the same time, to support the increasing power, space and connectivity requirements of our existing customers as they continue to grow.
The great start to 2008 and the substantial order pipeline across all markets, including our new state-of-the-art new data centres in Amsterdam and London, give me great confidence in the prospects for the future growth of the business.”
For further information please contact:
Investors:
TelecityGroup:
Rob Coupland +44 (0)20 7001 0078
Media:
TelecityGroup:
James Tyler +44 (0)20 7001 0076
Brunswick:
Sarah West
James Olley +44 (0)20 7404 5959
Notes to Editors
Telecity Group plc
TelecityGroup is the leading pan-European provider of network independent data centres offering a range of flexible, scalable data centre and value added 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 19 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.
