Colt Group's first-quarter revenues fall

Telecommunications and technology company Colt Group reported a slight dip in first-quarter revenue reflecting a fall in sales in its voice division.

Total revenue fell 1.3% year-on-year to €392.1 in the first three months of the year as the company's voice arm was hit by rate cuts across Europe.

Earnings before interest, tax, depreciation and amortisation (EBITDA) of €80.5m were flat compared to the first quarter in 2012 of €80.6m, with a reduction in revenue offset by a tight control of costs.

Net funds at the end of the quarter came to €225.9m, down from €280.1m at the end of December.

Cash outflows of €54.2m for the quarter reflected seasonal outflows, increased capital expenditure related to investments and restructuring payments.

Capital expenditure for the first quarter of 2013 increased to €81.2m from €75.8m.

During the quarter the company's Colt Enterprises Services sales included three new contract wins of over €1.0m, including a major deal with Europcar to provide managed network services supporting their pan-European IT transformation plan.

"We are satisfied with the progress the Group has made in the quarter," said Chief Executive Officer Rakesh Bhasin.

"Regulatory price reductions, fewer working days and currency headwinds in the quarter detract from the underlying progress that is continuing to be made in transforming the business, growing the pipeline, winning new contracts, investing in our infrastructure and expanding our portfolio of services. We remain confident that we will grow the business this year."