Business broadband specialist Daisy Group said despite a tough macro-economic backdrop, trading for the six months ended September 30th has been robust, with revenues expected to be above the level seen in the same period last year.
The telecom group said it saw a significant improvement in the level of free cash flow generation following the working capital headwinds seen in the second half of the previous financial year.
Chief Executive Officer Matthew Riley said: "We highlighted in June that the second half of FY12 had seen a lengthening of sales cycles together with some pressure on certain mobile connection commissions. As expected, these factors continued into the first half of this year."
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"However, we remain confident in the group's trading outlook for the second half and its ability to generate significant free cash flow going forward."
Net debt increased during the half year reflecting the acquisition of Worldwide Group in April. The acquisition is performing in line with management expectations, it said.
CJ
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