Cablenet Communication Systems plc - Updated Financial Analysis Summary

On 13 May 2024, Cablenet Communication Systems plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and financial position of Cablenet Communication Systems plc in 2024:

• Revenues are anticipated to grow by 1.4% to a record of €75.3 million reflecting further growth in the mobile sector, which however is expected to be at a slower pace than what was achieved in the last few years.
• EBITDA is expected to surge by 8.2% to a record €22.9 million as Cablenet is also expecting to incur lower operating costs. As a result, the EBITDA margin is forecasted to increase to 30.4% from 28.5% in 2023.
• Net finance costs are expected to remain at the €3.9 million level, which would translate in an improved interest cover of 5.9 times compared to 5.5 times last year.
• Total debt is forecasted to increase by 1% to €79.3 million, which includes borrowings of €57.3 million, lease liabilities of €12.3 million, and football rights liabilities of €9.6 million. After accounting for an expected cash balance of €2.2 million, the net debt is anticipated to increase by 2% to €77.1 million.
• Since the growth in EBITDA will outweigh the increase in indebtedness, the net debt to EBITDA multiple is forecasted to drop to 3.4 times compared to 3.6 times in the previous financial year.