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AMM $2.60

Even in this market this has to be worth something

  1. What's a company got to do to increase its share price other than rob a bank? - Ok so the Nasdaq dropped and the Dow looks like dropping further. Is'nt a profit a profit!

    (I only own a small holding - Interested in comments)

    AMCOM TELECOMMUNICATIONS LIMITED 2002-07-25 ASX-SIGNAL-G

    HOMEX - Perth

    +++++++++++++++++++++++++
    REVISES EARNINGS UPWARDS AND PREDICTS MAIDEN NPAT FOR FY03

    Amcom Telecommunications Limited (ASX: AMM) announces today that its
    core broadband business has generated revenues of $5.01 million for
    the June 2002 half, an increase of 23% over the preceding December
    2001 half figure of $4.08 million. The revenue for the June half
    represents an increase of 57% over the previous corresponding (June
    2001) half figure of $3.19 million.

    Management is confident that previously forecast figures of EBITDA
    and earnings released in April 2002 will now be exceeded for the
    financial year 2002.

    Amcom Chairman Mr. Tony Grist said, "Amcom management has revised
    upwards its internal earnings forecasts and now confidently can
    predict a maiden Net Profit after Tax for financial year 2003".

    Total group revenues for the June half were $5.7 million, including
    $0.7 million in non-core revenues. The broadband revenue figure of
    $5.01 million included $1.2 million contribution from Rescue Group.

    Group broadband and related revenue by half years, excluding the
    non-core cabling and IP1 businesses are as follows:

    HALF YEAR JUNE 00 DEC 00 JUNE 01 DEC 01 JUNE 02
    ENDING ($)

    Broadband $1,497,141 $2,020,877 $2,571,692 $3251883 $3,860,627
    Revenue plus
    Establishment
    Fees

    Rescue Group N/a* $162,645 $613,464 $826,682 $1,152,293

    Total Core $1,497,141 $2,183,522 $3,185,156 $4,078,565 $5,012,920
    Revenues**

    Table 1: Total broadband revenue from core-businesses half on half
    NB1. * Rescue Group acquired in September 2000

    Amcom June quarter results were also strong with the core broadband
    business achieving an increase of 9% in revenues for the June 2002
    quarter over the preceding March quarter. The revenues for the June
    quarter represent an increase of 129% over the previous corresponding
    period (June 2001 quarter) broadband sales.

    Amcom management has now completed its rationalisation of core and
    non-core business including the sell down of IP1 (Perth to Melbourne
    long haul business) and the discontinuation of the project-cabling
    group. Amcom is now a passive 26% investor in the strategic and fully
    funded IP1 project. IP1 is now operational Melbourne to Adelaide,
    with balance of the build to Perth expected to be completed by early
    2003.

    This is reflected in improved operating efficiencies and flattening
    of overheads. Combined with growing sales this has led to significant
    improvement in the EBITDA margins half on half. Core business EBITDA
    grew from $172,000 or 4% of revenue for the December half to $862,000
    or 17% of revenue for the June 2002 half. This represents a core
    business EBITDA result estimate for the year of $1,033,000 from a
    group total estimated result of $1,269,000 for FY02.

    Amcom Group CEO Mr Eddy Lee said, "These results are testament to
    our business model and our strong belief that the demand for
    broadband solutions is growing significantly in the niche geographic
    markets where our networks are located. It would appear that our
    customer acquisition strategies put in place 6 months ago are now
    paying dividends".

    "With a current market penetration of less than 2% and a network
    reach covering 80% of business houses in Perth there is tremendous
    room for growth in market share," Mr Lee added.

    Released by:
    Greg Evans
    MANAGER INVESTOR RELATIONS
    [email protected]
    +61 8 9226 5099

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