Colt reported first-half revenue up 2.6 percent year-on-year to EUR 790.8 million. Excluding currency effects, revenue declined 1.3 percent as the acquisition of KVH was more than offset by the company's exit from low-margin carrier voice trading contracts. Network services revenue rose 0.2 percent, while voice services was down 31.8 percent, data centre revenues fell 3.8 percent and IT services dropped 13.7 percent. Colt Asia contributed EUR 80 million in revenue.
Group EBITDA of EUR 156.4 million was up 7.6 percent, thanks to the takeover in Asia and the restructuring programme in 2014. At constant currency rates, EBITDA grew 6.7 percent. Colt recorded a pretax loss of EUR 13.0 million versus a profit of EUR 13.6 million a year ago due to EUR 128.4 million in one-time costs, including an impairment charge of EUR 87.1 million for exiting the IT Services business, restructuring of EUR 32.2 million and EUR 9.1 million for vesting options after Fidelity's buy-out offer for the company. Free cash outflow narrowed to EUR 7.3 million from EUR 29.1 million in the year-earlier period, thanks to improved EBITDA and working capital, and reductions in capital expenditure.
Colt said its shareholders will vote on the Fidelity offer 11 August. Colt maintained its full-year outlook for core revenue of EUR 1.50-1.52 billion this year and EUR 1.50-1.53 billion in 2016, as well as positive free cash flow of EUR 70-80 million in 2015 and EUR 100-120 million next year.
