M2 revenue climbs

M2 reports full year revenue of $1.12 billion

M2 Group has reported full year revenue of $1.12 billion, up 9 per cent on FY14.

The company telco, whose Australian brands include Dodo, iPrimus and Commander, reported net profit after tax of $73.7 million for the 12 months to 30 June (up 10 per cent) and earnings before interest, tax, depreciation and amortisation (EBITDA) of $170.5 million (up 6 per cent).

"I am pleased to deliver another year of strong growth of services in operation while completing an EPS-accretive acquisition of scale," M2 CEO Geoff Horth said in a statement.

"This year we achieved another significant milestone growing underlying NPAT to $100 million, a testament to the success of the strategy and the extraordinary efforts of the hard working M2 team."

"Our over-arching objective for FY16 and beyond is to own the challenger space in our markets in Australia and New Zealand," Horth said.

"The foundation laid in FY15, the acquisition of CallPlus and our continued focus on executing on our strategy provide an excellent platform for M2 to continue to drive organic growth and create shareholder value."

M2 in July announced it had completed its acquisition of New Zealand Internet service provider Call Plus.

In total Call Plus operates more than 400,000 consumer, business and wholesale services across a number of brands including Call Plus Business, Slingshot and Orcon.

The $246.7 million (NZ$250m) acquisition is expected to contribute NZ$250 million in revenue and NZ$45 million EBITDA in FY16.

Read more: M2 picks up majority stake in Aggregato

M2 also during the year became the majority owner of prepaid telecommunications services provider Aggregato.

However M2's attempt to merge with iiNet failed. M2 move to acquire iiNet forced rival bidder TPG to increase its offer for the ISP. The revised TPG bid was successful.

M2 announced a 32 cent full year dividend.

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