Cellnet Prospers Despite Choppy Trading Conditions
Sydney Morning Herald
Tuesday September 10, 2002
Australia's biggest mobile phone accessories distributor, Cellnet Telecommunications, lifted sales and profit figures in the year to June 30 despite one of the toughest trading periods for the telecommunications sector in decades.
Net profit came in at $8.11 million and Cellnet managing director Mel Brookman said yesterday he was confident the current year's earnings would show further improvement as the company's focus on additional products and refining its back-end distribution systems paid off.
He said the company's expansion into the information technology market was starting to deliver results.
The IT wholesale division achieved sales of $109 million in 2001-02, up from $57 million in 2000-01.
Cellnet, which distributes mobile phone handsets, accessories and related IT products throughout Australia and New Zealand, recorded a 38 per cent rise in revenue to $341.05 million in the latest year.
The telecommunications division achieved a 22 per cent lift in annual sales to $232 million, which contributed 70 per cent to total group sales.
Mr Brookman said he was pleased with the earnings performance considering the year's choppy trading conditions.
Cellnet declared a fully franked final dividend of 5c a share. It will be paid on October 4 to those registered with shares on September 20.
Its shares rose 4c to $1.42.
© 2002 Sydney Morning Herald
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