Macquarie Telecom announced earnings results for the half-year ended 31 December 2017. For the half year, the company reported revenue of $114.9 million, an increase of 8% compared to $106.8 million a year ago. Earnings before interest, tax, depreciation, and amortization (EBITDA) of $22.5 million, an increase of 18% compared to $19.0 million a year ago. Conversion of EBITDA to operating cash flows remains strong, generating total operating cash flows of $14.6 million during the half-year, including the payment of income tax compared to $6.5 million a year ago. Net profit after tax of $8.0 million, an increase of 29% compared to $6.2 million a year ago. Capital expenditure for first half fiscal year 2018 was $19.8 million compared to $23.5 million a year ago. Growth Capex was $8.0 million to expand Intellicentre 2 capacity for the a Customer and Data Hall 4 fit out ($6.5 million) and the Telecom NOC insourcing project and SD WAN investment ($1.5 million). Customer Growth Capex was $6 million, reflective of the data centre sales success and product mix.

The company announced that underpinned by strong sales growth, full year fiscal year 2018 EBITDA is expected to be approximately $44 million to $46 million. Fiscal year 2018 total capex is expected to be between $34 million to $38 million consisting of, growth capex of $12 million to $14 million, and maintenance capex of $12 million to $13 million. Fiscal year 2018 depreciation is expected to be between $23 million and $25 million.