Below we take a look at some highlights from the ASX telecom’s annual general meeting (AGM).
What was reported at the AGM?
The Aussie Broadband share price is well into the green, with the company highlighting its $19.1 million earnings before interest, tax, depreciation and amortisation (EBITDA) for the 2021 financial year (excluding IPO costs).
That figure was in line with guidance from May.
Aussie Broadband chair Adrian Fitzpatrick noted the rising importance of connectivity during the COVID-19 pandemic:
The COVID-19 pandemic saw a much greater emphasis on having a reliable internet service at home because, for many of us, our homes became our workplace as well as the school for our children.
Customer support became paramount during this time also; when problems with your internet connection happened, nobody wanted to wait on hold for a huge length of time.
Boosting the bottom line
The Aussie Broadband share price might also be getting a boost today following chief financial officer Brian Maher’s recapping that the company’s FY21 revenue increased 84% year-on-year to $350 million. He noted that both residential and business segments grew at similar rates.
Addressing the changes since the company’s initial public offering (IPO) in October 2020, Maher said:
The financial position of the company improved significantly following the completion of the IPO with the conversion of the pre-IPO convertible notes to equity and the inflow of $37.4 million of net cash proceeds from the IPO.
During the second half of the year, the balance of the company’s external debt of $5.5 million was repaid. The cash balance at 30 June had increased by $35.6 million year-on-year to end the year at $57 million.
Aussie Broadband share price snapshot
The Aussie Broadband share price has been a stellar performer in 2021, up 136% since January. By comparison the All Ords has gained 11% year-to-date.
However, Aussie Broadband shares have slipped almost 2% over the past month.