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GTS-Datanet stabilized in 2009

Despite unfavorable market conditions, GTS-Datanet managed to stabilize its financial performance in 2009. The company is planning to enter the IT market this year with special services.

GTS-Datanet closed last year with HUF 15.8 billion, a slight increase in revenues from HUF 15.5 billion in 2008. Meanwhile, the Hungarian telco market as a whole decreased by about 3%-4%. 
A major transaction, the selling of the satellite business to Antenna Hungária in May 2009, contributed to the results. EBITDA reached HUF 2.8 billion meaning a 30% increase. The company spent HUF 1.3 billion on investment in 2009. In 2008, investment was HUF 1.4 billion.

For 2010, GTS-Datanet doesn‘t expect growth in the telecom market, but to keep flat. As for the company itself, managing director Pál Pauer said that they also prepare for a stagnating business, as their product structure will not allow major increase in revenues: the growth of the corporate client base will be balanced by a drop in the residential business.

Pauer added that the latter is strategically out of focus and would be sold if offered at least €6 million. At a group level, plans for 2010 include development of data centers in Prague and Warsaw and regional product development beginning with an Ethernet project to be announced later this year.

As the first step towards convergence, GTS-Datanet will be introducing GTS Virtual Services this year, that include a Virtual Exchange and a Virtual Backup solution. The GTS-Datanet will offer four packages with a price range of HUF 1,900 to HUF 3,900. In this construction, corporate clients can save up about 30%-50% cost saving compared to an individually purchased application. The company expects a couple thousand users in the first year, then a dynamic expansion of the services. (BBJ Online)