9090183f-a75b-47c5-8c41-767966b1b162.pdf


16 February 2016


ASG Group delivers positive H1 results


  • Revenue $88.2m up 12.6%


  • Reported EBITDA $12.7m up 14.4%


  • Balance Sheet continues to strengthen


  • Over $200m contracts signed in 12 months


  • Maintain FY16 Revenue guidance of $185m - $190m


IT Services provider ASG Group (ASX:ASZ) today announced its interim financial results for the six months ended 31stDecember 2015. Following on from the strong performance in FY15, ASG has continued organic growth and solid operating cash flow.


"ASG is now in a position where we have matured our New World offering, which has enabled us to leverage our resources and our reference-ability to secure strategically significant contracts in key sectors," said Geoff Lewis, ASG CEO.


At the close of H1, ASG won a $29 million deal with the Department of Finance to deliver an innovative 'Desktop as a Service' solution. This contract will see ASG delivering a complete package in line with current Government ICT policies.


"Our New World is an integral part of our core Managed Services business model, resulting in long-term engagements and locked in revenue streams," explains Mr Lewis.


"As we continue to move into the delivery phase of deals that were won in FY15 and FY16, our revenue stream will strengthen into FY17, FY18 and beyond."


With volatile economic conditions and customer expenditure in Information Technology remaining tight, organisations continue to look to drive efficiencies and cost savings in their technology environments. With its distinctive New World business model, ASG is uniquely positioned to assist organisations to meet these challenges.


"ASG is at the forefront of delivering a consumption based, utility model to the Australian marketplace and we are anticipating that over 80% of our new contracts are set to be New World."


Additionally, ASG continue to progress their offshoring partnership, resulting in a more cost effective delivery model.


The outlook for the remainder of FY16 is solid with record locked-in revenue and a pipeline in excess of $340m.


FOR FURTHER INFORMATION PLEASE CONTACT:


Mr Geoff Lewis

Chief Executive Officer ASG Group

08 9420 5420


ABOUT ASG


ASG Group Limited (ASX: ASZ) is an award winning and Australian IT business solutions provider, offering IT management and consulting services, business intelligence and thought leadership.

Established in 1996, the company's goal is to provide innovative, high-quality and cost-effective services to its clients. In 2002, ASG listed on the Australian Securities Exchange. For more information visit www.asggroup.com.au.

ASG Group Limited issued this content on 16 February 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 16 February 2016 08:12:54 UTC

Original Document: http://www.asggroup.com.au/PDF/ASX%20announcement%20H1%20FY16%20Final.pdf