Velocity Comp Regulatory News (VEL)

3 Jul 2006 07:00

Velti PLC03 July 2006 FOR IMMEDIATE RELEASE MONDAY, 3 July 2006 VELTI PLC Strong performance in the first half of 2006 ATHENS - Velti plc ("Velti"), a provider of software platforms, applications andservices for mobile network operators, media and retail brands in Greece and theBalkan region, is expected to announce a positive trading performance for thesix months ended 30 June 2006. The company, which floated on AIM in May 2006, has delivered a financialperformance for the period at the top end of the Board's expectations withrevenue growth of almost 110 per cent to circa €3.9 million from thecorresponding period in 2005 and improved profit margins. During the period, Velti experienced strong demand for its products and servicesfrom both telecom and non-telecom companies, as well as expanding its clientbase and securing a consistent flow of repeat business. In Greece, Velti will start delivering value-added services to Q-Telecom inJuly, as part of an exclusive contract won earlier in the year and which theBoard expects will add significant revenues in the second half of the year. Theexpansion of the relationship with Vodafone has continued with new projectsincluding the next generation of VOSS (Vodafone On-line Sales and Services)system. New agreements were signed with TIM Greece for ring-back tones andmobile services business intelligence. Velti has entered into a partnership agreement with the BBDO group, providingmobile campaign services to its Greek clients. Moreover under a new "framework"contract with Metro, the free daily newspaper in Greece, Velti has launched aseries of marketing campaigns and competitions. The partnership with the LiberisMedia Group, which publishes magazines such as Hello!, Vogue, Lucky and Men'sHealth, has expanded and the company has entered into a new partnership withmedia group, Attica Publications, which publishes titles such as Playstation2and PC Magazine. Management has made further progress with its stated strategy of expansion inthe Balkan region as well continuing to move towards a full application serviceprovider model. The value-added services contract in Armenia with Armentel isprogressing well, with SMS competitions focused on the World Cup beating initialestimates and yielding up to 50,000 messages per day. In a joint bid with SunMicrosystems, Velti was selected by Bosnia's BH Telecom Group to provideidentity management, instant messaging and value-added services integration withSMS-C and billing. Alexandros Moukas, Chief Executive of Velti, commented: "We are very pleased byour financial performance for the first half of 2006. It demonstrates that thereis strong demand for our products and services in the Balkan region and gives usconfidence in our market position and strategy for future growth. We expect theperformance for the second half to be stronger than the first and we areconfident that the company will meet market's expectations for the full year." The announcement of interim results is expected to be made in mid-September2006. ENDS CONTACTS Bankside: 020-7367-8888Simon Bloomfield or Steve Liebmann This information is provided by RNS The company news service from the London Stock Exchange