euNetworks Surged Forward in Q2/10

August 13th, 2010 by · 2 Comments

In today's Q2 earnings report from euNetworks (SIN:H23, news), one can see early signs of success in its drive to unlock the value in its metro assets.  The European marketplace is less mature for such assets than it is here in the USA, but that may be starting to change. Revenues rose to €9.4M, up some 18% from the first quarter alone.    There's probably some lumpiness in that surge obviously, but they do certainly seem to be on the move.  Demand was particularly strong from the financial vertical of course, since despite its small size euNetworks is one of the major players in the low latency game between London and Frankfurt etc.  

Adjusted EBITDA rose to break-even from the negative territory it had been in until now, while capex surged to €6M.  What are they spending the extra money on?  As of the end of Q2, the company had 295 on-net buildings, up 11% since the beginning of the year.  That rate was actually a bit slower than they had hoped, which they said was largely due to the regulatory and legal differences across the countries and cities in their footprint - European Union or no European Union I guess.  They hope to increase the rate at which they add new buildings in the second half as they streamline the various processes.  Hmmm, I think it's finally time to add some European data to my metro fiber statistics page.

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Categories: Financials · Metro fiber

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2 Comments So Far


  • Frank A. Coluccio says:

    Net neutrality proposal an experiment: Vint Cerf
    By Peter Nowak | CBC News | August 13, 2010

    Article: http://www.cbc.ca/technology/story/2010/08/13/net-neutrality-google-vint-cerf.html#ixzz0wb7PSlLg

    Podcast: http://www.cbc.ca/video/news/audioplayer.html?clipid=1565890135 [20min 37sec]

    FAC: Rick Whitt, Google’s Washington counsel, also participated in this interview. Vint makes an interesting distinction at about the 9 min 30 sec mark concerning the nature of the broadband provider’s architecture playing into how content (video) is separated from the discretionary capacity allocated for high-speed Internet (HSI). He used the Verizon FiOS design to illustrate how Verizon, at least, employs an analog form of video delivery over a separate wavelength. I submit that this may only be a temporal consideration, since it would seem almost inevitable that Verizon will migrate to IPTV at some point in time, in one form or another, but who knows when or how that will be, or if that future implementation, too, will employ a separate wavelength or become co-mingled with HSI? Based on the trending toward OOT and other forms of Web-based video delivery, I think the odds are even it could go either way. At the ~ 13 min mark wireless treatment is also discussed. A hat tip to Doc Searls on the Cook Report discussion list earlier today for the pointer to this interview…

    ——

  • Frank A. Coluccio says:

    oops.. lol, I posted the above item to the wrong thread…

    Rob, you’ve got to get a blog editor for the less observant among us 😉 I’lll repost … feel free to delete the now two message that I’ve posted to ‘this’ thread.

    f

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