Superloop revenue more than doubles following Exetel acquisition, wholesale growth

Connectivity and managed services provider Superloop has more than doubled its half year revenue thanks to contributions from recent acquisition Exetel and its wholesale business.

In the six months ended 31 December 2021, the company posted revenue of $119.8 million, up 125 percent from 53.3 million year over year, which includes contributions from Exetel and 18.1 percent organic growth.

Superloop acquired Exetel, which billed itself as Australia’s largest independent ISP, in June 2021 for $110 million as part of the company’s plan to accelerate the utilisation of its APAC network. Exetel also contributed to the jumps in consumer and business revenue of 220 percent and 180 percent, respectively.

The wholesale business also contributed to growth with a 12.8 percent revenue jump for the segment, following the launch and implementation of the company’s wholesale platform, Superloop Connect.

“Throughout the first half of this financial year, the group has achieved some significant strategic milestones, including the completion of the acquisition of Exetel and the announced sale of the Hong Kong business and select Singapore assets. Fundamentally, Superloop now has a simpler, more focused business, and a greater strategic focus on growth," Superloop chief executive and managing director Paul Tyler said.

“It is particularly pleasing that the growth across all segments demonstrates the true strength and diversification of the Superloop business model. Looking ahead, we will continue to balance this growth between profitability and re-investment into future growth.

“Whilst we have seen some solid contribution of the Exetel network synergies to be realised from the acquisition during the first half, we are looking to a greater contribution in the second half. Overall, I am comfortable that the business can deliver on its full-year expectations, subject to the pressures of the pandemic continuing to ease in the coming months.”

Superloop’s other segments also posted growth, with consumer growing 303.4 percent from $14.7 million in H1 FY2021 to $59.3 million this year, while Business grew 124.5 percent from $15.9 million to $35.7 million.

Looking ahead, Superloop expects underlying EBITDA will be in the range of $23 million to $25 million for the full FY2022 result.