SOURCE: Service Point Solutions, S.A.

February 29, 2008 09:01 ET

Service Point Solutions, S.A. : Service Point 2007 net profit increases 86% to 9 million Euros

BARCELONA, SPAIN--(Marketwire - February 29, 2008) - - Revenues jump 61% on organic and M&A-led growth

- Net debt slashed by 44% despite EUR 42mn investment during the year

- Net profit soars 86% to EUR 9mn

- EUR 80mn of investment funding capacity

- Board will propose the AGM doubling the dividend

Service Point Solutions, S.A (SPS.MC) has reported excellent FY07 earnings marked by significant growth throughout the P&L. Net profit jumped 86% year-on-year to EUR 9mn.

Revenue growth was driven by high levels of contract renewal, new customer adds and the acquisitions of SP Holland in October 2006, Allkopi (Norway) and CBF Print Management (UK) in June 2007 and Quality Imprés (Spain) in September 2007. Revenues climbed 61% to EUR 213.7mn.

EBITDA rose 43% to EUR 27.8mn. The EBITDA margin had a positive evolution through the year reaching a 13% on December 2007. This margin is not directly comparable across businesses: the Norwegian and Dutch businesses have different revenue mixes and they expense equipment purchases, while the other subsidiaries acquire these assets under finance leases.

EBIT rose 66% to EUR 14.1mn, a margin of 6.6% (up from 6.4%), reflecting the successful integration of newly acquired companies and the increasing profitability of Service Point customer base. At Service Point Holland, management concentrated on improving margins and contribution to consolidated profit by focusing strategically on boosting the ROI on customer contracts. It is to mention the performance of the Spanish business (9% of Group revenues) stands out. Revenues rose 33.9% on 2006 to EUR 19.3mn, while EBITDA amounted to EUR 3.7mn at a margin of 19.3%. The bottom line jumped 71.9% to EUR 2.1mn.

The company invested EUR 42mn in 2007 while still managing to cut net debt by 44% from year-end 2006 to EUR 39.9mn. In September 2007 Service Point expanded its syndicated loan by EUR 40mn (47%), bringing the total facility to EUR 100mn. The syndicate group is led by Lloyds TSB Bank.

In addition, the cost of debt narrowed to a spread of 90bps, bringing interest expense down. The company currently has capacity of around EUR 80mn to invest in organic growth and to buy new targets.

The Board of Directors will propose doubling the dividend against reserves to EUR 0.04 per share at the General Shareholders' Meeting next June.

(See pdf link below)

Service Point Solutions ( is a Spanish multinational and a leading provider of digital reprographics and document management services in Europe. It employs over 2,545 people across 7 countries (the UK, US, Spain, Germany, Holland, Belgium and Norway) through a network of 117 service points and 715 facilities management programs. SPS is headquartered in Spain and listed on the Madrid and Barcelona stock exchanges (ticker: SPS.MC).

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Contact Information

  • For further information:

    Service Point Solutions S.A. Deva

    Cori Pellicer/Elena Leal/Ana Luzuriaga

    Email Contact / Email Contact / Email Contact

    Tel +34 93 5082400 / +34 91 3601669 / +34 91 3601665

    Fax +34 93 5082442 / +34 91 360 16 70