Feeds

Analysts hang up on C&W's growth plans

Shares down nearly 13 per cent

5 things you didn’t know about cloud backup

Cable & Wireless (C&W) shares dropped nearly 13 per cent this afternoon following analyst doubts over the British telecoms group’s new growth objectives.

The Bracknell-based firm laid out its new business targets for Europe, Asia and US at an investors meeting today and said it was aiming to set annual revenue growth at between five and eight per cent over the next five years.

It said earnings before interest, taxes, depreciation and amortisation would see annual growth between 20 and 25 per cent.

However, sceptical analysts, many of whom predict that the firm will shortly demerge, have questioned the likelihood of C&W meeting such ambitious targets.

The company, which has recently undergone a painful restructuring exercise that has so far led to some 3,000 job cuts, said that it hoped to expand its operations overseas to offset a decline in traditional voice sales.

It added that it has been gaining ground in India, where just last month C&W was granted international long distance and national long distance licences by the Department of Telecommunications.

It also reckoned sales from its network services division would add to revenue.

But the City clearly disagreed with the firm's robust stance this afternoon, sending shares tumbling to 155.4 pence, down 22 pence on yesterday's close. ®

5 things you didn’t know about cloud backup

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
So, Apple won't sell cheap kit? Prepare the iOS garden wall WRECKING BALL
It can throw the low cost race if it looks to the cloud
EE fails to apologise for HUGE T-Mobile outage that hit Brits on Friday
Customer: 'Please change your name to occasionally somewhere'
Time Warner Cable customers SQUEAL as US network goes offline
A rude awakening: North Americans greeted with outage drama
Shoot-em-up: Sony Online Entertainment hit by 'large scale DDoS attack'
Games disrupted as firm struggles to control network
We need less U.S. in our WWW – Euro digital chief Steelie Neelie
EC moves to shift status quo at Internet Governance Forum
BT customers face broadband and landline price hikes
Poor punters won't be affected, telecoms giant claims
prev story

Whitepapers

5 things you didn’t know about cloud backup
IT departments are embracing cloud backup, but there’s a lot you need to know before choosing a service provider. Learn all the critical things you need to know.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?