Financial Analysis

Colt Group SA

Introduction

Managerial decisions are based on the financial position of the company. Hence, in order to analyze financial position and company's performance, there are various evaluation methods. Since, each business slightly differs in operation, environments and methodology, this tends to leaves numerous opportunities of Trial and Error.

The analysis of financial statements offers a most important foundation for measuring performance of the business and trend with respect to industry. For this, each management member should be enough efficient and skilled so that they can track areas where downfall can be improved or eliminated for future business success.

The focus of this paper will be on analyzing Colt Group SA with it main competitor BT Group plc in order to assess their recent performance using financial ratios techniques.

Overview of COLT Group

Colt Group is European based multinational telecommunication company that offers IT related services to city based large, small and midsize business. Company was established in 1992 by Jim Hynes and headquartered in London with office registered in Luxembourg.

Colt group has continued to give competition in the European telecommunications market. This company network has been associated with 40 financial market of Europe that serves business center in almost 20 countries. Beside this, Colt Group also has their operation in India and United States (Colt Group SA annual Report, 2012).

Business Units of Colt Group

Colt group in 2011 consist of three customer business units. These are:

Colt Enterprise Services: This unit offer this services to financial, media and broadcast along with legal and government bodies.

Colt Communication Services: This unit meets the requirements of other operators via offering Colt's European network & data centers access. Services offer to mid-size business.

Colt Data Centre Services: This area serves Modular data centre.

Beside these, there are other two business units that give support to the customer facing arms. These are Infrastructure Services and Business Services (Colt Group SA annual Report, 2012).

Services of Colt Group

Services offered by Colt groups' broad-band data, voice, internet and other business service of telecom to corporate customers and communications carriers. Furthermore, they also involve in offering private leased circuits with access of internet and carrier services like access of frame relay. It also offers private enterprises network connection along with wed hosting. There product and services are as followed:

Application hosting

Cloud services

Consultancy and Professional Services

Interactive Voice

Internet Services

Infrastructure Hosting

Data Networking

Security Services

Telephony

Data Centre Services

There are further sub divided into different products and services. Colt Group has more than 35000 customer including BNP Paribas, Deutsche Bank, and Rentokil Initial. FMR which is the giant financial services operate more than 36% of the company share (Colt Group SA annual Report, 2012).

Financial highlights 2012

During 2012, Colt Group has increased their focused on their customers' needs through segmentation. Beside this, they have strengthen their channel capabilities via initiating franchise channel so that small and medium sized enterprises requirements can be meet.

They have also enhanced their portfolio in 2012 with launching various services and products. As far as their revenue is concern, they managed to increase in ...