DataPro coming in fast

ADSL South Africa (Broadband South Africa), 28 May 2006

DataPro is coming in fast if you let their latest financial results do the talking. In a nutshell and in line with director expectations: Revenue up 57%, Operating profit up 80%, Net profit before tax up 153% and Earnings per share up 36%.

DataPro’s smart move to increase their investment in the business based on a longer-term view is starting to pay off. Recent acquisitions such as NetraLINK, a specialist Internet business solution provider, and not so recent ISP acquisitions such as @lantic and Wickhit form part of the above mentioned investment strategy. They now “have a platform to build an integrated telecommunications company that can effectively compete in this sector” according to Douglas Reed, Chief Executive Officer of the DataPro Group. More competition from DataPro’s side means even more pressure on Telkom to reduce wholesale prices and subsequently good news for consumers.

Reed also commented on DataPro’s aggressive broadband strategy saying that “our results reflect the positive contribution this has had with increased sales, lower input costs, usage-based billing and additional products, which increased the gross margin percentage. ADSL is currently growing at around 12% per month, and DataPro is quickly gaining market share.”

DataPro has shown that it understands the concept of mutual benefits. Independent Internet Marketers have played a role in their success through affiliate-based marketing. OfferForge, dedicated manager of DataPro’s online affiliate advertising campaign, should be one of many that are happy about the state of affairs at DataPro, at least for the moment.

To come to a conclusion: Competitors should take note. DataPro is coming in fast with guns blazing. Like others, it’s aiming to bend Telkom’s center of power to accommodate lower prices and better service - aiding both the consumer and provider. As far as a ISP goes - they far outstrip Telkom internet in terms of pricing , service and customer support.