DSNS Contract Renewal

RNS Number : 6751E

EXPANSYS plc

01 June 2012

 



EXPANSYS plc

("EXPANSYS" or the "Group")

DSNS Contract Renewal

EXPANSYS plc (AIM: XPS), announces the renewal of a contract by its subsidiary, Data Select Network Solutions Limited ("DSNS"), with an existing major UK mobile network partner.

As a result of the renewal terms, in the short to medium term, the Board expects the changes will reduce the current forecasted sales with this network which in turn will have a corresponding negative impact on the profitability of DSNS in FY 2013 in the UK market.  Whilst we will be looking to replace this reduced volume through business with other partners, we believe this change of terms will mean that achieving management expectations for DSNS in FY 2013 will be more challenging. The Board believes the contract will provide a potentially greater reward for DSNS on a per-customer basis in the longer term, when compared to the previous arrangements.

A fuller trading update for the Group as a whole will be given in due course.

Enquiries:

EXPANSYS plc

Anthony Catterson, CEO

Chris Ogle, CFO               Via M: Communications

Cenkos Securities

Stephen Keys or Camilla Hume

Tel: [phone]

[e-mail] / [e-mail]

Singer Capital Markets Limited - Joint Broker

Jonathan Marren

Tel. [phone]

[e-mail]

M:Communications

Ben Simons or Matthew Neal

Tel  [phone]

[e-mail] / [e-mail]

Investor relations website: www.EXPANSYS.plc.uk

About EXPANSYS

EXPANSYS Group believes it is uniquely positioned to offer network Operators and mobile Manufacturers value adding, end to end services on a global scale, through its 3 main operating entities.

EXPANSYS (AIM: XPS) is a global online consumer electronics retailer, operating directly in 51 countries, and over 120 countries indirectly, with a vast range of products, and a focused approach to range, service and value for its customers. EXPANSYS has recently begun to develop a strong partner eCommerce business providing multiple services for some of the world's leading brands (including Vodafone, HTC and Motorola), across large numbers of International markets.

The Group includes Data Select Network Solutions (DSNS), the UK market leading network connectivity distributor, selling products on behalf of major network operators and MVNO.DSNS has also now begun operations in the US market, where pre-pay solutions remain comparatively immature when compared to western Europe.

The Group also includes PJ Media, an eCommerce and web services and solutions business with expertise in the multi-channel telecommunications sector, and a number of large international blue chip clients including Vodafone.

 

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