Premiere Global Services, Inc.: Company Profile and SWOT Analysis

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Premiere Global Services, Inc.: Company Profile and SWOT Analysis
Premiere Global Services, Inc.



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Premiere Global Services, Inc. Financial Snapshot



Operating Performance

Fast Facts

3280 Peachtree Road NW, Atlanta, The company reported revenue of US$441.75 million

Headquarters Address

30305,United States of America during the fiscal year 2010 (2010). The company's

revenue declined at a compounded rate of -2.88%

Telephone + 1 404 2628400

during 2006–2010, with an annual decline of -2.69%

over 2009. In 2010, the company recorded an

Fax + 1 404 2628540 operating margin of 4.75%, as against 9.99% in 2009.



Website www.pgi.com

Revenue and Margins

Ticker Symbol, Stock Exchange PGI, New York Stock Exchange



Number of Employees 1,700



Fiscal Year End December



Revenue (in US$ million) 441.75









SWOT Analysis



Strengths Weaknesses Return on Equity



Broad Portfolio of Offerings Decreasing cash position The company recorded a return on equity (ROE) of

2.00% for 2010, as compared to its peers, Cisco

Systems, Inc. (Ticker: CSCO), Verizon

Strong Customer Base Overdependence on North America Communications Inc. (Ticker: FLIR) and BT Group plc

(Ticker: BT.A), which recorded ROEs of 17.54%,

Strong Operating Margin 6.61% and -135.92% respectively. The company

reported a net profit margin of 4.75% in 2010.

Opportunities Threats

Return on Equity

Growing Demand for Conferencing &

Currency Exchange Risk

Collaboration



Positive outlook for SaaS Highly Competitive Market



Strategic agreements Strict Regulations









Liquidity Position



The company reported a current ratio of 1.25 in 2010,

as compared to its peers, Cisco Systems, Inc.,

Verizon Communications Inc. and BT Group plc,

which recorded current ratios of 2.67, 0.73 and 0.60

respectively. As of December 2010, the company

recorded cash and short-term investments of worth

US$15.10 million, against US$3.58 million current

debt. The company reported a debt to equity ratio of

0.76 in 2010 as compared to its peers, Cisco

Systems, Inc., Verizon Communications Inc. and BT

Group plc, which recorded debt to equity ratios of

0.35, 1.37 and -4.83 respectively.









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Premiere Global Services, Inc. - SWOT Profile Page 1

Premiere Global Services, Inc.



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TABLE OF CONTENTS



1 Business Analysis ................................................................................................................................... 5

1.1 Company Overview .................................................................................................................................................5

1.2 Business Description ...............................................................................................................................................5

1.3 Major Products and Services ...................................................................................................................................6

2 Analysis of Key Performance Indicators ............................................................................................... 7

2.1 Five Year Snapshot: Overview of Financial and Operational Performance Indicators ...........................................7

2.2 Key Financial Performance Indicators ...................................................................................................................10

2.2.1 Revenue and Operating Profit .......................................................................................................................10

2.2.2 Asset, Liabilities and Capex ..........................................................................................................................11

2.2.3 Net Debt vs. Gearing Ratio ............................................................................................................................12

2.2.4 Solvency ........................................................................................................................................................13

2.2.5 Valuation ........................................................................................................................................................14

2.3 Competitive Benchmarking ....................................................................................................................................15

2.3.1 Market Capitalization .....................................................................................................................................16

2.3.2 Efficiency .......................................................................................................................................................17

2.3.3 Capital Expenditure .......................................................................................................................................18

2.3.4 Valuation ........................................................................................................................................................19

2.3.5 Turnover – Inventory and Asset ....................................................................................................................20

2.3.6 Liquidity ..........................................................................................................................................................21

3 SWOT Analysis ............................

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