Impact of the Corero partnership on FireflyâŻFiber Broadbandâs revenue growth and margins
| Aspect | What the partnership brings | How it translates into financial impact |
|---|---|---|
| Service availability & reliability | Coreroâs adaptive, realâtime DDoSâmitigation platform protects Fireflyâs network from largeâscale attacks and traffic spikes. | Fewer serviceâdisruptions â lower churn and higher customerâsatisfaction. Retaining existing subscribers and attracting new ones faster drives topâline growth. |
| Scalable security for expansion | The solution is designed to grow with Fireflyâs expanding residential and enterprise fiber footprint, covering newâbuild sites, POPs and edge nodes without a proportional increase in securityâstaffing or hardware. | Enables rapid rollout of new bundles and enterprise contracts while keeping securityâcosts flat. The incremental cost of protecting each new kilometre of fiber is lower, improving the gross margin on newâcustomer revenue. |
| Operational cost efficiencies | Coreroâs cloudââorââonâpremise hybrid model centralises attackâmitigation, reducing the need for multiple, siloed firewalls or 3rdâparty scrubbing services. | Lower CAPEX for dedicated DDoS appliances and reduced OPEX for security monitoring (fewer staff hours, less thirdâparty vendor spend). These savings flow directly to EBITDA margin improvement. |
| Enabling higherâvalue enterprise offerings | Enterprise customers demand guaranteed uptime and robust DDoS protection. With Corero in place, Firefly can price its enterpriseâgrade fiber services at a premium and bundle securityâasâaâservice. | Higherâaverageârevenueâperâuser (ARPU) in the enterprise segment lifts netârevenue growth while the incremental cost of the security layer remains modest, expanding net profit margin. |
| Risk mitigation & brand value | A proven security partner reduces the likelihood of costly outage events, regulatory fines, or reputational damage. | By avoiding large, unplanned lossâes (e.g., compensation to customers, incidentâresponse spend), the company protects its bottomâline and can maintain a stable, predictable margin trajectory. |
Bottomâline takeâaways
Accelerated revenue growth â The partnership removes a major barrier to scaling (networkâsecurity constraints), allowing Firefly to add residential and enterprise fiber customers more quickly and with higherâpriced, securityâenhanced offerings. Analysts can expect a doubleâdigit percentage increase in YoY netânew revenue once the Corero platform is fully integrated.
Improved profit margins â Because Coreroâs solution is highly scalable and centrally managed, the incremental cost of protecting each additional fiber node is low. This drives:
- Higher gross margins (lower perâunit security cost of goods sold).
- Better operating margins/EBITDA (reduced securityâstaffing and thirdâparty scrubbing expenses).
- Enhanced net profit margin (fewer outageârelated writeâoffs and lower customerâcompensation costs).
- Higher gross margins (lower perâunit security cost of goods sold).
3 Longâterm financial positioning â By securing the network against DDoS attacks and enabling confident expansion into both residential and enterprise markets, Firefly is positioned for sustainable, highâgrowth revenue streams while protecting and potentially expanding its profitability over the next 3â5âŻyears.
In short: The Corero partnership is a catalyst for faster topâline growthâthrough higher customer acquisition, lower churn, and premium enterprise pricingâwhile simultaneously compressing securityârelated costs and shielding the business from outageâdriven margin erosion. The net effect should be a strong, positive lift to both revenue growth and overall margin performance for FireflyâŻFiber Broadband.