0
General

Belgacom loses 43,000 mobile customers as FY sales lift 0.9%

Friday 1 March 2013 | 09:34 CET | News

Belgacom added 46,000 fixed internet customers in 2012 to reach a total of 1,637,000, and 175, 000 Belgacom TV customers to 1,386,00. Meanwhile, the number of mobile customers droppedby 43,000 (-16,000 postpaid and -17,000 prepaid) to a total 5,416,000 and the number of customers with a fixed line decreased by 119,000 to 3,085,000. The total of customers went up by 148,000, with 1,237,000 opting for a Pack.

Mixed mobile ARPU decreased by 9.2 percent in 2012 compared to the year before. Data and SMS revenues both declined while churn peaked in the fourth quarter at 36 percent, from 25 percent the year before.

CEO Didier Bellens attributed the fall in mobile to the difficult Belgian mobile market, which saw an unprecedented customer rotation following the change in contract rules under Belgium’s new telecom law. Heightened competition with the entrance of Telenet also brought down mobile pricing. Bellens said the company responded to the new market conditions by revisiting its mobile offerings, decreasing mobile customer churn.

Belgacom ended the year with total revenues at EUR 6.46 billion, up 0.9 percent from the year before. EBITDA fell 6.7 percent to EUR 1.78 billion with the EBITDA margin at 27.6 percent. The net profit fell by EUR 45 million to EUR 711 million.

The Consumer Business Unit saw sales growth rise 1.4 percent from the year before, mainly driven by strong growth of TV and continued uptake of fixed and mobile data products, underbuilt by the success of the convergent Packs. Sales at the Enterprise Business Unit slid 2.3 percent, with revenue contribution of ICT and mobile data not able to fully compensate the erosion from fixed and mobile voice. At Belgacom International Carrier Services, sales advanced 5.3 percent, driven by strong mobile data growth as well as increase in voice traffic.

Capex for the year reached EUR 753 million, or 11.7 percent of group revenue. Belgacom’s fibre coverage reaches now 85 percent and its 3G-outdoor coverage over 97 percent. The total free cash flow by end 2012 amounted to EUR 691 million, down by 97 million from the year earlier due to the lower EBITDA, the acquisition of Wireless Technologies (The Phone House) and the payment of the 4G spectrum license and higher income tax payments.

Belgacom closed the year with its financial debt at EUR 1.60 billion, or 0.9 times EBITDA (before non-recurring items).

The company will propose a dividend of EUR 2.49 gross per share for 2012.

For 2013, Belgacom is guiding for revenues down 1-2 percent from the year before and EBITDA down 4-6 percent due to accounting changes. The company plans to accelerate investment in Vectoring on its VDSL2 network and simplify its architecture.  



Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Categories: General
Companies: Belgacom / BICS / Telenet
Countries: Belgium
::: add a comment

Add comment

We welcome comments that add value to the discussion. We attempt to block comments that use offensive language or appear to be spam, and our editors frequently review the comments to ensure they are appropriate. If you see a comment that you believe is inappropriate to the discussion, you can bring it to our attention by using the report abuse links. As the comments are written and submitted by visitors of the Telecompaper website, they in no way represent the opinion of Telecompaper.






24%
KPN grows to 24% of TV revenues
Netherlands  |  2015 Q3

Calendar   /   Industry Events

11 Feb Nokia Q4 2015
11 Feb Nextgentel Q4 2015
11 Feb Verisign Q4 2015
11 Feb FireEye Q4 2015
11 Feb Pandora Q4 2015
11 Feb Groupon Q4 2015
11 Feb Telecom Italia Q4 2015
11 Feb Infinera Q4 2015
11 Feb Brightcove Q4 2015
11 Feb Vonage Q4 2015
11 Feb Redknee Solutions fiscal Q1
11 Feb Turk Telekom Q4 2015
11 Feb Qualcomm analyst meeting
12 Feb Kabel Deutschland fiscal Q3
15 Feb Orange Poland Q4 2015
15 Feb Cisco Live Berlin 2016
16 Feb Harmonic Q4 2015
16 Feb Rackspace Q4 2015
16 Feb Ceragon Networks Q4 2015
16 Feb StarHub Q4 2015
16 Feb Orange Q4 2015
16 Feb Sonus Networks Q4 2015
16 Feb Container World
17 Feb Vimpelcom Q4 2015
17 Feb Eutelsat fiscal H1
17 Feb EarthLink Q4 2015
17 Feb Radcom Q4 2015
17 Feb Gilat Satellite Networks Q4 2015
17 Feb Nvidia fiscal Q4
17 Feb Net Insight Q4 2015
::: More Calendar Items