Masmovil adds over 500,000 clients in Q3, profits up 27% to EUR 152 mln

Spanish telecommunications provider Masmovil, the country’s fourth largest network operator, reported service revenues up 20 percent year on year to EUR 1.27 billion in the first 9 months of the year after adding over 500,000 customers in the third quarter alone. Recurring 9-month EBITDA was up 27 percent year on year to EUR 428 million and also rose by 27 percent in the third quarter to EUR 152 million, with the quarterly EBITDA margin rising to 31 percent. The operator, which has recently been acquired by the Lorca Telecom consortium of buyout funds KKR, Cinven and Providence, described the results as “solid” and "in line with forecasts" in spite of the special circumstances arising from the pandemic.

Masmovil ended September with a total of 11.3 million lines across its wide portfolio of brands (Masmovil, Yoigo, Pepephone, Llamaya, LycaMobile and Lebara, among others), up around 31 percent year on year. Around 9.5 million of the total are mobile customers, including 6.2 million on postpay contracts, and 1.8 million fixed broadband customers. The latter have increased by over 33 percent compared to Q3 2019 thanks in part to the 100,000 net broadband additions in the July to September period alone. 

In a short statement, the company added that its fibre-optic footprint now exceeds 25 million marketable homes, thanks in part to co-investment agreements signed with Orange and Vodafone, while its 4G coverage reaches 98.5 percent of the Spanish population. It has also launched 5G services in a total of 19 Spanish cities via its Yoigo brand since September.

Earlier this month, Masmovil was delisted from the Madrid, Barcelona, Bilbao and Valencia stock exchanges after new owner Lorca said it wanted the company to implement its long-term business plan free from the pressure of market fluctuations.