Tracfone grows Q4 revenues 62%, adds 1.1 mln subs

Wednesday 9 February 2011 | 10:52 CET | News
US MVNO Tracfone, a unit of America Movil, added 1.1 million new subscribers in the fourth quarter, and 3.3 million in the twelve months of 2010, to finish December with 17.7 million clients, an increase of 23 percent in the period. Quarterly revenues came in at USD 789 million, up 62.4 percent from a year earlier. ARPU expanded by 38 percent to USD 14. MOUs tripled to 300 minutes per subscriber, reflecting the greater weight that the StraightTalk plans have in Tracfone's commercial offerings, the company said. EBITDA for the period was USD 34 million, compared to a negative EBITDA of USD 2

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Categories: Mobile & Wireless
Companies: America Movil / Tracfone Wireless
Countries: United States
::: add a comment


T Cairns is right; it's the addition of tracfone's straight talk product that has given rise to their good numbers. The current market is definitely orientated on mass consumption, and now in lieu of Obama's broadband policy it's only going to get exploited even more. Still, trafone 'basic', is a vital component to servicing low end consumers like children, and seniors.
Kline Bellingham @ 20/2/2011 - 09:40

@Erhard I think it took the addition of Straight Talk, with it's catering towards high end users, and the ability to have an unlimited plan at an affordable rate. I reckon a lot of the new numbers are from this segment of the public. I use my phone extensively, and while Tracfone is ideal for low usage, it would have been a costly experience for me. Good to see prepaid on the rise though.
T Cairns @ 10/2/2011 - 10:50

It's wonderful to see that after more than a decade and a half of being around in the prepaid market, tracfone is starting to excel. More so, that it may be construed that the American people have caught on to the fact that prepaid is the only true way, to not only curb a phone bill, but properly control it too. The question begs then; why has it taken so long for people to wake up?
Erhard Oegher @ 10/2/2011 - 10:37

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