EE revenues under pressure in Q1, 4G growth continues

News Wireless United Kingdom 27 APR 2015
EE revenues under pressure in Q1, 4G growth continues

UK mobile operator EE added 1.7 million 4G customers in the first quarter, taking the total to 9.3 million, up by 224 percent compared to the end of March 2014. It said it was well on track to reach its 14 million 4G customer target by the end of the year. Some 96 percent of new customers chose plans with LTE in the first quarter, nearly half on 4GEE Extra ‘double-speed’ service.

Total connections, including M2M, MVNO and fixed bases, rose 0.6 percent to 30.9 million in the first quarter, compared to 30.7 million in the first quarter of 2014. Postpaid mobile adds, including M2M, rose by 111,000 in the quarter. Postpaid churn was a low 1.2 percent.

EE recorded GBP 1.54 billion of revenue in the first quarter, up 0.5 percent on a comparable basis with the year-earlier period. Operating revenue rose by 0.3 percent year-on-year excluding regulatory impacts, but declined by 1.1 percent including them.

Mobile APRU grew by 1.1 percent on the first quarter of last year, excluding regulatory impacts. Including them, it declined by 0.5 percent. Non-text mobile data revenue rose by 5 percentage points to 52 percent of ARPU.  

EE also had more than 7,700 medium and large business clients using LTE. The operator said that its 4G network now covers 87 percent of the population and its double-speed 4G 67 percent.

In fixed services, EE saw 15 percent revenue growth, as it added 50,000 customers, mainly through cross-selling and early success of the EETV service. The operator's tablet base rose by 59 percent, the mobile Wi-Fi base by 25 percent and the fixed broadband base by 19 percent on March 2014.

EE paid its shareholders Orange and Deutsche Telekom GBP 406 million in the first quarter ahead of its EE’s sale to BT, due by the end of the year, reports the Financial Times. EE must distribute 90 percent of its free cash flow every six months to its joint owners.

Categories:

Mobile,  General

Companies:

EE

Countries:

United Kingdom

Tags:

Voice services, Data services, Messaging, Sales figures, Financial figures, Internet Access, Consumer, Enterprise, 4G - LTE

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