Robust results in challenging operating environment
T-Hrvatski Telekom, Croatia’s leading telecommunications provider, announces unaudited results for the six months to 30 June 2013.
Group Highlights
- Revenue down 5.9% to HRK 3,435 million or EUR 454 million (H1 2012: HRK 3,649 million, EUR 484 million)
- Non voice revenue up 2.9%
- Fixed broadband ARPA up 2.3% to HRK 127
- Smartphone sales at 56.0 % of total postpaid handsets sold
- EBITDA down 17.8% to HRK 1,362 million (EUR 180 million) and margin at 39.7% (H1 2012: HRK 1,657 million or EUR 220 million, 45.4%)
- EBITDA before exceptional items down 14.2% to HRK 1,422 million (EUR 188 million), margin at 41.4% (H1 2012: HRK 1,657 million or EUR 220 million, 45.4%)
- Net profit down 29.4% at HRK 570 million (EUR 75 million), margin at 16.6% (H1 2012: HRK 808 million or EUR 107 million, 29.4%)
- Operating cash flow down 7.9% to HRK 1,073 million (EUR 142 million)
- Capex up 64.9% to HRK 612 million
Residential Segment
- T-HT maintained its leading position in all three markets (mobile, fixed line and IP)
- Mobile subscribers down 0.6% (up 2.0% on Q1 2013)
- 521,901 broadband retail access lines, down 1.2% (down 0.4% on Q1 2013), and 353,232 TV customers, up 8.1% (up 1.5% on Q1 2013)
- Revenue down 3.1%, due mainly to lower voice revenue in mobile and fixed
- Contribution to EBITDA of HRK 1,325 million, down 5.9%
Business Segment
- Substantial customer base across all segments and products
- Mobile subscribers down 3.5% (up 0.7% on Q1 2013)
- 109,550 broadband retail access lines, up 3.4% (flat on Q1 2013) and 21,062 TV customers, up 6.2% (up 0.6% on Q1 2013)
- Revenue down 9.3%, due largely to lower voice revenues in mobile and fixed
- Contribution to EBITDA of HRK 822 million, down 18.3%
Ivica Mudrinić, President of the Management Board (CEO), said: We have delivered a resilient set of results and maintained our leading market position despite continued pressure from the challenging operating environment in the second quarter of 2013. We are extending our portfolio of services and investing in our future.
Our focus on improving Group network capabilities continues alongside a range of e-transformation projects underway across the business. Development of the Group’s LTE coverage is making good progress, the innovative TeraStream project remains on track and we have closed the first local exchange following the migration of all of its customers to an IP based voice delivery platform.
At the same time, we have addressed more immediate issues such as Croatia’s accession to the EU, introducing special tourist offers, amongst others. Whilst monitoring progress in the business during the important third quarter, the Group maintains its full year financial outlook for 2013.”