Romtelecom & COSMOTE Romania preserve their solid market position in Q3 2013, posting growth on key segments

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Romtelecom and COSMOTE Romania announce key performance indicators for the third quarter of 2013 fiscal year, ended September 30th, 2013, as reported by OTE Group.

 

Romtelecom

In the third quarter of 2013, Romtelecom proved its stable position in the market, reporting revenues of 152.6 million Euros, lower by 0.6% compared to the same period last year.

 

“This quarter, Romtelecom continued to report growth rates in the areas of strategic focus. Thus, the company’s key emphasis on TV and Internet, is reflected in subscribers’ increase, while on the business segment, Romtelecom consolidated its position as an important ICT player”, said Anastasios Tzoulas, Chief Financial Officer Romania.

 

The exclusive TV content, especially HD, resulted in a 7.2% increase of number of TV subscribers, and a corresponding growth in revenues from TV services of 8.2% for Q3 2013 as compared to the same period of last year. Revenues from Internet services grew by 3.8% in Q3 2013, while the number of subscribers also had a positive trend of 4.8% growth as compared to Q3 2012. Thus, Internet users surpassed 1.23 million in Q3, and TV subscribers 1.32 million respectively, while the number of RGUs surpassed 4.8 million.

 

Voice subscribers decrease was contained to 3.8% in Q3 2013, lower than the one registered in Q2 2013. As a provider of bundled services, the penetration rate of internet services in Romtelecom’s voice services customer base increased reaching 55%, while TV services over voice services registered a 58% penetration rate.

 

However, the biggest growth rate in revenues (221% compared to the same period last year) was registered by the ICT solutions, affirming Romtelecom’s efforts to consolidate its leading position in this segment. The implementation of turn-key ICT solutions delivered to corporate organizations, which include managed services, desktop virtualization, unified communications, IT security, as well as the diversity of cloud computing solutions, paid off.

 

 

COSMOTE Romania

 

In Q3 2013, despite intense price and regulation pressures, COSMOTE Romania defended its market position. In 9M 2013 versus 9M 2012, COSMOTE further increased its business customer base by 14.4% – as a result of the launch of Business Sizes unlimited tariff plans and of the synergies with Romtelecom for providing integrated services for strategic partners, such as BCR and Bancpost.

 

Following the continuous expansion of the business segment, as well as the enhancement on data services, total revenues in Q3 2013 reached €116 million. Pro Forma EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) stood at €33 million, down by 3.5% compared to Q3 2012. EBITDA margin reached 28.4%in Q3 2013, while service revenues increased by 2.9% compared to Q3 2012, driven by higher data revenues.

 

COSMOTE’s total customer base in Romania, including Zapp, counted 6.1 million at the end of September 2013, of which 25.4% was postpaid.

 

Blended ARPU (Average Revenue Per User) increased by 0.7% in 9M 2013 compared to 9M 2012, due to the launch of competitive, customer-centric propositions.

 

Anastasios_TzoulasThis quarter marked many significant achievements for COSMOTE Romania, such as the EBRD loan signing – which enhanced our resources, so we can pursue the optimal investment plan for our broadband development strategy – or such as the new postpaid portfolio, through which we radically simplified the mobile telephony experience. We thus put the grounds for a successful transformation journey towards the number one telecom integrated services provider in Romania, offering high quality services and innovation, as well as value at reasonable prices”, said Anastasios Tzoulas, Chief Financial Officer Romania.

 

COSMOTE Romania is constantly investing in optimizing its national sales distribution channels, which included, at the end of the third quarter, approximately 510 points of sale across the country.

 

Currently, COSMOTE Romania is also offering a state of the art 3G data network with mobile broadband download speeds of up to 43.2 Mbps in 212 cities and over 3100 areas across Romania, covering over 62.85% of the population. Moreover, customers enjoy speeds of up to 21.6 Mbps in HSPA+ technology in 248 cities across the country. Overall, 3G services cover more than 78.36% of the Romanian population. Also, the company offers 4G population coverage for 90% of the capital, alongside Otopeni, Ploiesti, Cluj, Iasi, Sinaia, Busteni and Predeal.

 

In Q3 2013, mobile operations of the OTE Group provided telecommunications services to approximately 15.6 million customers in SE Europe.