Versatel reports first half results

28 Aug 2007

German telco Versatel saw its revenues grow by 37.5% to EUR337.7 million (USD461.4 million) for the six months to the end of June this year, compared with EUR245.7 million in the first half of 2006. During the first half of 2007, Versatel added 85,100 residential DSL customers, totalling 547,700 on 30 June. EBITDA for the six months to the end of June 2007 decreased by EUR17.5 million year-on-year to EUR92.8 million, due to falling prices and increased expenditure, particularly on network expansion and investments in improved customer service. CAPEX reached EUR91 million in the first half, compared to EUR53.6 million in the same period of 2007. The total included a one-off spend of EUR12.5 million on increasing network coverage; Versatel has reached an additional 1.2 million households since the end of 2006, taking total coverage to over nine million in over 200 cities.

Versatel’s full-year target for revenue is between EUR680 million and EUR700 million, and the firm remains convinced that it can continue to attract significant numbers of new residential DSL customers.

Germany, 1&1 Versatel