ForthNet’s losses widen on LLU gains

20 Mar 2008

Greek alternative fixed line and broadband operator ForthNet’s full year 2007 net losses widened to EUR32.5 million (USD60.0 million) from EUR16.7 million in 2006, on increased costs of local loop unbundling (LLU) and subscriber acquisition. Annual revenues grew 21.7% year-on-year to EUR119 million, as broadband subscribers doubled in twelve months to reach approximately 200,000 at the end of December (and subsequently reached 210,000 at the end of February 2008). LBITDA widened from EUR5 million in 2006 to EUR20 million last year, but the company expects to start posting gains in the second half of 2008 on improved operating performance and a new LLU subscriber acquisition cost accounting method. ForthNet’s CAPEX reached EUR64.3 million in 2007, up from EUR36 million the previous year. As of February 2008 it claimed to be Greece’s market leader for LLU customers with a 35% market share.

Greece, Nova (formerly Forthnet)