Tele2 Croatia customers up by nearly 50%, EBITDA remains negative

11 Feb 2009

The Croatian mobile subsidiary of Swedish group Tele2 has posted a 58.2% increase in revenue to SEK859 million (USD105 million) for full year 2008. However, the GSM operator, which launched in October 2005, also reported that EBITDA losses worsened by 9.7% in 2008 to SEK363 million, whilst EBIT losses worsened by 15% to SEK446 million. Tele2 Croatia is continuing to invest in its network expansion, though CAPEX was cut by 14.5% year-on-year in the year under review to SEK235 million. Nevertheless, Tele2 was generally pleased with its results in Croatia, as it almost doubled its number of customers in twelve months to 703,000 at the end of December. Larger rivals T-Mobile Croatia and VIPnet, a unit of Telekom Austria, reported end-year subscriber bases of around 2.7 million and 2.5 million respectively, giving Tele2 a 12% share of the Croatian market.

Croatia, Telemach Hrvatska (formerly Tele2)