Zon 2Q09 net income falls 52.5%

3 Aug 2009

Portuguese triple-play provider Zon Multimedia has posted net income of EUR9.6 million (USD13.7 million) for the second quarter of 2009, a 52.5% year-on-year decline. Revenues for the quarter were up 6.8% on the same period a year earlier, ending June 2009 with EUR199.1 million. The company attributed the drop in net income to rising costs, in particular a 40.3% rise in the commercial costs associated with the connection of new customers to the network. In the three months ended 30 June 2009 operating expenses excluding depreciation and amortisation grew by 7% to EUR132.5 million. Meanwhile, CAPEX for the quarter was EUR44.9 million, up from EUR40.4 million a year earlier.

The company ended June 2009 with 391,000 triple-play customers, up 155% from 153,300 at the end of 2Q08. The broadband customer base grew by 32.9% over the course of the year, up to 572,600 by the end of June. Zon also added 59,200 net new fixed line telephony customers in the quarter, ending 2Q09 with 478,600 subscribers.

Portugal, Nos