TP Group: revenues keep falling

24 Feb 2011

The Polish telecoms group TP SA has reported a 5.1% decline in revenue for the year ended 31 December 2010 to PLN15.72 billion (USD3.35 billion), compared to the previous year’s fall of 8.8%. The company points to a gradually improving picture during the course of the year, however, with 1Q10 revenue down by 10.2% year-on-year while its 4Q10 decline was just 1.2%. Fixed line revenues for the year were down 8.5% to PLN9.03 billion, while mobile sales fell by 0.4% to PLN7.71 billion. Restated EBITDA for the year was PLN5.77 billion compared to PLN6.28 billion in 2009: the restated figures exclude a PLN1.1 billion provision for a legal dispute, which was recorded in 3Q 2010. Reported EBITDA for the year fell by 25% to PLN4.71 billion.

Operationally speaking, the group’s wireless arm Orange Poland recorded 14.33 million customers at the end of December, up 4.5% year-on-year. Of the total, 547,000 were mobile broadband access customers, while 1.49 million used smartphones. The number of retail fixed lines fell by over 10% during the course of the year, to 6.35 million, while retail broadband accesses climbed by just 0.6% to 2.29 million. The group’s TV customer base was the principal cause for celebration, jumping 46.2% to 544,000 at the end of the year, of which 115,000 received services via an IPTV platform and the remainder via direct-to-home (DTH) satellite services.