T-Mobile expands Czech 3G network

7 Jun 2011

The Czech operating arm of Deutsche Telekom’s T-Mobile cellular group has expanded its 3G network with the rollout of services to an additional 14 cities and 44 municipalities. As a result of the expansion, carried out last month, the cellco’s 3G network now covers 128 cities and 336 municipalities, equivalent to 48.83% of the population. It hopes to boost this figure to 500 locations by the end of this year. To help reach this goal, in February it signed a network sharing deal with rival Telefonica O2 CR. Under the six-year cooperation deal the pair have already launched a pilot trial and currently share ten cell sites.

According to TeleGeography’s GlobalComms Database, T-Mobile Czech reported a 9.4% fall in consolidated revenue for the three months to 31 March 2011, to CZK6.5 billion (USD391 million). Turnover from mobile operations declined 10.8% year-on-year to CZK6.0 billion it said, while EBITDA fell 5% to CZK3.3 billion. On a positive note the EBITDA margin improved by 2.3 percentage points to 50.7% in the first quarter, and revenues derived from data services increased by 1% y-o-y to represent 24% of mobile revenues in the period under review. As at 31 March 2011 T-Mobile CR had a total of 5.446 million mobile subscribers, down 3,000 year-on-year, of which 51.4% were on monthly contracts, up 3.6% or 98,000 versus the year-earlier quarter. Monthly blended ARPU was CZK370, down 10.8% on the same period of 2010, impacted by a 13.8% fall in contract ARPU to CZK579 per month, and a 12.6% dip in pre-paid monthly ARPU which fell to CZK146.

Czech Republic, T-Mobile Czech Republic