Mobistar records 28.1% slump in net profit in 1Q12

26 Apr 2012

Mobistar, the Belgian unit of France Telecom-Orange, has released its financial results for the three months ended 31 March 2012, with the operator posting a 28.1% year-on-year drop in net profit, which it said was primarily the result of ‘a lower EBITDA and the accelerated depreciations of the network through its complete renewal’. In its first quarter of the 2012 fiscal year, Mobistar recorded a consolidated net profit of EUR38.2 million (USD50 million), down from EUR53.1 million in the corresponding period of 2011. Consolidated turnover in 1Q12, meanwhile, stood at EUR399.5 million, compared to EUR400.9 million a year earlier, with service revenues accounting for the bulk of that – EUR358.4 million (down from EUR369.7 million in 1Q11). EBITDA for the three-month period declined by 9.7% against the same period a year earlier to EUR113.1 million. The results, the company said, were ‘negatively influenced by the reduction in the mobile termination rates (MTRs) in January 2012 and in the roaming tariffs in July 2011’. According to Mobistar, the impact of those reductions on revenues and EBITDA amounted to EUR11.6 million and EUR5.6 million, respectively. This impact though, it claimed, had been partially offset by ‘the increasing use of mobile data and the sale of handsets’.

In operational terms, at the end of March 2012 the telco reported an active mobile telephony subscriber base (including customers signed up to its virtual operator partners) of 4.089 million; excluding mobile virtual network operator (MVNO) customers the total was 3.517 million. Mobile internet customers numbered 152,112 (up from 116,237 a year earlier) at end-March 2012, while Mobistar also reported fixed broadband accesses totalling 82,272, up 24.3% year-on-year.

Belgium, Orange Belgium