Vivacom reports plunge in net profit of BGN6.49m

2 May 2013

Bulgarian telecom operator Vivacom reported a drop in net profit to BGN3.75 million (USD2.53 million) in the first quarter of 2013 compared to BGN10.24 million in 1Q 2012, mainly attributed to regulatory intervention under which prices paid by foreign operators for calls from abroad to subscribers in the country was substantially reduced from 1 July 2012. The company’s total revenue plunged by nearly 10.7% year-on-year from BGN218.7 million to BGN195.4 million; however, the telco recorded a steady growth in the number of customers. The users subscribed to Vivacom’s mobile services increased by 13% year-on-year and those using mobile ‘data only’ services – by more than 30%, with a near-76% surge in TV subscriptions. The biggest growth, however, was recorded in the number of optical internet subscribers, which increased more than eight times in the period.

In the first quarter of 2013 Vivacom also doubled the maximum download speed to 42Mbps in its 3G network and increased the population and territory coverage to 99.41% and 95.95% respectively.

Bulgaria, Vivacom (BTC)