Monaco Telecom FY12/13 revenue drops 12%; disposal plans receive lukewarm response from Principality

22 May 2013

UK-based Cable & Wireless Communications (CWC) has reported that its Monaco Telecom unit generated revenues of USD236 million for the twelve months ended 31 March 2013, down 12% on an annualised basis, due to ‘a reduction in transit traffic volumes’. However, EBITDA increased 27% year-on-year to USD75 million and operating profit jumped 55% to USD48 million. In operational terms, Monaco Telecom claims that its mobile customer base grew 9%, without stating a subscriber figure. The boost in user numbers is credited to the launch of new tariffs.

With reference to Monaco Telecom’s ongoing sale to Batelco, CWC notes: ‘We have had interaction with the Principality of Monaco on the required transfer consents for the remaining 75% of [holding company] Compagnie Monegasque de Communication (CMC) to Batelco and the feedback has not been as positive as we expected. Whilst we continue to liaise with the Principality in relation to the transaction with Batelco, CWC and Batelco are also considering the alternative options available given the uncertainty of receiving the required approvals’.

Elsewhere, CWC notes: ‘Following receipt of the required consents and approvals the Group completed the sale of its businesses in the Maldives, the Channel Islands and Isle of Man, South Atlantic and Diego Garcia. Regulatory approval for the transfer of CWC’s business in the Seychelles has not yet been obtained however we are not aware of anything that would prevent completion of this transfer … We are making good progress towards obtaining the approvals required for completion of the Macau disposal. We continue to expect the transaction to close between July and October 2013’.