Sunrise books CHF28.5m losses as mobile revenues drop

23 May 2013

Swiss telco Sunrise has reported revenues of CHF454.16 million (USD466.65 million) for the three months to 31 March 2013, a drop of 4.9% compared to a year earlier, as greater earnings from the broadband segment failed to offset declining income from the mobile and fixed telephony sectors. EBITDA dipped from CHF152.01 million to CHF141.24 million, whilst EBITDA margin declined by 0.8 percentage points to 29.0%. Net earnings swung to losses of CHF28.51 million, compared to net profits of CHF9.63 million in Q1 2012.

Wireless revenues declined by 4.3% year-on-year to CHF303.55 million as price erosion undermined the impact of subscriber growth, despite an increase in the portion of users on more lucrative post-paid plans. Sunrise claimed 2.132 million mobile subscribers as at end-March 2013, of which 55.9% were contract users, compared to 2.123 million and 53.3% twelve months previously. Over the same period, monthly ARPU declined from CHF43.5 to CHF41.1. By contrast, broadband revenues increased by 8.0% y-o-y to CHF486.96 million despite net losses of some 6,000 subscriptions to 366,000. Meanwhile, broadband ARPU increased by CHF0.3 to CHF36.3 per month whilst the number of Sunrise TV subscriptions reached 50,000, compared to 38,000 three months earlier.

Switzerland, Sunrise Communications