PrimaCom posts 37% rise in 2014 revenue

25 Mar 2015

German cable network operator PrimaCom has reported revenue of EUR131.6 million (USD143.9 million) for the twelve months ended 31 December 2014, an increase of 37.2% from EUR95.9 million the previous year. EBITDA jumped 55.3% year-on-year to EUR55.2 million, driven by increased penetration of its triple-play (HD television, broadband internet and telephony) offering and the acquisition of smaller rival DTK Deutsche Telekabel, which was completed on 30 April 2014. Excluding the impact of subscribers acquired with DTK, revenues grew by 4.7% to EUR100.4 million and EBITDA rose 16.7% to EUR41.5 million. ‘Our 2014 performance reflects the success of our strategy of investing in our own state-of-the-art IP capable infrastructure,’ commented PrimaCom CEO Joachim Grendel, adding: ‘We generate more than 80% of our revenues via our backbone-connected network and higher value digital services, particularly premium TV and triple-play, continue to grow robustly. Our demonstrable success in upselling, together with our actions to drive down costs and capture synergies, combined to deliver healthy progress in our operational KPIs and strong growth in earnings. With a well-invested network and strong cash flows we are in an excellent position to continue on this successful path and accelerate our growth organically and by acquisition.’

PrimaCom revealed that customer numbers for broadband internet, HD television and fixed line telephony grew by 24.8% year-on-year during the period. The DTK acquisition expanded the number of reachable households by 30% to approximately 1.2 million and reinforced PrimaCom’s proposition to commercial housing and real estate customers; integration of DTK was completed on schedule in December. ‘We continue to examine further acquisition opportunities in line with our intention of continuing to play a leading role in the ongoing consolidation of the regional cable media sector in Germany,’ Grendel revealed.

Germany, PrimaCom