Sunrise books revenue decline, despite improving customer mix

9 Nov 2015

Swiss full service provider Sunrise has reported an 8.5% decline in turnover for Q3 2015, as subscriber growth in post-paid mobile, internet and pay-TV sectors failed to offset the ongoing decline in the pre-paid and fixed voice spaces, or the short-term effects of roaming price changes and the strengthening of the Swiss franc – which negatively impacted Sunrise’s handset and hubbing revenues. Total revenue for the three months ended 30 September 2015 was CHF487 million (USD483.8 million), down from CHF533 million twelve months earlier, and of which mobile services contributed CHF325 million (compared to CHF354 million in Q3 2014), fixed voice contributed CHF113 million (CHF127 million) and fixed broadband CHF50 million (down from CHF51 million). Despite the revenue decline, however, Sunrise registered net income of CHF14 million, reversing a loss of CHF53 million in Q3 2014 due to a substantial decrease in interest expenses.

In terms of subscribers, Sunrise counted 2.440 million mobile users at end-September 2015, an increase from 2.433 million at end-June 2015, but down from 2.496 million in Q3 2014. The decline has been entirely in the operator’s pre-paid user base, which slumped to 1.061 million from 1.193 million in September 2014, whereas its post-paid customer base has grown from 1.304 million to 1.379 million over the same period. Broadband subscriptions meanwhile reached 336,000, including 127,000 bundle (broadband plus IPTV) users, compared to 326,000 and 97,000 respectively in Q3 2014.

Switzerland, Sunrise Communications