Finnish multi-service operator (MSO) DNA Finland has published its financial results for the quarter ended 31 March 2019, posting a 2.9% year-on-year increase in revenues, which it said was ‘fuelled by the growth of mobile device sales and mobile service revenue, which was boosted in particular by the positive development of [its] subscription base’. In the three-month period under review DNA generated a total turnover of EUR228.9 million (USD255 million), up from EUR222.3 million a year earlier, with mobile revenues accounting for the lion’s share – EUR162.5 million – up from EUR153.6 million in 1Q18. By comparison, revenues from fixed line services continued to decline, falling to EUR66.4 million in 1Q19, compared to EUR68.8 million in the corresponding period a year earlier.
DNA also recorded a 7.7% annualised increased in EBITDA to EUR76.1 million, with the EBITDA percentage of net sales standing at 33.2% (1Q18: 31.8%). While DNA acknowledged that the positive development of the economic indicator was ‘mostly’ due to the impact of IFRS 16, it did note that growth of service revenue had also contributed. Operating income, however, fell by 1.2% y-o-y to EUR34.8 million, due to an increase in depreciation in the quarter. Nonetheless, net income for the first quarter of 2019 totalled EUR25.3 million, representing an increase of 3.4% from the EUR24.4 million reported for 1Q18.
In operational terms, at the end of March 2019 DNA had a total of 2.851 million mobile subscribers on its books, up from 2.811 million year earlier, with an increasing proportion of these – 2.489 million, up from 2.425 million – now on post-paid plans. In the fixed broadband market, meanwhile, DNA also registered a growth in accesses, which rose from 467,000 to 485,000, though fixed voice subscriber numbers continued on a downward trajectory, falling to just 38,000 at end-March 2019, compared to 51,000 a year earlier.