Salt turnover dips following UPC, Coop defections

23 Aug 2019

Swiss full-service provider Salt has booked a 2.8% year-on-year drop in turnover for the second quarter of 2019, as headwinds from the migration of former MVNO partners UPC Switzerland and Coop Mobile to Swisscom in January 2019 offset revenue growth from Salt’s fibre and post-paid mobile divisions. Revenue for the period was CHF247.1 million (USD251.3 million), compared to CHF254.2 million a year earlier, whilst the migration of former MVNO subscribers accounted for a CHF9.6 million drop in service revenue. Q2 EBITDA was CHF125.1 million, up from CHF120.0 million a year earlier due to a change in accounting standards, excluding which EBITDA dipped from CHF122.0 million to CHF109.9 million. Free cash flow for the period was CHF59.5 million, up from CHF53.4 million in Q2 2018.

Salt’s mobile subscriber base totalled 1.796 million at end-June 2019, compared to 1.920 million twelve months earlier, with pre-paid lines making up the bulk of the disconnections at 118,000, whilst post-paid contracts made up the remaining 6,000. Details of Salt’s fixed line operations remain scant, however, with the company claiming over 50,000 fixed line subscribers, without stating whether this figure represented customer relationships, RGUs or an alternative metric. Its fibre-to-the-home (FTTH) footprint reached 1.45 million households at end-June 2019, although the ‘Fibre Storm’ programme of its network partner Swiss Fiber Network is expected to accelerate FTTH exploitation and integration and help Salt reach its target of 2.0 million homes passed.

Switzerland, Salt (Switzerland)