DNA publishes 3Q19 results; confirms December launch for 5G fixed-wireless offering

22 Oct 2019

Finland’s DNA has published its financial results for the quarter ended 30 September 2019, reporting a 5% annualised increase in revenue to EUR238.8 million (USD266 million). Growth was said to have been driven by mobile service revenue, which increased by 8.1% year-on-year to EUR124.0 million, and higher turnover from mobile device sales, which rose by 10.5%. EBITDA for the three-month period under review was EUR79.3 million, up from EUR76.3 million in the corresponding period of 2018, though operating income fell by 5.4% y-o-y, to EUR37.1 million. Net income was also down against 3Q18, standing at EUR28.4 million in the operator’s latest fiscal quarter, compared to EUR29.6 million previously.

In operational terms, DNA reported a mobile subscriber base of 2.820 million at 30 September 2019, down marginally from 2.855 million a year earlier, but up from 2.807 million at the end of the previous quarter. In the fixed broadband sector, DNA had a total of 535,000 accesses at the end of 3Q19, up by almost 12% y-o-y, bolstered by the acquisition of ICT Elmo in June 2019 which saw DNA add some 30,000 fixed broadband customers to its books. Meanwhile, fixed voice access continued to decline, falling to 34,000 as at end-September 2019, down from 43,000 a year earlier.

Separately from reporting its latest financials, DNA has confirmed it will begin sales of its fixed-wireless 5G service in December this year. Saying it expects the service to ‘enable a fast and consistent broadband connection for households’, it will initially be available to premises in selected residential areas of the Helsinki Metropolitan Area, Tampere and Turku. Availability is expected to be extended to some of the country’s ‘other bigger cities’ early next year, meanwhile. DNA has been testing its fixed-wireless 5G offering in Vantaa and Hyvinkaa, and commenting on the fixed-wireless 5G launch plans, Pekka Vaisanen, DNA’s Senior Vice President, Consumer Business, said: ‘Fixed 5G is an extremely interesting service because it will help many homes and businesses with problems arising from inadequate data connections.’

In terms of timings for its 5G launch, meanwhile, Vaisanen confirmed: ‘We are simultaneously getting ready to launch other 5G services. For example, at the moment, the range of 5G phones is still very limited and the capacity of the devices is not sufficient. We won’t introduce 5G subscriptions and phones until the 5G network is comprehensive enough to genuinely serve our customers and there will be more technologically advanced 5G phone models available.’

Finland, DNA Finland