Hungary’s Magyar Telekom reported that its total revenues reached HUF159.3 billion (USD491.8 million) in the first quarter of 2020, up 0.2% year-on-year, as increases in telecommunication service revenues in both Hungary and North Macedonia (Makedonski Telekom) were offset by a decline in Hungarian System Integration/IT sales. Operating profit was up 1.1% y-o-y in 1Q20 at HUF12.7 billion, while the group posted a HUF1.6 billion quarterly net loss attributable to owners of the parent (compared to net profit of HUF3.1 billion in 1Q19). Quarterly EBITDA was up 0.1% to HUF46.4 billion.
Mobile revenues increased by 3.9% y-o-y to HUF88.1 billion in January-March 2020 as the continued increase in mobile data revenues more than offset the decline in voice revenue witnessed in Hungary and North Macedonia. Fixed network revenues remained stable y-o-y at HUF52.8 billion as higher broadband and TV revenues were offset by the decline in equipment sales and other revenues. Fixed voice retail revenues declined by 5.0% to HUF10.0 billion, reflecting the continued decline in voice usage levels in both countries. Broadband retail revenues increased by 9.4% to HUF14.7 billion, showing growth in both countries of operation.
Magyar Telekom won Hungarian mobile spectrum licences including 5G-suitable frequencies in late March 2020; it confirmed in its latest report that it paid the one-off fee for the licensing – HUF54.2 billion – in April 2020.