VodafoneZiggo posts 2.3% sales hike in Q3

5 Nov 2020

Dutch quadruple-play operator VodafoneZiggo’s total revenues grew 2.3% year-on-year to EUR1.005 billion (USD1.175 billion) in the third quarter of 2020, marking its sixth consecutive quarter of growth. Adjusted EBITDA rose 6.4% y-o-y to EUR478.5 million in 3Q20, supported by sales growth and cost control, partially offset by the negative net impact of COVID-19, while Q3 net loss improved by 66% to EUR21.0 million primarily driven by foreign exchange gains and EBITDA growth.

Consumer cable revenue grew 2.0% in Q3 to EUR527.8 million, largely driven by a 3% increase in ARPU (with VodafoneZiggo implementing an average 3.4% price increase in July 2020 across its customer base), offsetting the impact of customer decline as internet subscribers decreased by 12,000 in the quarter, primarily due to rising market competition. The operator has deployed a 1Gbps DOCSIS 3.1 network passing more than two million homes – having now concluded the rollout in both Rotterdam and Amsterdam – and expects to increase gigabit coverage to three million households by the end of 2020.

Consumer mobile revenue increased 2.3% to EUR218.8 million resulting from strong customer base growth and higher handset sales partially offset by a decrease in ARPU. Q3 consumer post-paid ARPU fell 5% y-o-y to EUR18, primarily driven by differences in phasing of converged discounts compared to the prior-year period and reduced out-of-bundle roaming revenue associated with COVID-19 travel restrictions. 58,000 net post-paid mobile customers were added in July-September, supported by low post-paid churn, and year-to-date net customer additions improved by 46,000 y-o-y to 148,000.

Netherlands, VodafoneZiggo