Digi Communications posts 12.7% growth in FY21 revenues

1 Mar 2022

Romania-based Digi Communications has reported strong growth in revenues and revenue generating units (RGUs) in its preliminary unaudited results for the financial year ended 31 December 2021, with total consolidated group revenues up 12.7% to EUR1.47 billion (USD1.647 billion) and RGUs passing 20 million. Digi, which completed the sale of its Hungarian unit to 4iG on 3 January 2022, noted revenue from continuing operations was up 15.4% to EUR1.3 billion, while adjusted EBITDA (including IFRS 16) rose 8.4% year-on-year to EUR439.1 million, of which EUR410 million was from continued operations (up 9.5%). Pre-tax profit from continuing operations climbed 22.6% y-o-y to EUR88.76 million and full-year CAPEX excluding spectrum licences stood at EUR455 million, compared with EUR371 million in 2020.

In operational terms, Digi Communications claimed a total of 20.46 million RGUs across the group (including Hungary) at 31 December 2021, a 13% increase from 18.14 million twelve months earlier. Growth was driven by an 8.4% rise in pay-TV subscriptions (cable and satellite TV in Romania) to 5.1 million and a 19.3% increase in mobile subscriptions to 7.5 million (Romania, Spain and Italy), while the extension of its fixed network and infrastructure investment produced a significant rise in fixed broadband RGUs (Romania and Spain) to 4.3 million, up 19.3% y-o-y from 3.5 million twelve months earlier. Romania continues to be the group’s core market, contributing 14.07 million RGUs, followed by Spain (3.62 million) and Italy (324,000), while the discontinued Hungarian operation accounted for 2.45 million RGUs.

Commenting on the results, Digi Communications CEO Serghei Bulgac said: ‘The year 2021 brought a number of important changes in the DIGI Group structure and dynamics including the sale of our Hungarian operations, award of additional spectrum in Romania as well as entry into the Portuguese telecom market. These important steps will shape our long-term business and growth. We are pleased that we have achieved significant financial and operational performance. We will continue our efforts that have brought us consistent results and invest in infrastructure and technology to grow our business and maintain a high level of service quality for our customers.’