Prague, 7 August 2008 − The results of T-Mobile Czech Republic in the first 6 months of 2008 again prove the Company´s strategy is successful. T-Mobile strengthens its market position, brings targeted offers and complex solutions of both residential and business customers´ voice and data needs.
The Company increased its leadership in the number of active SIM cards. Out of the total of 5.31 million customers, almost 2.4 million are contract customers representing 44.6% of the base. The financial results were also positive: The total revenues grew year-on-year by 5.2% to CZK 16.2 billion; EBITDA amounted to more than CZK 7.9 billion (higher by 10.2%) and EBITDA margin increased to more than 49%. Average revenue per user (ARPU) amounted to the level of CZK 496.
"To keep a leadership position is a great challenge, especially in such an innovative and quickly changing environment," says Roland Mahler, Managing Director of T-Mobile Czech Republic a.s, adding: "We take the achieved results for a great success; we particularly appreciate the increasing weight of our contract customers. The development of financial figures is also very favorable and proves that the customers value our services and the care provided to them."
During the first six months of the year, the Company introduced a number of innovative services and products: enhanced its data services portfolio by ADSL, launched T-Mobile Bonus, a new loyalty program or the complex business solution called T-Mobile Profinet. In May, the Company launched T-Mobile Rodina (Family) and T-Mobile Team propositions, tariff add-ons enabling free calling within a group of up to five people for single monthly fee.
T-Mobile´s long-term focus on environmental issues was reflected in a recycling support campaign which was based on offering customers a voucher for each obsolete mobile phone returned to T-Mobile shops. The value of each recycling voucher (Recyklistek in Czech) was CZK 200 incl. VAT and could be used when purchasing a new handset, Twist set or accessories at T-Mobile shops. The 3-month activity resulted in excellent more than 50,000 discarded handsets collected.
Customers: The largest customer base, No 1 with regard to contract customersThe monthly churn (i.e., the number of customers who decided to stop using the operator´s services) remains more or less stable: based on a year-on-year comparison, this indicator increased by only 0.1 percentage point to 1.4%.
Financial results: increase in revenues and EBITDAThe achieved results clearly show that T-Mobile can appeal to customers with favorable services, thanks to which they are no longer afraid to use mobile communications services to a larger extent: the examples of the most successful services are T-Mobile Family and T-Mobile Team, enabling free calling within the group of up to 5 people.
"The telecommunication market is getting more and more complex − diversification on one hand, convergence on the other one. IT, telco and media worlds are blending together, bringing very interesting, innovative ideas. We´re aware of it and ready to play a significant role in the development," says Roland Mahler, commenting on the Company´s plans.
H1 2008 results:
Q2/07 | Q2/08 | % y.o.y. | H1/07 | H1/08 | % y.o.y. | |
Customers('000) | 5,140 | 5,313 | 3.4 | 5,140 | 5,313 | 3.4 |
Contract customers | 2,014 | 2,372 | 17.8 | 2,014 | 2,372 | 17.8 |
Twist customers | 3,125 | 2,941 | -5.9 | 3,125 | 2,941 | -5.9 |
Noví zákazníci ('000) | 31 | 40 | 29.0 | 91 | 42 | -53.8 |
Contract customers | 99 | 79 | -20.8 | 205 | 145 | -29.3 |
Twist customers | -68 | -39 | -43.3 | -114 | -103 | 9.6 |
Average monthly churn (%) | 1.3 | 1.3 | 0,0 pp | 1.3 | 1.4 | 0.1pp |
Total revenues (CZK million) | 7,975 | 8,264 | 3,6 | 15,407 | 16,205 | 5.2 |
ARPU revenue (CZK million) | 7,667 | 8,037 | 4,8 | 14,812 | 16,685 | 5.9 |
EBITDA (CZK million) | 3,644 | 3,911 | 7,3 | 7,223 | 7,961 | 10.2 |
EBITDA margin - total revenues (%) | 45.7 | 47.3 | 1.6 pp | 46.9 | 49.1 | 2.2 pp |
EBITDA margin - ARPU revenues | 47.5 | 48.7 | 1.1 pp | 48.8 | 50.8 | 2.0 pp |
ARPU | 499 | 507 | 1.5 | 484 | 496 | 2.5 |
Contract customers | 950 | 874 | -8.0 | 942 | 863 | -8.4 |
Twist customers | 218 | 217 | -0.5 | 209 | 212 | 1.4 |
Non-voice % of ARPU | 19 | 21 | 2 pp | 19 | 21 | 2 pp |
ADSL + further enhancement of data services
New T-Mobile Bonus
T-Mobile ProfiNet
T-Mobile Rodina
T-Mobile Team
T-Mobile Czech Republic, a member of the international telecommunications group Deutsche Telekom, has almost 6.2 million customers, the number-one operator in the Czech market. T-Mobile is an integrated operator: in addition to telecommunications services, it offers comprehensive ICT solutions not only for companies, but also for other organizations and individuals. It provides outstanding services in the high-speed network, which was proved repeatedly by benchmark testing performed by umlaut (former P3) with Best-in-Test seal.
T-Mobile Czech Republic places emphasis on taking a responsible approach to the environment and society. It adheres to fair business practices, helps beneficial applications and services to see the light of day, supports non-profit organizations, small businesses and individuals, and lends a helping hand whenever crisis situations arise. The company’s employees serve as volunteers in many places across the entire Czech Republic.
More information about the company is available at www.t-mobile.cz, www.t-press.cz (the portal for journalists) and www.t-mobile.cz/pomahame (information on the company’s CSR activities).
Contact details of the press unit: press@t-press.cz.