KPN Group Belgium announces continued strong profitable growth for Q3 2012
- Underlying service revenue growth of 9.0% y-o-y
- EBITDA margin at 36.8%, strong underlying EBITDA growth of 17% y-o-y
- Accelerated roll-out of high speed data network continues
- Service revenue market share around 20%
KPN Group Belgium publishes today its results for the third quarter of 2012. Performance in the quarter was once again strong as the company delivered profitable growth. Services revenues showed a growth of 2.8% versus the same period last year. The EBITDA margin was 36.8% in the third quarter of 2012. The company also made continued progress with the roll-out of its high speed data network.
During the third quarter of 2012, total underlying revenues and other income of KPN in Belgium increased by 6.9% compared to Q3 2011. Belgium continues to deliver strong underlying service revenues with a growth of 9.0%, corrected for MTA (EUR 6 million), lower Roaming revenues because of EU regulation (EUR 4 million), incidentals and restructuring costs. Like in previous quarter, this vigorous performance was driven by increased use of mobile data services, good performances in Business-to-Business and wholesale. The EBITDA margin in Q3 2012 in Belgium was stable at 36.8% vs. 36.9% in Q3 2011. Underlying EBITDA growth remained strong at 17%. Service revenue market share is expected to have grown further to approximately 20%*.
In Q3 2012, prepaid net adds corrected for clean-up grew to 234k. The prepaid clean-up contained the disconnection of 930k expired SIM cards leading to negative prepaid net adds of 696k. Several important commercial initiatives were launched during this last quarter in order to further strengthen its position on the market. BASE renewed its product portfolio by launching BASE All Unlimited, BASE Check 15; BASE All 10 and BASE All 20. BASE launched a special campaign for the 10 years anniversary of the BASE brand in September. Jim mobile developed a new prepaid offer.
New propositions, further network roll-out
During the third quarter of 2012, KPN Group Belgium continued the high speed data roll-out, leading to data growth via own and partner brands. New 3G sites were commercially opened in 65 cities and municipalities and business areas in Q3 2012.
*KPN Management estimates
KPN Group Belgium nv/sa
KPN Group Belgium nv/sa is a 100% subsidiary of Koninklijke KPN N.V. KPN offers mobile voice and data services in Germany (E-Plus and its sister brands), Belgium (BASE and its sister brands) and the Netherlands (KPN, Hi and Telfort). At the end of September 2012, KPN Group Belgium had a wireless service revenues market share around 20%. In 2011, KPN had a turnover of EUR 781 million in Belgium with an EBITDA of EUR 273 million and amounted 810 employees. The company's headquarters are in Brussels; it positions itself alone and with partners as an innovator in products and services via a segmented, multi-brand approach which it offers online, via its captive stores BASE & ALLO telecom and through indirect channels.