Release of 16.10.2018

Results for the 3rd Quarter and First Nine Months 2018

Key financial and operating highlights in the third quarter 2018
  • Group revenue increase of 1.4% driven primarily by higher service revenues from both mobile and fixed-line but also increased equipment revenues.
  • Service revenue growth in Austria, Bulgaria, Serbia and the Republic of Macedonia. Croatia was only down due to lower visitor roaming versus last year and Belarus due to FX effects.
  • Group EBITDA increased slightly, by 0.3% excluding restructuring charges, as higher service revenues more than outweighed higher advertising and content costs as well as investments in A1 Digital.
    • Excl. restructuring, EBITDA rose by 3.9% in Austria, profiting above all from the higher service revenues and an improved equipment margin.
    • Solid trends also continued in Bulgaria and Croatia which, however, were impacted by one-offs and the above mentioned roaming effect.
    • Positive EBITDA contributions from the Republic of Serbia and the Republic of Macedonia. 
  • 1.3% mobile subscriber growth driven by postpaid; RGUs increased by 2.8%, driven by CEE markets.
  • Excluding brand value amortisation in connection with the group-wide rebranding, the net result was flat year-on-year. (Reported: EUR 199.2 mn in 1-9 M 2018 versus EUR 357.1 mn in the comparison period).
  • Free cash flow in 1-9 M 2018 was stable compared to the prior year as lower interest payments outweighed higher CAPEX paid while cash flow from operations was stable.
  • Group outlook 2018 unchanged: total revenue growth of 1-2% (reported basis), CAPEX1 of approx. EUR 750 mn.
More information can be found at Interim Results. 


1) Does not include investment in spectrum and acquisitions.
 

Disclaimer for forward-looking statements:
This document contains forward-looking statements. These forward-looking statements are usually accompanied by words such as "believe", "intend", "anticipate", "plan", "expect" and similar expressions. Actual events may differ materially from those anticipated in these forward-looking statements as a result of a number of factors. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results or outcomes to differ materially from those expressed in any forward-looking statement. Neither A1 Telekom Austria Group nor any other person accepts any liability for any such forward-looking statements. A1 Telekom Austria Group will not update these forward-looking statements, whether due to changed factual circumstances, changes in assumptions or expectations. This report does not constitute a recommendation or invitation to purchase or sell securities of A1 Telekom Austria Group.

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