Release of 13.02.2018
Key financial and operating highlights in the full year 2017
- Group total revenues rose by 3.0% on a proforma1 basis (reported: +4.1%), EBITDA increased by 2.0% (rep.: +3.2%).
- Revenue increase driven by growth in fixed-line service revenues and equipment revenues, while mobile service revenues were lower due to roaming; the revenue increase was driven by all markets except for the Republic of Macedonia.
- Full year OPEX increased due to intensified sales activities and investments in A1 Digital, but also regulation-driven roaming expenses and higher than usual non-recurring items in Q4.
- EBITDA development in the full year 2017 was also impacted by:
- Restructuring in Austria: positive EUR 18.2 mn in 2017 compared to a negative EUR 7.2 mn effect in 2016.
- Positive FX effects in 2017: EUR 11.0 mn in revenues; EUR 3.3 mn in EBITDA.
- Positive one-off effects in total revenues and EBITDA of EUR 23.8 mn in 2017 compared to positive one-off effects in EBITDA of EUR 21.4 mn in 2016 (details see p. 25).
- Solid operational trend in the first nine months of 2017 weakened by seasonally lower EBITDA margin in Q4 but also higher Q4 OPEX versus last year driven by additional investments realising market opportunities in the Christmas season, A1 Digital and higher than usual non-recurring items.
- Negative roaming effect on EBITDA of approx. EUR 20 mn in 2017; high usage elasticity and higher than expected visitor roaming revenues at a Group level.
- Reported net result of EUR 345.5 mn in 2017 compared to EUR 413.2 mn in 2016, negatively impacted by brand value amortisation in the amount EUR 123.2 mn in 2017; excluding D&A from brand value amortisation reported net result grew by 13.4% in 2017.
- Free cash flow growth of 65.8% year-on-year to EUR 384.7 mn.
- Group outlook 2018: total revenue growth of 1-2% (on a reported basis), CAPEX2 of approximately EUR 750 mn.
| in EUR million | Q4 2017 reported | Q4 2016 proforma | % change | 1-12 M 2017 reported | 1-12 M 2016 proforma | % change |
|---|
| Total revenues |
1,130.0 |
1,110.8 |
1.7 |
4,382.5 |
4,254.9 |
3.0 |
| Service revenues |
940.2 |
941.1 |
-0.1 |
3,775.3 |
3,715.8 |
1.6 |
| Equipment revenues |
161.5 |
141.3 |
14.2 |
504.4 |
450.4 |
12.0 |
| Other operating income |
28.2 |
28.4 |
-0.7 |
102.8 |
88.7 |
15.8 |
| EBITDA |
288.3 |
278.7 |
3.5 |
1,397.3 |
1,370.4 |
2.0 |
| % total revenues |
25.5% |
25.1% |
|
31.9% |
32.2% |
|
| EBIT |
-20.1 |
53.9 |
n.m. |
443.9 |
496.2 |
-10.5 |
| % total revenues |
-1.8% |
4.9% |
|
10.1% |
11.7% |
|
| Wireless indicators | Q4 2017 reported | Q4 2016 proforma | % change | 1-12 M 2017 reported | 1-12 M 2016 proforma | % change |
|---|
| Wireless subscribers (thousands) |
20,657.7 |
20,707.8 |
-0.2 |
20,657.7 |
20,707.8 |
-0.2 |
| Postpaid |
15,580.7 |
15,041.0 |
3.6 |
15,580.7 |
15,041.0 |
3.6 |
| Prepaid |
5,077.1 |
5,666.8 |
-10.4 |
5,077.1 |
5,666.8 |
-10.4 |
| MoU (per Ø subscriber)* |
341.6 |
328.0 |
4.1 |
330.9 |
322.9 |
2.5 |
| ARPU (EUR) |
8.5 |
8.6 |
-2.2 |
8.6 |
8.7 |
-0.8 |
| Churn (%) |
2.2% |
2.2% |
|
2.0% |
2.0% |
|
| Wireline indicators | Q4 2017 reported | Q4 2016 proforma | % change | 1-12 M 2017 reported | 1-12 M 2016 proforma | % change |
|---|
| RGUs |
6,036.5 |
6,075.8 |
-0.6 |
6,036.5 |
6,075.8 |
-0.6
|
All financial figures are based on IFRS; if not stated otherwise, all comparisons are given year-on-year. EBITDA is defined as net income excluding financial result, income taxes, depreciation and amortisation and impairment charges.
*) Minutes of Use no longer include M2M subscribers. Comparative figures have been adjusted accordingly.
1) Proforma figures include M&A transactions made between the start of the comparison period and the end of the reporting period.
2) Does not include investment in spectrum and acquisitions.