Q1 2016: T-MOBILE ANNOUNCES satisfactory RESULTS

• Customers: 6 million mark exceeded
• Mobile service revenues increased after a period of decline
• Data fever: consumption higher y/y by 120% 

In the first quarter of 2016, T-Mobile Czech Republic continued to focus on monetizing mobile data and on its B2B potential. Compared to the same period last year, the operator´s mobile service revenues have increased y/y by 1.4% which reflected in an EBITDA increase by 7%. The company’s customer base has remained stable compared to the previous year, with mobile customers exceeding 6 million.

“The results confirm the excellent condition of the company. We proved we are able to offer a full range of integrated services both to B2C and B2B customers. A long-term focus on delivering excellent data speeds, integrated B2B services and innovative solutions brings its results,” says Milan Vašina, Managing Director at T-Mobile Czech Republic and Slovak Telekom, adding: “We believe that the closer cooperation with Slovak Telekom, which we have started this year, can strengthen our position in the near future even more.” 

Customers 

As of March 31, 2016, the number of T-Mobile´s mobile customers exceeded 6 million. More than 3.6 million customers (60% of the customer base) were using one of the contract tariff plans, 2.4 million opted for a prepaid service. The average monthly churn rate (i.e. the share of customers who decided to stop using the operator’s services) decreased y/y to 1.3%.

´000	Q1/2015	Q1/2016	% y/y
Number of customers – mobile services	5,993	6,024	0.5%
Contract customers	3,519	3,628	3.1%
Prepaid customers	2,474	2,396	-3.2%
Net adds	-7	5	n/a
Contract customers	19	31	63.2%
Prepaid customers	-26	-26	0.0%
Average monthly churn – mobile services	1.5%	1.3%	0.2%p

Financial indicators

The first three months of 2016 brought evidence of stabilization of the Czech telecommunication market. Total revenues from mobile and fixed-line services reached CZK 6.3 billion, with revenues from mobile services totaling CZK 4.5 billion. The average monthly revenue per user (ARPU) increased year-on-year to CZK 247. Adoption and use of data services have been growing dramatically: the trend is mirrored in the share of non-voice services in ARPU from mobile services, which increased year-on-year by 7 percentage points to the level of 48%.

CZK	Q1/2015	Q1/2016	% y/y (rounded)
Total revenues (million)	6,563	6,327	-3.6%
Service revenues (million) – mobile services	4,411	4,472	1.4%
EBITDA (million) (integrated services)	2,546	2,725	7.0%
EBITDA margin (EBITDA/total revenues)	38.8%	43.1%	4.3%p
ARPU – mobile services	245	247	0.8%
Contract customers	356	353	-0.8%
Prepaid customers	89	89	0.0%
Non-voice % of ARPU – mobile services	41%	48%	7%p

More information on T-Mobile’s activities in Q1 2016 is available here.

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.