MásMóvil sees “good business momentum” in H1
July 31, 2020
Spanish telco MásMóvil has presented its H1 results in which the Company, despite the health crisis caused by Covid-19, continues to maintain its growth in adding customers from fixed and mobile broadband and its main financial parameters.
During this period, MásMóvil continues to increase the Group’s profitability and has obtained an EBITDA of €277 million (+28 per cent). The EBITDA margin in the first half has increased from 27 per cent in H1 2019 to 31 per cent in H1 2020.
In the second quarter, EBITDA reached €143 million, 28 per cent more than that of the same period last year. The quarterly EBITDA margin has reached 32 per cent, compared to 27 per cent in the same period of last year.
Service revenues increased 19 per cent in the first half compared to the same period of last year, reaching 817M€. During the second quarter, these revenues reached €416 million, with an increase of 18 per cent vs. the same period of the previous year.
Total revenues during the first semester were €898 million, 13 per cent more than those of the same period last year. During the second quarter, total revenues reached €453 million (+10 per cent).
In the first half of the year, the Company obtained an adjusted net profit of €73 million (+36 per cent).
“We continue to maintain our good business momentum with sustained growth in our main operating and financial parameters despite the Covid-19 crisis”, said Meinrad Spenger, CEO of MásMóvil Group.
Significant increase in its fibre optic footprint (+27 per cent compared to 2Q19) during the first half of the year, reaching 25.2 millionhouseholds.
During 2020, MásMóvil continued to invest in the development of its own networks, mainly in the fiber optic network, and by the end of the first half of the year it had invested a total of €185 million, of which €43 million had been destined for this technology.
MásMóvil had at the end of the first semester 25.2 million of marketable households accessible with its fiber offer, 27 per cent more than the homes available in the same period of last year, of which 13.8 million (+82 per cent) correspond to its own fiber network or usage rights, which is equivalent to a coverage of 75 per cent of all first residences. The rest (12.4 million) are accessible thanks to the agreements with other operators.
According to a study by the prestigious French company nPerf, MásMóvil Group’s fixed and mobile networks have offered the highest speed during the first quarter of the year. Furthermore, its own mobile network and agreements with other operators allow the Group to have 4G coverage of 98.5 per cent of the Spanish population, the largest in Spain.
Meanwhile, the Company already has 80MHz in the 3.5GHz band to offer 5G services purchased at a price about 4 times lower than the average auction price. MásMóvil says it is the operator with the highest amount of spectrum per customer in Spain, doubling the spectrum per customer of its competitors.
Regarding commercial results, MásMóvil Group continues to maintain its good commercial momentum and closed the first half of the year with 634.000 net adds between mobile postpaid and fixed broadband.
During the second quarter and despite the restrictions imposed by the situation caused by Covid-19, the Group reached 261.000 adds in these segments. Of these customers, 153.000 are mobile postpaid and 108.000 are fixed broadband, being the eleventh consecutive quarter with a level of fixed broadband additions above 100,000 new clients.
By the end of the first semester, MásMóvil had 10.7 million lines, 29 per cent more than those of last year, of which, more than 8.9 million are mobile (6 million belong to the postpaid segment, 17 per cent more than the last year) and more than 1.7 million of fixed broadband, 39 per cent more than those of the previous year. 91 per cent of all broadband customers are fibre optic.
Prepaid mobile lines increased in 2Q20 by 59 per cent to 2.9 million lines once the mobile lines contributed by the acquisition of Lyca Spain were consolidated.
The Group confirms its guidance for 2020/21 despite the impact of Covid-19.