DGAP-News: 1&1 Drillisch Aktiengesellschaft
/ Key word(s): 9 Month figures/Quarterly / Interim Statement
1&1 Drillisch AG - on a Course of Growth in the First Nine Months of 2019
- Number of customer contracts rises by 580,000 to 14.12 million, a plus of 860,000 in the year-on-year comparison
- Revenues increase by 1.3% to EUR2.755 billion, service revenues by 3.4% to EUR2.226 billion
- EBITDA: -3.1% to EUR508.7 million
- Like-for-like analysis excluding significant effects not comparable to those of the previous year: EBITDA rises by 6.8 %
Maintal, 12 November 2019 - 1&1 Drillisch AG (ISIN DE 0005545503) continued on its course of growth in the first nine months of 2019. The Company was again able to improve its customer base and revenues. On a like-for-like basis, EBITDA also rose further insofar as effects with a significant impact on earnings that are not comparable with the previous year were eliminated in the calculation.
During the first nine months of 2019, 1&1 Drillisch continued to invest in new customer contracts as well as in increased value of current customer relationships to secure sustained growth in profits. The number of customer contracts in the current product lines rose by 580,000 to 14.12 million contracts (31/12/2018: 13.54 million) during the first nine months. The new contracts were acquired in the mobile internet business where the number of customers rose to 9.78 million (31/12/2018: 9.20 million). Broadband lines of 4.34 million contracts remained constant during the first nine months of the year. In comparison with 30/09/2018, the number of customer contracts increased in total by 860,000 (6.5%).
Revenues rose by 1.3% from EUR2,719 million in the same period last year to EUR2,755 million in the first nine months of 2019. The high-margin service revenues increased as planned by 3.4% to EUR2,226 million (9M 2018: EUR2,152 million). 1&1 Drillisch focuses on these earnings because they are sustainable and determine the profit. Besides the new customers, our current customers who have previously used our plans in the Vodafone mobile network are displaying heightened interest in changing to fast LTE rate plans. As 1&1 Drillisch offers its LTE rate plans at reduced prices for the first contract year, service revenue growth in the first nine months decreased by 1.3%; otherwise, it would have amounted to 4.7%.
Consolidated EBITDA (earnings before interest, taxes, depreciation and amortisation) in the first nine months of 2019 declined by EUR16.1 million (3.1%) to EUR508.7 million (9M 2018: EUR524.8 million). Excluding the effects of IFRS 16 (EUR+4.7 million), the announced one-offs (EUR-3.8 million; previous year: EUR-12.4 million), the regulatory decision on the increase in subscriber line charges (EUR-4.4 million), the initial costs for our 5G mobile network (EUR-2.5 million) and, in particular, the additional costs for our advance service purchases following the expiration of the temporary adjustment mechanism of an advance service contract at the end of 2018 (EUR-59.0 million), a comparable EBITDA would have increased by 6.8%. Contrary to original expectations, the expired arrangement was not compensated for by a price reduction during the reporting period following arbitration proceedings.
The consolidated EBIT (earnings before interest and taxes) in the first nine months of 2019 amounted to EUR391.3 million (9M 2018: EUR409.1 million).
Performance indicators pursuant to IFRS - comparison 9M 2019 v 9M 2018
The interim report will become available on the Company's home page on 12 November 2019.
Maintal, 12 November 2019
1&1 Drillisch AG
Disclaimer: This report contains statements regarding the future which are based on the current assumptions and projections of the 1&1 Drillisch AG management. Various risks, uncertainties and other factors, both known and unknown, can cause actual developments, especially in the results, financial position, and the business of our Company, to deviate substantially from the projections about the future as they are shown here. The Company does not undertake any obligation to update such future-oriented statements and to adapt them to future events or developments.
Head of Investor Relations
12.11.2019 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
|Company:||1&1 Drillisch Aktiengesellschaft|
|Phone:||+49 (0) 6181 - 412 218|
|Fax:||+49 (0) 6181 - 412 183|
|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange|
|EQS News ID:||910003|
|End of News||DGAP News Service|