Market share of Mobiltel remains stable as quality of subscriber base improves
Mobiltel, the leading mobile operator in Bulgaria, increased its customer base by 0.9% to 5.2 million customers at the end of September 2009 compared to the end of September 2008. Mobiltel’s market share remained almost stable at 49.7% at the end of 3Q 09 compared to the end of 3Q 08. The mobile penetration rate in Bulgaria rose from 136.8% in the previous year to 139.4% at the end of 3Q 09.
MOU per subscriber grows by 5.9%
Average minutes of use charged per subscriber increased by 5.9% to 98.2 minutes in 3Q 09 whereas usage per contract subscriber declined. Lower contract usage together with lower prices as a consequence of fierce competition led to a decline in ARPU to EUR 9.1 in 3Q 09 compared to EUR 10.1 in 3Q 08.
Mobiltel’s revenues declined from EUR 179.0 million in 3Q 08 to EUR 157.7 million in 3Q 09 mainly due to lower subscription and traffic revenues as well as lower revenues for roaming and interconnection following regulation. The economic downturn in Bulgaria impacted Mobiltel’s business and private customer segments. A reduction of mobile termination rates to EUR 11.8 cents in 3Q 09 compared to EUR 16.4 cents in the previous year led to lower interconnection revenues.
Strong cost control reduces operating expenses by 12.0%
EBITDA margin increases from 55.9% to 56.8%
Operating expenses were reduced by 12.0% resulting in a higher profitability and mitigated the EBITDA decline from EUR 100.0 million in 3Q 08 to EUR 89.6 million in 3Q 09. EBITDA margin increased from 55.9% in 3Q 08 to 56.8% in 3Q 09.
Mobiltel’s operating income decreased from EUR 56.4 million in 3Q 08 to EUR 44.8 million in 3Q 09 as lower expenses partly offset lower revenues.