Numericable-SFR swung to a net profit in the second quarter and reported improving revenue trends, but its customer base declined.
The French telco generated revenue of €2.8 billion in the three months to 30 June, up 1.5% sequentially but down 2.4% on last year. Mobile postpaid ARPU edged up 0.4% compared to Q2 2014 to €26.1, while fixed ARPU grew 3.8% to €35.3.
"The marketing strategy aimed at generating ARPU growth, generating value through a clear focus on high-end customers and quadruple play is now bearing fruit in both fixed and mobile," the company said in a statement.
The telco’s fibre-to-the-home/building (FTTH/B) network covered more than 7 million premises at the end of Q2, and the company said it is on track to reach 7.7 million by the end of the year. Numericable-SFR’s 4G network reached 58% population coverage.
However, Numericable-SFR’s overall customer base fell, with mobile subscribers declining to 21.9 million from 23.1 million a year earlier, and fixed subscribers falling to 6.4 million from 6.6 million; of those 6.4 million, 1.7 million subscribe to fibre-based broadband.
A 10% decline in capex resulted in EBITDA minus capex increasing by 49% to €647 million, while net profit came in at €79 million, compared to year earlier loss of €116 million.
Meanwhile, Numericable-SFR’s parent, Altice, reported revenue of €3.9 billion for the second quarter, down 3.2% year-on-year on a constant currency basis. EBITDA grew 11% to €1.5 billion.
Altice completed the purchase of Portugal Telecom on 2 June. Revenue at the newly-acquired operation fell 7.1% on-year to €590 million, driving a 7.7% decline in EBITDA to €225 million.
