A strong performance in Africa and the Middle East has helped Orange weather the challenging conditions in its key European markets
French telecoms giant, Orange, saw revenues dip slightly in the first quarter of 2019 to €10.185 billion, as competition in the French and Spanish telecoms sectors continues to intensify.
Revenues were down by 0.1 per cent on a year on year basis, but Orange Group’s CEO, Stéphane Richard, saw reasons for optimism, particularly in the company’s fixed line broadband operations.
The validity of our fibre strategy has been confirmed. We’ve accelerated deployment in France, Spain and Poland, reinforcing our European leadership position with 33.7 million connectable households, 12.4 million of which are in France. This progress can also be seen in a very positive commercial performance; in particular, France delivered another record quarter in terms of new fibre subscribers, adding a further 168,000 customers," he said.
Richard also pointed to strong growth in the company’s Middle Eastern and African operations, which he said would play an increasingly significant role in the Group’s portfolio.
"I’d also like to highlight the very solid results from our Africa and Middle East operations that once again recorded revenue growth of over 5 per cent. Indeed, with the rapid roll-out of our 4G networks, to the benefit of 17.6 million clients, and the growing availability of affordable smartphones, mobile internet usage is taking off and accounts for two thirds of mobile revenue growth," he said.
Orange has long sort to broaden and diversify its core business offerings beyond the traditional telecoms remit and Richard said that the company would continue to do so in the mid to long term.
"This quarter marks a new milestone in our multi-services operator strategy. In addition to our initiatives in mobile financial services in Africa and Europe, we have launched two new offers in France that will capitalise on our presence in the home: “Home protection” is a remote monitoring service that is already off to a very encouraging start, and “Connected home” brings together our ambitions for IoT in the home," he concluded.
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