Telekom Romania announced yesterday the financial results for Q1 2020, and we are talking about an increase in the group's revenues in this period, compared to the same period last year. Even if Telekom Romania's revenues increased in Q1 2020 compared to Q1 2019, unfortunately we are also talking about a decrease in the number of customers, and this suggests that the group has managed to greatly streamline its way of doing business in order to have more profit big.
Telekom Romania first of all, it lost part of the customers of the television services division, the company avoiding giving a figure, but it is about 110.000 customers in the minus. The figure represents somewhere around 7/8% of the total number of customers in Q1 2019, 1.41 million, and Telekom Romania says that the difference comes from the transfer to IPTV technology, but it should not be forgotten that 2020 began with the removal of Discovery programs from the grid, and an increase in prices.
Telekom Romania: Continues to LOSE Customers in 2020
Telekom Romania it also lost customers in the internet services segment, without giving any figures, so it is very likely that the losses will be big for the company from this point of view. Apart from that, Telekom Romania managed to increase its customer base of mobile telephony services to a little over 4.6 million customers, but in Q1 2019 it had 4.65 million, so it is probably an insignificant increase, otherwise it would have been mentioned more clearly what happens.
"Revenues from fixed internet increased by 11,8% year/year, to the value of €18 million in Q1 2020, due to the increase in average revenue per user (ARPU), which was thus able to compensate for the decrease in the customer base. Revenues from TV services remained stable, with a base of 1,3 million subscribers, down compared to Q1 2019, especially in the DTH (satellite) segment, in the process of transferring to the new IPTV technology. The subscriber base of mobile services, including FMS, increased by 1,6% compared to the same period a
last year, to 1,6 million subscribers."
Telekom Romania mentions in its press release that it has a total customer base of mobile services of 1.6 million subscribers, but in Q1 2019 it was 4.65 million, so it is probably a communication error. In terms of total revenues, Telekom Romania had receipts of 237.1 million euros, 9.5% higher than in Q1 2019, which represents a substantial increase since customers left the fixed services division.
Telekom Romania it stabilized after years of constantly losing customers, and this comes right before the sale of the entire company, partly to Orange, partly to an unknown entity.
