08.03.2018
- VIVACOM is the largest Bulgarian operator in terms of revenues for fifth consecutive year;
- VIVACOM retains its leadership position on the fixed broadband market with 26% market share as end of 2017;
- VIVACOM is the leading IPTV operator with largest customer base;
- VIVACOM is the operator with fastest 4G mobile network in Bulgaria for 2017 as measured by OOKLA*;
- VIVACOM 4G mobile coverage spans to 99% of the population and 90,77% of the territory of the country**
09.03.2018 – In line with the best practices for corporate reporting and transparency, VIVACOM reported its 2017 results in an Integrated Annual Report. The Company retains its leading position on the Bulgarian telecom market for fifth consecutive year with total revenue of BGN 890 million, which is an increase of 1.6% compared to 2016. The telecom also marks steady growth of 2.7% in adjusted EBITDA.
VIVACOM continues to increase its market share in mobile service revenue, reaching 29% share for 2017. The Company reports 3.085 million mobile subscribers, with growing postpaid share – 89% compared to 87% at the end of 2016. VIVACOM also achieved the best balance compared to other operators in terms of mobile number portability with over 147,000 port-in subscribers.
The share of mobile data revenue from mobile service revenue continues to grow, reaching 37% in the fourth quarter of 2017, compared with 33% for the same period in 2016. Company's 99% 4G coverage of the country's population and 90,77% of the territoryhas also contributed to this growth. For comparison, at the end of 2016, reported coverage was 87% of the population and 48.64% of the territory. In addition, VIVACOM manages to retain the ARPU at sustainable level despite strong competition on the market – BGN 11.4 for the fourth quarter of 2017.
As end of 2017, VIVACOM is the leader on the fixed broadband market with a total of 480,000 subscribers compared to 437,000 in 2016. 54% of VIVACOM’s fixed broadband subscribers use the fiber-optic network which provides speeds of up to 900 Mbps. As end of 2017, nearly 1 130 000 households are covered by the fiber-optic network. In 2017, the telecom added 4 new cities to its optical coverage - Dupnitsa, Pernik, Targovishte and Veliko Tarnovo. Additionally, more than 40 settlements or nearly 57,000 households have access to Fiber Net through an optical network built under FTTc topology.
VIVACOM remains the most preferred IPTV operator, maintaining its leading position with 61% market share in delivering the most advanced television service - IPTV. VIVACOM’s pay-TV customers increased from 410,000 in 2016 to 447,000 as end of 2017. Parallel to the reported positive trend, the telecom also reached higher share of IPTV subscribers - 46% compared to 42 % at the end of 2016. The increasing number of new customers is driven by demand for high quality services with superior user experience, rich content and HD channels.
VIVACOM retains strong focus on infrastructure in its investment program for 2017, investing considerable resources in network expansion, capacity improvement, sustainability and long-term efficiency of both the mobile and fixed networks. Total amount of VIVACOM's capital investments in 2017 is BGN 181 million, 73% of which are invested in development and maintenance of the network infrastructure.
The Company will continue to focus on infrastructure development in line with the fast-paced new technologies and innovations as well as provision of high quality services. VIVACOM's optic network will also remain as priority aiming at expanding its coverage with thousands new households.
This year, VIVACOM reported its results in an Integrated Annual Report, which provides a comprehensive view of Company's performance in 2017. The report includes analysis of the value which the Company creates for all stakeholders and the society as a whole. The Integrated Annual Report content elaborates on the continuous interaction and influence of the external environment on Company’s strategy, governance, performance and future outlook. This innovative approach to transparent corporate reporting has been implemented by VIVACOM for a second consecutive year, building on the Company's practice of issuing a Sustainability Reports since 2014.
VIVACOM 2017 Financial results:
| For the year ended December 31, | Change |
BGN thousands, except percentages | 2017 | 2016 | (amount) | (%) |
Revenue | 889 503 | 875 266 | 14 237 | 1.6 |
Adjusted EBITDA | 318 915 | 310 629 | 8 286 | 2.7 |
% Adjusted EBITDA Margin | 36 | 35 | 1 | 1.0 |
Number of mobile subscribers at period end | 3 085 | 3 133 | (48) | (1.5) |
% post-paid at period end | 89 | 87 | 2 | 2.1 |
Fixed voice subscribers at period end | 806 | 926 | (120) | (13.0) |
Fixed broadband subscribers at period end | 480 | 437 | 43 | 9.8 |
% FTTx at period end | 54 | 51 | 3 | 5.3 |
Number of fiber homes passed at period end | 1 128 | 1 087 | 41 | 3.8 |
Fixed pay-TV subscribers at period end | 447 | 410 | 37 | 9.0 |
% IPTV at period end | 46 | 42 | 4 | 7.5 |
*Fastest average download speeds on 4G and the Speedtest Award winner for overall network speed for 2017. Based on Ookla's analysis of Speedtest Intelligence data. For more information visit www.vivacom.bg/en
**The coverage: 99% of the population and 90,77% of the territory of the country - is based on a measurement of BTC and it is reported to the The Communications Regulation Commission (CRC).