Eircom revenues up 5% in Q3

Eircom has reported a 5 per cent rise in revenues for the first nine months of the year to €1

Eircom has reported a 5 per cent rise in revenues for the first nine months of the year to €1.549 billion, compared with the same period in 2007.

The company was boosted by a 28 per cent rise in revenues from its mobile unit Meteor to €358 million following strong subscriber growth and a rise in average revenue per user (APRU) over the period. In the quarter Meteor reported revenues of €120 million, up 23 per cent on the same period last year.

According to a statement released today, Meteor had 975,000 subscribers at the end of March, an increase of 17 per cent compared with the same period the previous year.

Earnings before interest, tax, depreciation and amortisation (EBITDA) at Meteor were €84 million for the first nine months of the year, more than double the €41 million reported during the previous period.

For its fixed-line business revenue growth was 1 per cent higher at €1.246 billion with gains in access revenues off-setting "a decline in traffic revenues".

EBITDA for Eircom's fixed line business was €437 million at the end of the third quarter, €1 million less than the same period in 2007.

Rex Comb, Eircom CEO described the results as "solid". He said the company was maintaining a "strong cash position with a cash balance of €281 million at March 31st, 2008".

He said Meteor had signed a contract with Ericsson to provide an advance 3G mobile broadband network which would result in the introduction of new services.

He said the number of employees in the company's fixed line business has fallen by 476 since July 1st, 2007 and that "good progress" was being made in Eircom's restructuring programme.