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Earnings

Earnings: Orange Shedding UK Broadband Subscribers

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Orange lost 10.3 percent of its UK home broadband subscribers in the year to June as competition hotted up around it. It now has 954,000 ADSL customers. Mobile broadband is growing for the firm, growing 76 percent to 4.31 million mobile broadband dongle customers since launching last year.

Mobile subscriber numbers basically haven’t budged over the last year - up just 0.6 percent to 15.83 million. Data revenue grew just 5.6 percent, reflecting Orange’s status as a low-end consumer operator, and the proportion of non-voice revenue grew from 23.1 percent last year to 25 percent.

Overall April-to-June UK revenue fell 4.5 percent over the year to €1.28 billion, thanks mainly to pound-to-euro conversions by parent France Telecom (NYSE: FTE). Just about everywhere bar France, Africa and the Middle East saw revenue slip.

Quarterly France Telecom operating income fell 4.8 percent to €5.2 billion, on a modest 0.5 revenue dip to €25.48 billion. France Telecom says this year so far has been “very buoyant”, with total subscriber numbers up 6.6 percent annually to 186 million, 3G subscriptions up 62 percent annually to 21.7 million and European MVNO customers up from 2.6 million to 3.8 million. ADSL subs grew 7.7 percent to 13.4 million and France Telecom added 17 percent more users for its innovative Livebox French IPTV service, now standing at 8.4 million users.

Over the year, the outfit expects to be hit marginally by the economy and more so by European regulations demanding a cut in mobile termination rates.

Release | Webcast | Slides

Jul 30, 2009 4:07 AM ET

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Posted In: Mobile, Money, Earnings, Companies, France Telecom, Orange

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