Another good quarter at Síminn hf.

Financial highlights Q3 2018 Síminn's revenue amounted to ISK 6,969 million in the third quarter (Q3) of 2018, compared to ISK 6,956 million in the same period 2017. Adjusted for sold operations revenues are up by ISK 51 million YoY.EBITDA amounted to ISK 2,397 million in Q3 2018, compared to...

Reykjavik, 30/10/2018 (informazione.it - comunicati stampa - telecomunicazioni)

Financial highlights Q3 2018

Orri Hauksson, CEO:

“We are pleased to announce that the operations of Síminn´ s Group are doing well in most areas. The competition for Icelandic consumers has rarely been tougher, but Síminn's customers continue to grow between quarters. Our television products are enjoying an especially favorable run and positive review from our customers, and more mobile consumers are being transferred to Síminn than those who leave us. Particularly it is a pleasure to welcome younger customers who increasingly look towards Síminn as an alternative provider of mobile services, use our kids card product in addition to the pre-paid solution Þrenna. Internet customers have also increased and data usage is increasing steadily, whether on a mobile or a fixed line. The Group's IT division had a good quarter, and Míla continues to build its fiber-optic network in a cost-effective manner.
Due to the success of our core product offering on the retail side, revenues, EBITDA and profit for the Group increase slightly year over year for the third quarter, even though both roaming and wholesale decreased over the same period.  We also see growth in revenues, EBITDA and profit for the year as a whole. Revenue from our information technology arm continues to fluctuate within the year as before, but increased for Sensa in the third quarter, and Sensa's outlook is strong for the remainder of the year. Míla systematically continues its build-out of its fiber optic system which is proceeding well and customers are switched to new connections in an efficient and stable manner every week. Such a change simplifies the Group's operating environment and reduces operating costs over time. We will use the next few years to ensure future proof world-class quality of connectivity and bitrate for households and companies across the country. While we continually expand our fiber network, we will continue to meet the needs and demands of our customers.

Advertising in Síminn's TV offerings now takes into account new technologies and behavioral changes in modern society. Less and less advertisements are now sold in linear television broadcasts, as well as the fact that the government's media operations enjoy a dominant position in Iceland in linear advertising. Now, almost half of Siminn's advertising revenues are provided by a methodology that was not available for television three years ago, but social media had used successfully for extended period of time. Thus, now different targeting groups will see different nonlinear ads at the same time while watching the same content. In the near future, it is planned to link directly TV advertising from Síminn's television systems with the same target groups on other platforms such as mobile apps and other software applications.

The Group's operating expenses remain under satisfactory control for the quarter, but on the horizon is a likely increase of various costs. Therefore, our cost is constantly under review, and we feel confident that we will be able to reduce various costs to counteract exchange rate and wage changes. "

Further information

Orri Hauksson, CEO, tel. 354 550 6003 (orri@siminn.is)

Óskar Hauksson, CFO, tel. 354 550 6003 (oskarh@siminn.is)

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