Results of the 1st quarter 2024 of Tele Columbus AG
- EUR 112.3m revenue in Q1 2024 (+1.3% YoY)
- Normalised EBITDA grows in Q1 by 8.4% YoY to EUR 47.9m
- Strong IP customer growth (+27% YoY)
- Reported EBITDA of EUR 32.1m in Q1 2024 shows a significant decline due to costs in connection with Amend & Extend financing and transformation costs
- Capital expenditure (capex) amounted to EUR 52.9 million in Q1 2024 (+16.4% YoY); mainly driven by strong end customer growth
Berlin, 29 May 2024 – Tele Columbus AG (“Tele Columbus”, “the Company” or “the Group”), one of Germany’s leading fiber network operators, today published its results for the first quarter of fiscal year 2024.
In the first quarter of 2024, Tele Columbus generated revenues of EUR 112.3 million (+1.3% YoY). The growth rate of the Internet customer base increased again with a plus of 9.3% compared to 9.0% in the fourth quarter of 2023. In the past quarter, 45% of new IP customers chose tariffs with bandwidths of 500 Mbit/s or faster.
In the TV sector, more households switched from the previous allocation of cable TV fees from ancillary rental costs to individual user contracts. Compared to the previous quarter, the TV customer base was significantly stabilised (-2k QoQ). The TV business is expected to be further secured through successful contract conversions in the second quarter of 2024. The Pay-TV segment improved slightly with growth of 12k customers compared to the previous quarter and 18k customers year-on-year.
In terms of revenue development, Tele Columbus recorded a slight increase of 1.3% YoY to EUR 1.4 million, which is mainly due to higher revenues in the IP area. Despite the absence of the one-off effects from construction services, which were still included in the fourth quarter of 2023 at EUR 6.5 million, revenue remained stable at -0.6% compared to the previous quarter. By contrast, the decline in revenue in the TV business of EUR 4 million was fully offset by increased IP revenue of EUR 4.2 million.
The combination of a stable cost base and increased sales caused normalised EBITDA to rise by 8.4% year-on-year from EUR 44.2 million to EUR 47.9 million. By contrast, reported EBITDA fell from EUR 41 million in the fourth quarter of 2023 to EUR 32.1 million (-27.1%). This was due to one-off expenses, mainly in connection with the A&E financing process and the ongoing transformation activities.
Tele Columbus invested EUR 52.9 million, 16.4% more than in the first quarter of 2023. The largest share of investments is attributable to network expansion (26.1%).
As part of contract extensions with the housing industry, Tele Columbus is looking at high fiber optic expansion potential. In the 134k residential units connected via full fiber (FTTH), 55k IP user contracts were concluded. The product penetration in households connected with fiber optics is thus significantly higher than in typical cable households to date and provides strong confirmation of the company’s strategic orientation.
About Tele Columbus AG
Tele Columbus AG is one of the leading fiber-optic network operators in Germany with a reach of more than three million households. Under the PΫUR brand, the company offers high-speed Internet including telephone as well as more than 200 TV programs on a digital entertainment platform that combines classic television with video entertainment on demand. On the basis of open networks, the Tele Columbus Group implements customized cooperation models together with the housing industry and municipalities for high-performance supply with gigabit bandwidths via optical fiber to the home (FTTH). Carrier services and business solutions are provided for business customers under the PŸUR Business brand based on the company’s own fiber-optic network and data centers. The subsidiary RFC primarily provides service, maintenance and installation in network levels 2, 3 and 4 throughout Germany. The regional company MDCC provides Magdeburg with multimedia services for business and residential customers. The entire infrastructure of the Tele Columbus Group is powered by renewable energy. Tele Columbus AG has its headquarters in Berlin and offices in Leipzig, Unterföhring/Munich, Hamburg, Ratingen and Chemnitz.
