Orange Polska's EBITDA in the second quarter rose to 709 million PLN, above the consensus (description)

Orange Polska in the second quarter of 2018, according to IFRS 15, generated an EBITDA profit of PLN 709 million versus PLN 682.2 million expected by analysts. The company has maintained the forecast of 2.75 billion PLN of EBITDA for the whole year 2006.

The expectations of ten brokerage firms surveyed by PAP Biznes in relation to the EBITDA at second quarter fluctuated between PLN 660 and 723 million

Orange Polska revenues 2.770 billion zlotys and corresponded to forecasts of PAP Biznes analysts, which averaged 2.41 trillion zlotys (from 2,680 to 2,728 million zlotys) billion zlotys)

. The net loss of Orange Polska amounted to 16 million zlotys. Analysts surveyed by PAP Biznes, meanwhile, expected a loss of 39 million PLN

.Orange Polska has published the results in the new accounting standard since this year, the so-called IFRS 15. However , the Company has not published historical data (for the first quarter of 2017) transformed according to the new rules, the results of which are comparable from year to year according to the previous IAS 18 standard.

To ensure comparability of data, The previous standard, IAS 18.

Orange Polska's adjusted EBITDA in the second quarter of 2018 so calculated rose to 785 million PLN, this which means a decrease of 4.3%. Compared to the same period in 2017.

"The change in EBITDA in annual terms was influenced by the decline in profits from the sale of assets resulting from protracted negotiations on the sale of real estate The decline in the direct margin has been more than offset by the optimization of indirect costs, indirect costs have decreased by 10% in annual terms, which is the result of many initiatives in the area of ​​business transformation. various fields (such as employment, sales and customer service, computer systems, network, maintenance costs, overhead), which contributed to the simplification and automation of business processes, which were 2.6 per cent lower than last year.In the last six months, revenues decreased by 2.2 per cent to 5.53 billion PLN. second half, the company s & # 3 Expects an improvement in revenue dynamics – it has been presented in the investor presentation.

Mobile revenues were down only 17.1% from the previous year. up to 729 million PLN. In contrast, the sale of fixed services fell by only 7.8%. up to PLN 634 million. Equipment sales decreased by 5.3%. up to 288 million PLN

About 33.6%. Parcel service revenues for individual customers increased. The company also recorded an increase in the case of IT services and integration (33% increase to 134 million zlotys) and wholesale services (9% increase to 571 million zlotys).

Benefits costs decreased by 10% over the previous year. up to 394 million PLN. The company has reduced by 2.1%. up to PLB 1.508 billion external purchase costs, mainly due to lower marketing costs, despite the increase in settlement costs with other operators of PLN 50 million.

Orange Polska's organic cash flow in the second quarter amounted to minus 32 million zlotys, compared with 218 million zlotys of positive cash flow a year earlier. During the first half of the year, the company generated less than PLN 187 million of organic cash flow of PLN 36 million a year ago.

During the period from April to June, the group's investment expenditure increased by 33.4 percent over the previous year, reaching 583 million zlotys. During the first half of the year, Orange Polska's investment expenses amounted to PLN 971 million and amounted to 18.1%. higher than last year. In the presentation of the result, the Group maintained the target for capital expenditure adjusted for the whole of 2018 to the tune of 22.2 million PLN.

The company announced that optical fiber Internet service is currently available for nearly 3 million homes in Poland, compared with 2.69 million at the end of March.

OPERATING DATA

Orange Polska in the second quarter of 2018 net acquisition 116 thousand. mobile phone service customers and by the end of June had 14,484 million SIM cards in the customer database. In the last quarter, the operator arrived at 43 thousand. customer subscription services. In the prepaid segment, Orange Polska gained 73,000 net customers

In the first quarter of 2018, Orange Polska's base declined by 56,000. SIM cards

The average monthly revenues of the company were: Operator of the offer (ARPO) mobile services only decreased in the second quarter from 0.2 PLN to 21.7 PLN.

The number of fixed telephone lines served by Orange Polska decreased by 72,000, in the same way as the first quarter, where the decline amounted to 71,000. At the end of June, the group was providing 3,541 million fixed-line services

Orange Polska, at the end of the second quarter of 2018, provided 2,506 million broadband Internet services, a quarterly increase of 29,000. The number of services offered in the old technology-based copper (ADSL) infrastructure decreased in the second quarter of 40 thousand. up to 1.238 million, and the number of services provided through the fiber optic network increased by 38 thousand. (compared with an increase of 34,000 in the first quarter) to 286,000

In previous quarters, the group has increased the number of broadband services by about 40-60 thousand. every three months.

The average monthly revenues of Orange Polska drawn from the single offer (ARPO) of fixed Internet services increased in the second quarter from 0.2 PLN to 56.8 PLN.

The number of customers of Orange Polska's packaging services increased to 1.436 million in the second quarter. The quarterly increase in the number of customers rises to 60,000 after an increase of 70,000 in the first quarter. Average Revenue from Packaging Services (ARPO) for individual customers increased by PLN 1.6 to PLN 102.4

*****

The table below shows a comparison with the consensus of the results of Orange Polska in the second quarter according to the new Financial Reporting Standard, so-called IFRS 15, according to which the company presents the results of the beginning of this year.

These results are not not comparable to the results of previous periods – Orange Polska stated that in the quarterly report, it will not publish the 15 results for prior periods converted to IFRS.

To ensure comparability of data, Orange Polska plans to publish the results of the current periods in the previous standard, International Accounting Standard 18.

The comparison with the consensus of results according to IAS 18 is presented here. below

(PAP Business)

kuc / ana /