KPN of the Netherlands has reported a 3.9% year-on-year drop in revenues for the first quarter to 31 March 2016, to EUR1.69 billion (USD1.92 billion). The firm says that growing consumer revenues were offset by the ongoing decline in the size of the business market and the impact of the sale of SNT Deutschland last year. Adjusted EBITDA was down 4.5% at EUR568 million, while operating profit dropped 19% to EUR141 million. Net profit increased, however, from EUR23 million in Q1 2015 to EUR48 million this year, mainly due to lower net finance costs.
The operator claimed 5.23 million consumer mobile subscribers at the end of March, up from 5.09 million a year earlier, and 1.79 million business mobile lines (largely unchanged year-on-year). Residential broadband subscriptions increased from 2.72 million at end-March 2015 to 2.85 million at Q1 2016, while the number of business broadband accounts fell slightly to 150,000.
KPN’s CEO, Eelco Blok, commented: ‘In the first quarter of 2016, we showed high value customer base growth and increased the number of products per customer in Consumer. This is driven by our successful strategy centred around households and the ongoing convergence of fixed-mobile.’