Finland-based Elisa Corporation has released its financial results for the fourth quarter and twelve months to 31 December 2016, saying that both periods were its best ever.
In 4Q16 Elisa recorded revenues of EUR434 million (USD461 million), up from EUR404 million in the corresponding period a year earlier, of which the lion’s shares (EUR272 million) was generated by consumer services, with the remainder attributed to business users. EBITDA in the last three months of 2016 totalled EUR139 million, an increase on the EUR128 million recorded in 4Q15, with profit before tax standing at EUR74 million (EUR62 million). With Elisa noting that it had also registered growth in revenues and all other earnings lines in the full year, it booked total turnover of EUR1.636 billion for FY2016, compared to EUR1.569 billion a year earlier. EBITDA for the twelve-month period totalled EUR564 million (FY2015: EUR536 million), with pre-tax profit increasing to EUR320 million, from EUR291 million in FY2015.
Looking ahead, Elisa has said that, with the macroeconomic environment in Finland still expected to be weak in 2017, and competition remaining challenging, it expects revenues this year to be at the same level or slightly higher than in 2016. Comparable EBITDA is also forecast to remain at the same level, or slightly higher, than in 2016, while the company has said capital expenditure will be a maximum of 13% of revenue.
In operational terms, at the end of December 2016 Elisa had a total of 4.695 million mobile subscribers on its books, down marginally, from 4.740 million a year earlier, with the bulk of those (4.037 million) attributed to its domestic operations and the remainder in Estonia. Fixed broadband accesses fared more positively, however, rising to 594,900 at the end of 2016, up from 533,900 a year earlier, while cable TV subscribers numbered 444,000 at the end of 2016, up more than 34% year-on-year. Fixed voice lines in service also increased, rising to 169,100 at 31 December 2016, compared to 161,600 a year earlier.
Commenting on the company’s performance, Elisa CEO Veli-Matti Mattila said: ‘Elisa’s competitiveness and result continued to strengthen, despite the challenging situation in the general economy. The revenue and earnings in 2016 were the best ever. Earnings improved thanks to growth in the mobile service revenue and investments in the productivity of Elisa’s operations. The acquisition of Anvia’s telecom, IT and entertainment services also had a positive impact. The integration of Anvia and Elisa’s operations has progressed well.’