Annual report 2008 - Polkomtel

T h e l a r g e s t
n e t w o r k i n P o l a n d
Operating results
and financial statements
Customer base
The total base of customers of
Polkomtel S.A. mobile services at the
end of 2008 amounted to 14,473.7
thousand. This constitutes an increase
package, makes the customers migrate
between offers of different operators
more frequently. Additionally, the increase
in churn rate among customers
without contracts was influenced by
to the previous year. The decrease of
ARPU is the effect of introduction of
new tariffs and promotions, offering increasingly
favorable prices of telecommunication
services. Another factor
by 7.6% in relation to the level as at
the offers of migration to postpaid and
that contributed to the decline in ARPU
the end of 2007. The contract custom-
MixPlus.
is the growing penetration of mobile
The increase in the number of customers
by 7.6% in the difficult and
er base (subscribers and MixPlus users
with a contract) increased to 6,564.5
thousand, and the base of users without
a contract to 7,909.3 thousand.
This constitutes an increase by 13.1%
Average Revenue
Per User
The average revenue per user (ARPU)
telephony services, and an increased
interest in contract services among
customers who previously used offers
without a contract.
demanding 2008 is a proof of splendid
condition of Polkomtel S.A., which became
and 3.4%, respectively. In 2008, like in
the previous years, most – that is, 77%
– of newly acquired customers were
users of services without a contract.
However, due to the growing churn
in 2008 amounted to PLN 47 per
month. This is PLN 0.8 more in comparison
to PLN 46.2 in 2007. The increase
of ARPU refers to customers
without contracts (in the segment of
Financing
of operations
In 2008, Polkomtel S.A. financed its
operations both with own funds and
the largest player in the mobile telephony
market. This dynamic development al-
rate in that group, it was the contract
customers who accounted for the majority
of net increase (newly acquired
minus churn) in 2008.
customers with contract, a decrease
of ARPU was noted).
G rowth of ARPU in the segment of
customers without contract in 2008,
with external funds, in the form of
bank loans and – to a small extent – in
the form of a bonds issue program. The
Company paid the remaining dividend
for 2007 (remaining after the advance
lowed the Company to achieve net profit
in the amount of PLN 1,359,094,009.29.
Churn rate
The churn rate in the Polkomtel S.A. network
rose in 2008 to the level of 43.9%,
in comparison to the rate from the pre-
to the level of PLN 18.3 (in 2007, the
level reached PLN 17.5) results from
the higher activity of these customers,
which translates into higher average usage
of voice services (by 17%). This is
paid to Shareholders in December
2007), in two installments totaling PLN
932.5 million.
T he total debt under bank loans
vious year, which amounted to 36.4%.
caused by the high price effectiveness,
amounted to PLN 1,573.3 million at the
This was due to the higher outflow of
observed in this group of customers.
end of 2008. At the end of 2008, the
customers from the base without con-
Debt/EBIDTA ratio amounted to 0.45,
tract. The significant competition in
I n 2008, ARPU for contract custom-
which represents a slight decrease in
the market of prepaid offers, combined
ers amounted to PLN 79.3, which repre-
comparison to its 2007 level, when it
with the low purchase cost of the starter
sents a decrease by 6.7% in comparison
amounted to 0.57.
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POLKOMTEL S.A. – ANNUAL REPORT 2008
POLKOMTEL S.A. – ANNUAL REPORT 2008 45