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A1 prepaid customers fall 20% in Austria

The number of mobile customers in Austria decreased by 4.6 percent to 5.11 million. In particular, the number of A1 prepaid customers fell by 20.7 percent to 1.21 million, while contract customers grew by 1.8 percent to 3.89 million. Revenue generating units (RGUs) for fixed line customers fell by 2.4 percent to 3.24 million in Q4.

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Group mobile customer numbers rose by 1.3 percent to 21.29 million year-on-year in Q4, with those on a contract reaching 16.96 million, a 4.4 percent increase compared with the prior year. A1 prepaid customers decreased by 9.4 percent to 4.33 million. Fixed line RGUs decreased by 1 percent to 6.14 million.

Austrian operator A1 said that its revenues grew by 4.1 percent year-on-year in Q4 to EUR 1.2 billion. Service revenues rose by 3.6 percent to EUR 962.7 million and equipment revenues by 5.3 percent to EUR 212.9 million. EBITDA excluding restructuring costs advanced by 8.2 percent to EUR 376.5 million, mainly driven by 18.2 percent year-on-year growth in the CEE markets. EBIT rose by 23.9 percent year-on-year in Q4 to EUR 118 million.

For 2020, A1 expects revenues to grow in the range of 1-2 percent, and capex of EUR 770 million, without taking into consideration investments in frequencies and acquisitions. The company will propose a dividend of EUR 0.23 per share at the next AGM.

In Austria, total revenues rose by 0.2 percent year-on-year to EUR 685.2 million. Service revenues from the mobile segment increased by 0.6 percent to EUR 228.1 million, driven by upselling in the high value segment, growth in mobile Wi-Fi routers, and guest customers and national roaming, despite international call regulation.

Austrian fixed line service revenues fell by 0.9 percent to EUR 353.9 million despite growth in services and connectivity business, due to weaker retail revenues. EBITDA excluding restructuring progressed by 0.3 percent to EUR 228.1 million.

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