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Telekom income in Romania dropped slightly last year

The Telekom income in Romania Communications (former Romtelecom) dropped last year by 1.2% at 601.7 million euro, while the division of mobile phones Telekom Romania mobile communications (former Cosmote Romania) had a decline of 0.2% with total income of 438.5 million euro.

The income from land lines was situated in 2014 at 609.1 million euro and those of the mobile phone operations at 439.4 million euro.

The level of income Telekom Romania Communications shows mainly the continuous drop of the segment of land line generated by the trend of replacing the land line services with the mobile ones, with the corresponding income lower by 17% at the end of 2015, against the similar period of 2014, shows the press release of Telekom Romania.

The company reported for last year costs with the voluntary layoffs of some employees with a total of 14.2 million euro, almost three times higher than compared to 2014 when it was situated at 5.1 million euro, in the context where the personnel had a decline of 2% according to a report of the Greek group OTE.

Convergent services generated an increase of the income with more than the double of the mobile services in Q4 of 2015 against Q4 of 2014 with an increase of the MagentaONE clients which got to over 208,000, more with 48,000 against Q3 of 2015.

The number of TV clients reached 1.45 million at the end of 2015 with corresponding income growing by 4% at the end of 2015 versus the end of 2014. At the same time, in Q4 as compared to the previous Quarter, the PTV services and the digital cable recorded significant growth.

The income from land internet services for 2015 dropped slightly with 3% as compared to the previous year, 1,203 million clients had high speed internet from Telekom, a part of them having up to 1 Gbps through the technologies FTTx (FTTH – fiber to the home or FTTB 0 fiber to the block) according to the Telekom press release.

The income from wholesale of Telekom Romania increased in Q4 with 8.4% as compared to the similar period of the previous year, due to an increased international traffic, of the rented lines and wholesale&internet data.

The number of subscriptions reported for land lines was 4.6 million for Q4 and for that of mobile services increased by 153% at the end of 2015, as compared to the same period of last year.

The mobile division Telekom Romania Mobile communications recorded income growing by 7.5% in Q4 against the last three months of 2014 reaching 121.1 million euro, while the total income corresponding to 2015 were stable, at 438.5 million euro, dropping by 0.2% against the previous year.

The income in broadband services continued the positive evolution with growth of 17.7% in Q4 against the same Quarter of 2014. The total number of 4 G clients, as well as the data traffic 4G increased by 80% in Q4 against Q3,

Moreover,Telekom Romania Mobile Communications recorded a growth of 16 percentage points of the share of smartphones in the total of phones sold in 2015 against 2014.

At the end of 2015, the total number of clients ( including Zapp) was 5.75 million growing by 0.7% against the Q3. The total number of clients based on subscription increased by 3.7% in 2015 against 2014, representing 29% of the total clients basis.

In spite of the intense competition, the business segment continued in the last three months of 2015 to have positive results, with annual increase of 7.7% of the company clients basis. The mobile data represented a factor of significant growth for this segment, fact which reflects in the evolution of the business clients basis for broadband mobile services, with 22% more than in Q4 against the same period of last year and with 25.5 % higher in 2015 as compared to 2014.

In Bucharest, 4G coverage is 98% of the surface, while in touristic cities Brasov and Poiana Brasov the coverage is 98% and 100% respectively. Moreover, the clients who are in the coverage area for 4G can benefit from 4G Experience, with advanced connection based on the technology 3GHSDPA dual carrier which allows speeds up to 43.2 Mbps in 275 cities and over 5000 localities.

On the basis of the national roaming agreement signed between Telekom Romania and Orange Romania in the period to come the Telekom clients will be able to use the Orange 4G/4G+ network. Thus,the clients Telekom Romania will have access to communication technologies 4G and 4G+ even when they are not in the coverage area of 4G Telekom Romania Mobile by the use of Orange 4G/4G+ which covers 72% of the population at national level and 96% of the urban population.

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