BRUSSLES: Orange reported third-quarter sales up 0.8 percent on a comparable basis to EUR 10.323 billion, led by growth across most its European markets as well as Africa and Middle East. While revenues in France were still down 0.6 percent and 3.9 percent lower in Poland, the company grew 7.8 percent in Spain, 1.7 percent in Belgium and Luxembourg, 0.8 percent in central Europe and 2.5 percent in MEA.
This supported a 1.6 percent increase in adjusted EBITDA on a comparable basis to EUR 3.597 billion in the quarter, and the EBITDA margin improved 0.3 percent points year-on-year to 34.9 percent.
Orange said the steady improvement in underlying sales growth, after 0.3 percent growth in the first half, shows the success of its Essentials2020 strategy and comes despite the negative impact of roaming regulation in the EU and the end to Free’s roaming contract in France.
The company maintained its forecast for higher adjusted EBITDA this year on a comparable basis, after a 0.2 percent increase in the first nine months of the year. The first 20 cents of its planned dividend of 60 cents a share this year will be paid in December.
Capital expenditure was little changed in Q3 at EUR 1.566 billion or 15.2 percent of revenue. In the year to date, the figure is up 11.8 percent to EUR 4.733 billion.
Orange ended the quarter with 194.5 million mobile customers, an increase 0.2 percent year-on-year on a comparable basis. The company said it saw a return to mobile growth in Africa in the third quarter, with a net gain of 103,000 customers, while Spain and Poland were leading the postpaid growth in Europe. In the fixed broadband market, the customer base was up 3.3 percent year-on-year to 18.1 million, led by expansion in fibre in France and Spain.
