Altice Europe: quarterly results fail to reassure investors
(CercleFinance.com) - Altice Europe reported a "very strong commercial momentum" for France in the third quarter, but falls in revenue and operating profit over the period seemed to spook investors.
The telecoms and cable holding company owned by billionaire Patrick Drahi said its third quarter adjusted EBITDA fell by 10% from a year ago, while revenue dropped 6.1%.
The operator said it had its "best quarter" since 2005 in terms of customer acquisition in France, wining back over 1 million customers so far in 2018.
This is equivalent to the number of customers lost over the last 3 years since the acquisition of SFR, Altice said.
The increase in subscribers in France and Portugal will contribute to an improved financial performance in 2019, Altice Europe said, which promised a "return to growth" in 2019.
However, given higher acquisition costs and client capex in France, it is likely that Altice France will end 2018 at the low end of the 1.5 billion euros to 1.6 billion euros range, the group warned.
This outlook weighed on the shares this morning, with the stock down 9% at 1.8 euros on Euronext Amsterdam.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The telecoms and cable holding company owned by billionaire Patrick Drahi said its third quarter adjusted EBITDA fell by 10% from a year ago, while revenue dropped 6.1%.
The operator said it had its "best quarter" since 2005 in terms of customer acquisition in France, wining back over 1 million customers so far in 2018.
This is equivalent to the number of customers lost over the last 3 years since the acquisition of SFR, Altice said.
The increase in subscribers in France and Portugal will contribute to an improved financial performance in 2019, Altice Europe said, which promised a "return to growth" in 2019.
However, given higher acquisition costs and client capex in France, it is likely that Altice France will end 2018 at the low end of the 1.5 billion euros to 1.6 billion euros range, the group warned.
This outlook weighed on the shares this morning, with the stock down 9% at 1.8 euros on Euronext Amsterdam.
Copyright (c) 2018 CercleFinance.com. All rights reserved.