Link Net Reports Continued Growth in Q1 2015. Total Revenue Up 22% and EBITDA 26%
Jakarta, 29 April 2015
Q1 2015 Key Highlights:
- Total revenue up 21.8% to Rp 599.9 billion \
- EBITDA increased by 26% to Rp 345.4 billion, with margin at 57.6%
- Net income up 4.9% to Rp 145.2 billion
- Close to 1.5 million homes passed, 56,706 new homes added over the quarter
- Blended RGUs rise to 784k, addition of 30k across Broadband and Cable TV*)
- Average revenue per user increased by 2.5% to Rp 412,000
- Introduced new products and enhanced existing offers
PT Link Net Tbk (“Link Net” or “the Company”; stock code: “LINK”) reported a strong start to the new financial year, with revenue of Rp 599.9 billion, an increase of 21.8% compared with the corresponding quarter in 2014. And EBITDA growth of 26% to Rp 345.4 billion.
The Company continued expansion of network, with an additional 56,706 homes passed over the quarter, for a total of close to 1.5 million homes passed. We continue to see strong demand for next generation Broadband and Cable TV services, with our Broadband and Cable TV*) RGUs (“Revenue Generating Units”) increasing to 406,790 and 377,404 respectively. In addition, we have continued to improve our value proposition by launching innovative new products and services, such as the X1 Combo pack and First Media Go, and offering enhancements and upgrades to existing combo products to keep up with customers’ escalating needs and solidify our leadership in this sector.
We have also maintained our high bundling rates, with 94% of customers subscribing to both Broadband and Cable TV services. We achieved an increase of 2.5% ARPU (“Average Revenue per User”) vs. 2014, which rose to Rp 412,000 by the end March 2015. Our Net Income increased by 4.9% to Rp 145.2 billion. Furthermore, the implementation of disciplined cost management structures as well as gains in our operational leverage have allowed us to maintain our high EBITDA margin levels, which stood at 57.6% for the quarter.
Commenting on the results, Richard Kartawijaya, Chief Executive Officer, said:
“We are pleased to have delivered a strong performance in the first quarter of 2015, which reflects the continued demand for next generation broadband and Cable TV*) services, and the success of our network expansion. Since the start of the year, we have further enhanced our value proposition, successfully launching a number of innovative new products and services, and have been pleased with the customer reaction to these. Following Link Net’s strong start to 2015, we are well positioned to meet our targets for the remainder of the year.”
* in collaboration with PT First Media Television (“FMTV”)