GTS eager to take 10,000 broadband subscribers from TP SA

2007-04-27

GTS Energis, an alternative fixed-line operator, has stated that by the end of 2007 it is going to take more than 10,000 broadband subscribers from TP SA. At the moment, the subscriber count for bitstream access service is around 3,700. The operator also plans to win 15,000 clients from the incumbent by means of local loop unbundling (LLU).
The company has announced that in the first quarter of the year it earned revenues of PLN 98m (€25.8m) and achieved EBITDA of PLN 21m (€5.5m). The operator expects that the results for the year as a whole should mirror those of 2006, when GTS Energis earned PLN 384m (€101.1m). According to company representatives, the telecommunications industry in Poland is starting to feel the impact of regulatory policy. Wholesale and retail prices are declining, and the operators are having problems in maintaining revenue growth.
The operator has stated that non-voice services bring in around 40% of its revenues and that this part of its business will increase in importance, as voice is expected to decline.
GTS Energis emphasised that the planned sale of GTS Central Europe, which owns the Polish operator, will not have any effect on Energis’ activity. The company stated that it is unable to determine when the sale process might conclude and, therefore, what the price could be.

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