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Digicel Group Increases First Half Profit by 10%
http://www.caribbeanpressreleases.com/articles/5826/1/Digicel-Group-Increases-First-Half-Profit-by-10/Page1.html
S Coward

 
By S Coward
Published on 17-Nov-09
 
Kingston, Jamaica - Nov. 17 2009: Digicel, the largest mobile operator in the Caribbean and fastest growing operator in Central American, reported a 10% increase in its half year profit (EBITDA) to US$364 million on revenues of US$857 million.
24 markets in the Caribbean

Kingston, Jamaica - Nov. 17 2009 --  Digicel, the largest mobile operator in the Caribbean and fastest growing operator in Central American, today reported a 10% increase in its half year profit (EBITDA) to US$364 million on revenues of US$857 million.

 

Digicel has grown its subscriber base by 7% in the past 12 months to 7.3 million, and in its most recent quarter to September 30th 2009, it added 98,000 subscribers.

 

Colm Delves, Digicel Group CEO, comments: “These results demonstrate a strong start to the financial year with Digicel increasing profits and subscribers even in a tough economic climate. Despite increased competition, Digicel is winning market share as customers continue to prefer the better value offered by Digicel’s Bigger, Better Network.”

 

Digicel’s revenues for the six months to September 30th were US$857 million - growing 3% in constant currency terms. Digicel’s EBITDA margin* for the most recent quarter was 44% - the fifth successive quarter it has been at or over 40%.

 

Colm Delves added: “We have demonstrated that with disciplined cost control and relentless focus on giving customers what they want, companies can continue to thrive even in challenging times.”

 

In the first six months of this financial year, Digicel has announced several other initiatives and achievements:

 

  • On July 7th, Digicel completed a US$160 million high-yield bond issue that was more than two times over-subscribed, demonstrating the company’s continued good standing in capital markets.
  • On September 2nd, Digicel announced its plans to launch a consumer WiMax business in Jamaica, bringing a cost effective, fast and easy to access broadband solution to a poorly served market.
  • On September 11th, Digicel announced the acquisition of Orange Dominica, a subsidiary of France Telecom.
  • On September 28th, Digicel announced that it has been shortlisted for two awards at the prestigious World Communications Awards 2009. Digicel has been nominated in the ‘Best Operator in Developing Market’ and ‘Best Regional Operator’ categories of the awards, with the winners to be announced on November 25th.
  • On October 27th, Digicel announced its intention to move its Jamaica and Group offices to a brand new facility on the waterfront in downtown Kingston, demonstrating its commitment to spearhead the rejuvenation of this area of the capital city of the first country in which Digicel launched back in 2001.

 

The numbers outlined above relate to Digicel Group Limited which operates in 24 markets in the Caribbean and in El Salvador.

 

Worldwide, Digicel operates in 32 markets across the Caribbean, Central America and the South Pacific. The worldwide subscriber base grew from 7.6 million at September 30th 2008 to 10.3 million at September 30th 2009. This represents a growth rate of an impressive 35% and an additional 2.7 million customers enjoying the Digicel service.

 

*EBITDA margin as % service revenues