Telekom Austria AG (TA1.F) Earnings Call Transcript
April 29, 2025
Earnings Call Speaker Segments
Welcome to the summary of A1 results for the first quarter.
Of the financial year 2025.
Despite a challenging macro and market environment, we started the year 2025 with a good solid performance. We are doing this by staying relevant to customers, always anticipated customer demands and technology trends, and by working together as a team as One A1. This solid performance is reflected in a close to 4% growth both in total revenues and service revenues.
Service revenues increased in all our Central and Eastern European markets. Results once again benefited from solid demand for our high-speed broadband, B2B digital services and TV products supported by value protecting measures.
Also, our subscriber base continue to grow. In the mobile business, our customer base grew more than 8%. On the other hand, in the fixed-line business, TV customers were up by also 8%. The broadband Internet customer base also went up by 3%.
EBITDA grew by 5%, thanks to the solid service revenue development and our continued focus on increasing operational efficiencies. The free cash flow amounted to more than EUR 150 million. The quality of our network continues to be recognized externally. A1 Austria topped the renowned cheap network test following multiple previous wins. A1 Bulgaria was ranked the fourth fastest mobile network worldwide by Okla.
Another focus area in the first quarter was to continuously add more capabilities in our B2B digital service portfolio with the aim to further accelerate growth in this area. In order to accelerate execution on this business area, we have launched in the first quarter, a dedicated competent center for B2B digital services bundling our resources and know-how into one strong delivery center.
At the same time, our local presence is one of our key assets, and we want to build on it. Together, we will continue our growth path by constantly anticipating and challenging ourselves on how we can stay relevant for our customers.
For 2025, we confirm our guidance for revenue growth of 2% to 3%. CapEx before spectrum is expected to be around EUR 800 million.
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