Romtelecom sees revenue decline for 2011, boosts internet and TV segments

Romtelecom’s revenues fell by 8.6 percent to EUR 655.1 million in 2011, according to the financial indicators of mother-company OTE. The company’s EBITDA also dropped by 23 percent year-on-year to approximately EUR 119.1 million.

Romtelecom’s landline telephony customer base fell by 5 percent to 2.49 million clients.

However, the company’s broadband internet customer base went up by 12.1 percent, reaching 1.13 million clients.

Additionally, its TV customer base, which includes direct-to-home, IPTV and digital television clients, also saw an 11.9 percent boost to 1.18 million clients.

“Given that Romanians are avid consumers of TV services, Romtelecom is building an extended offer with a strong entertainment component, and TV services are available via satellite, cable, IPTV, and over-the-top format,” says Stefanos Theocharopoulos, general manager of Romtelecom (in picture).

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To increase efficiency, last year Romtelecom made 1,700 people redundant, following the improvement of operational efficiency and voluntary leaves programs.

“In 2012 we will continue to focus on offering bundles instead of separate offers, this being probably the most important change in Romtelecom’s commercial strategy in the past years,” says Theocharopoulos.

He also added: “At this moment, more than 40 percent of the Romtelecom clients use at least two services from the company. The organic growth process was completed with mergers and acquisitions via NextGen (ed. note: Romtelecom’s cable company).”

 Otilia Haraga