Swisscom met its 2016 financial targets as the performance of its Fastweb business shone.

Group revenues dropped 0.3 percent year-on-year to CHF 11.6 billion in 2016, but the operator said this was “quite remarkable” given pressure on pricing and the general market environment.

Sales in Switzerland fell 1.1 percent to CHF 9.4 billion as the number of fixed and mobile telephony customers declined.

Growth in broadband subscriber numbers, up 1.7 percent to two million, and TV customers, up 10.9 percent to 1.5 million was welcome, as was a 2.9 percent increase in sales to enterprises.

The decline in Swisscom’s home market was offset by a 3.4 percent rise in revenues at Italian subsidiary Fastweb, to €1.8 billion, as the number of broadband customers rose seven percent to 2.35 million.

The company’s network now covers 30 percent of the Italian population, around 7.5 million premises.

Group EBITDA rose 4.8 percent to CHF 4.3 billion, although it fell 1.2 percent on an adjusted basis when factors such as roaming and the increased cost of winning new customers are included.

Net income was up 17.8 percent to CHF 1.6 billion thanks to non-recurring items.

CEO Urs Schaeppi said: “[2016] was certainly hard going and the pressure on prices and the reduction in roaming fees presented us with a real challenge.

“But we worked on cutting our costs and performed well on the market.

“I am especially pleased with innovations such as the G.fast data transmission standard, the further development of our TV offering and the progress we have made in the corporate business.”

Read more: Swisscom targets 100,000 G.Fast connections, CTIO says it’s not about the tech

More News

WhatsApp unveils new app for small businesses WhatsApp unveils new app for small businesses WhatsApp has revealed details of its plans to target the enterprise market with the launch of a dedicated app. More detail
Work together to boost sponsored data, analysts urge operators Work together to boost sponsored data, analysts urge operators Operators need to work harder to promote the benefits of sponsored data, according to a new report. More detail
Vodafone talks up fixed access network slicing potential after successful trial Vodafone talks up fixed access network slicing potential after successful trial Vodafone has tested a new network slicing technology in Ireland that it claims will support new business models and potentially aid the deployment of fibre networks. More detail
Vodafone, CityFibre choose MK for FTTH debut Vodafone, CityFibre choose MK for FTTH debut Milton Keynes has been chosen as the first UK town to benefit from the fibre broadband joint venture between Vodafone and CityFibre. More detail
Iliad appoints 29-year-old to run new opco in Italy Iliad appoints 29-year-old to run new opco in Italy Iliad has sprung a surprise by appointing a novice to run its soon-to-be launched mobile subsidiary in Italy. More detail
    

@eurocomms