KPN’s wholesale arm registered a double-digit decline in sales in the first three months of the year, although the operator made headway on improving its profits.
Group revenues fell 2.4 percent year-on-year to €1.65 billion, which the operator put down to “price pressure” in the wholesale voice carrier market.
The operator’s internationally-focused iBasis division saw sales fall 10 percent to €193 million despite traffic volumes remaining similar to 12 months ago.
At home in the Netherlands, sales were down 1.5 percent to €1.5 billion as 2.1 percent growth in consumer services were offset by continued decline in enterprise revenues.
The operator added 12,000 broadband customers, 27,000 IPTV subscribers and 2,000 postpaid mobile customers in the period.
However, revenues from businesses fell 6.9 percent after declining nine percent in the previous quarter and over seven percent last year as a whole.
There was better news on the profit front, despite group EBITDA falling 0.5 percent to €556 million.
Net profit almost doubled, rising 92 percent to €92 million, thanks in part to a 43 percent increase in operating profit.
The operator said it had managed to reduce the number of calls to its contact centres by a quarter compared to the same period last year, which cut costs by 25 percent.
CEO Eelco Blok said: “We have made a promising start to the second wave of our Simplification program, which continues to drive substantial quality and customer satisfaction improvements across all segments in The Netherlands, resulting in structural spend savings.”