Sunrise upped its EBITDA guidance as it followed rival Swisscom in reporting strong profit growth in its latest financials.

The company saw net income grow by over 134 percent year-on-year to CHF40 million in the first half of 2017.

Lower financial expenses and an increase in earnings accounted for the rise in profits, Sunrise said.

EBITDA ticked up one percent to CHF290 million, in part thanks to “an ongoing strong cost focus”, leading the company to increase its full-year adjusted EBITDA guidance from CHF577-592 million to CHF592-602 million.

Last week, Swisscom reported a 10 percent rise in net profits in the second quarter.

Sunrise’s profit growth came despite a 3.6 percent fall in revenues to CHF884 million, as sales of broadband services could not offset declines in mobile and fixed-line telephony.

The operator saw internet and TV revenues jump 12.1 percent to CHF117 million as it added over 40,000 such subscribers since June last year.

Sunrise now has 398,000 broadband and TV customers in total.

CEO Olaf Swantee talked up the “strong” performance of its new quad-play tariff Sunrise ONE, which launched in March, although it did not provide details of how many people had signed up.

The company’s mobile base also grew, rising from 2.24 million at the end of June 2016 to 2.34 million today.

However, reduced ARPU and mobile termination rates hit overall mobile sales, which fell 4.4 percent to CHF582 million.

Swantee said: “[Q2] is another proof point that we deliver the leading network quality, customer interface, and innovation capacity.”

Read more: Sunrise sells towers business to Cellnex-led consortium

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