Solid results in line with expectations.
Our strategy to build Ireland’s best fibre and mobile networks continues to deliver, with fibre broadband up 2%, postpay mobile up 11% and multi-play bundling up 7 percentage points year on year.
eir today announced its results for the second quarter 2023, which were in line with expectations. The total eir fibre broadband base increased by 2% year on year to 852,000 customers, and the eir postpay mobile base increased by 11% to 1,041,000 customers. Multi-play bundling accounted for 48% of eir fixed households, up 7 percentage points year on year.
Revenue increased by 7% in the quarter, while EBITDA increased 3% YoY due to increased fixed line and mobile revenue.
Latest business updates
- Customer Care: ComReg's Consumer Line statistics report for Q2 2023 showed that eir's fixed complaints dropped 28% and mobile complaints dropped 20% since the last report.
- 1,083,000 premises now passed with FTTH across Ireland, up 27% or 219,000. A total of 2.0 million premises are passed by our combined FTTH and FTTC networks, or 90% of premises in Ireland.
- 852,000 fibre broadband connections, up 2% or 17,000; now totalling 90% of total broadband base. 48% of customers on triple or quad-play bundles, up 7pp.
- 5G network rollout continues to expand, with ultrafast data speeds in 567 towns and cities across Ireland.
Q2-23 trading snapshot 2
- 945,000 broadband customers, down 1% or 13,000.
- 1.367m total mobile customers, up 8% or 107,000.
- 1.041m postpay customers, up 11% or 106,000.
- 76% of the mobile base is on postpay, up 2pp.
- 91,000 eir TV customers, up 14% or 11,000.
- 88% of fixed consumer households are on bundles with two or more products, up 4pp.
Q2-23 financial snapshot
- Revenue: €318 million, up 7% or €22m
- EBITDA: €145 million, up 3% or €4m
- Operating costs: €99 million, up 2% or €2m
- Cash on balance sheet: €212 million
Oliver Loomes, eir CEO, commented:
"Solid results for Q2 with revenue and EBITDA both up 7% and 3% respectively. Fibre broadband is up 2%, postpay mobile is up 11%, and multi-play bundling is up 7% year on year.
"Our fibre to the home (FTTH) roll-out continues at pace. We remain on track to deliver high-speed broadband to 1.9m premises or 84% of homes and businesses in Ireland by 2026.
"eir now has more than one million customers in our postpay mobile base, connects 852,000 homes and businesses to fibre broadband and brings ultrafast 5G to 567 towns and cities across Ireland.
"Behind these numbers, there is a continuous drive to deliver a step-change in our customer care. The latest ComReg Consumer Line statistics report for Q2 2023 showed that eir's fixed line complaints dropped 28% and mobile complaints dropped 20% since the last report. I’m especially proud of the success of eir’s Age Friendly Care programme in partnership with two national charities Age Friendly Ireland and Age Action, its popularity with our customers has aided our decision to extend the service to an in-person experience available in all of eir’s retail stores in Ireland, providing dedicated customer care and technical support service to senior customers, aged 65 and over.
"Initiatives like the recent achievement of the Business Working Responsibly Mark have further solidified eir's commitment to environmental, social, and governance practices. This prestigious accreditation is widely recognised as Ireland's leading standard for responsible and sustainable business practices. It demonstrates eir's dedication to its purpose of "connecting for a better Ireland" while operating in a responsible and sustainable manner. This recognition highlights eir's ongoing efforts to prioritise sustainability and corporate responsibility, further enhancing the reputation of the business as a socially conscious telecommunications company.
"I’m proud of the achievements of our B2B division, eir evo, which collected three awards at Microsoft’s annual partner summit this summer. eir evo was named Microsoft’s Partner of the Year for Sustainability, as well as receiving two awards in recognition of expertise across Azure Infrastructure and Power Platform. The sustainability award, in particular, demonstrates just how embedded ESG practices are becoming across our whole business. This recognition is for eir evo’s fantastic work in developing a unique portfolio of apps which support thousands of users across Europe to access more seamless, sustainable and modern ways of working.
"Investment is at the core of eir’s business strategy. Our latest multi-million investment programme in the redesign and redevelopment of our retail stores on high streets and in community shopping centres across Ireland reaffirms our commitment to offer customers the best possible retail experience. This investment, along with the more than €1 billion already invested in creating world-class telecommunications infrastructure nationwide, is delivering real returns.”
Stephen Tighe, eir CFO, commented:
"Our performance in the second quarter of 2023, to the end of 30 June 2023, was in line with expectations. We saw growth across the eir fibre broadband base and in total mobile customers, including the eir postpay mobile base, with a further increase seen in the multi-play bundling of eir fixed households.
"We have continued rolling out our fibre-to-the-home (FTTH) and 5G technologies as part of our €1 billion capital investment programme. Both our fibre rollout and our 5G networks continue to expand and continue at pace.
"With 1.9m premises expected to be passed with FTTH broadband by end of 2026, together with our rapid expansion in 5G network coverage, through this large-scale investment, we are well-positioned to expand our customer base through the offering of high quality, high value products over the coming years."
Q2-23 trading performance
- Revenue of €318m for the second quarter to 30 June 2023 increased by 7% or €22m year on year. Revenue growth is driven by growth in mobile postpay, data services, voice revenues and eirevo revenue, partly offset by reduced traditional access.
- EBITDA9 of €145m was up 3% or €4m year on year. This is due to an increase in fixed line and mobile revenue.
- Operating costs of €99m increased by 2% or €2m year on year. Non-pay costs increased by 6% or €3m, while pay costs decreased by 1% or €1m.
- The Group broadband base totalled 945,000 customers at quarter end, decreasing by 1% or 13,000 year on year driven by a decline in wholesale customers of 5% or 27,000.
- Customers using fibre broadband services totalled 852,000 at quarter end, representing an increase of 2% or 17,000 customers year on year. 90% of the Group’s broadband base is now connected to eir’s fibre network, which represents a 42% penetration of total premises passed with eir fibre broadband.
- The Group mobile base stood at 1.367m customers at quarter end, an increase of 8% or 107,000 year on year. The Group’s postpay base increased by 11% or 106,000 subscribers year on year. Postpay subscribers now represent 76% of the total mobile base, an increase of 2 percentage points year on year.
In summary, the Group has delivered solid financial and operational results for the second quarter to 30 June 2023, in line with expectations.