ONO reports strong fiscal 2013
Editor | 16-03-2014
Despite the economic pain in Spain falling mainly on what could be considered its core audience, cable TV provide ONO has revealed just why it has been a takeover target with robust financial results for 2013.
Only days ago, leading UK telco Vodafone, awash with cash from selling its 50% stake in Verizon Wireless, verbally agreed to buy ONO in a deal worth €7.2 billion, slightly more than initially offered and including an amount which includes ONO's €3.4 billion debt.
As an indication of why the Spanish cableco was such an attractive acquisition proposition, the results revealed that for FY2013 ONO’s net revenue increased to €1.598 billion, a 1.3% year on year rise, despite the on-going negative macroeconomic environment in Spain. Even though adjusted EBITDA for the year fell 6.1% to €680 million, the company did shave its overall losses by 2.9%.
Among the highlights of the year in the TV business was the fact that TiVo subscriptions rose to 323,000 active users, with 65,000 added in the last quarter of the year. Such users now account for two-fifths of the overall TV base. Since November, all TV customers have had access to multiscreen and over the top (OTT) services.
Commenting on the results, ONO CEO Rosalía Portela said: "We achieved solid results in 2013 while adapting the telecommunications and business model that we offer to customers. ONO achieved a remarkable increase in contracted services and the number of customers at the end of the year."