Romanian telecom group Digi sees higher operating results but financial costs keep it in the red

Romanian telecom group Digi Communications (DIGI), the biggest provider of fixed internet and cable TV services on the local market, reported total revenues of EUR 950 million in the first nine months of this year, up by 8.7% compared to the same period of 2019.

The growth was supported by a 12% increase in the total number of revenue generating units (RGUs), to 17.7 million (RGUs are services provided to clients, where one client can get one or more services).

Digi managed to add more fixed internet and cable TV clients in Romania by taking over the clients of its competitor Digital Cable Systems (AKTA) and increased its base of mobile clients in Spain and Hungary.

The group’s turnover increased by 4.3% in Romania, to EUR 584 mln, and by 45% in Spain, to EUR 200 mln. However, Digi posted slightly lower revenues on the Hungarian market – EUR 151.6 mln, down by 7.3% year-on-year.

The group’s operating profit went up by 16.2% in the first nine months, to EUR 122.7 mln. However, the net financial costs doubled compared to the same period of last year, to EUR 130.3 mln. Thus, Digi posted losses of EUR 23.5 mln in the first nine months, compared to a net profit of EUR 25 mln in the same period of 2019.

(Photo source: the company)