Mobistar reaches its 2007 objectives and proposes a cash return of 600 million euro to its shareholders.
Key facts
The total number of Mobistar's active customers, including MVNO, rose sharply in 2007. On 31 December 2007, the company had a total of 3,489,859 active customers, which is an increase of 10.7 % compared to the 3,152,455 customers of a year previously.VOXmobile had a total of 74,560 active customers at the end of 2007. Mobistar's customer base, cummulated with that of VOXmobile, amounted to 3,564,419 as of 31 December 2007.
Due to the decrease of the Mobile Termination Rates (MTR) and roaming tariffs, of which the gross impact for the operator amounts 127 million euro, and the price pressure, the consolidated turnover registered a decrease of 37.2 million euro (-2.4 %),reaching 1,509.6 million euro at the end of the 2007 financial year, compared to 1,546.8 million euro at the end of December 2006.
With an EBITDA margin of 41 % of service revenues as of 31 December 2007,profitability remained stable compared to the 41.1 % booked at the end of December 2006. Effective cost control largely contributed to this.
As with the consolidated turnover, net profits were in line with the objectives set. In 2007, Mobistar realized a consolidated net profit of 289.9 million euro, or 3.2 % lower than the 299.5 million euro registered a year previously, which represents a net profit of 4.58 euro per share compared to 4.73 euro per share at the end of 2006.
In 2007, Mobistar managed to increase the number of its customers thanks to a 'mobile-centric' approach. The Board of Directors decided to continue with this winning strategy after a thorough analysis of the strategic options available to Mobistar.
Mobistar's Board of Directors proposes a total cash return of about 600 million euro to its shareholders. This payout would comprise an ordinary dividend of 2.80 euro per share, a reduction in capital of 4 euro per share, and a buy-back of own shares during 2008 for the purpose of their destruction, amounting to a maximum of 175 million euro. The ordinary dividend, the reduction in capital and the renewal of authorisation for buying back shares will be submitted for the approval of the General Shareholders' Meeting on 7 May 2008.