Partner dips as Q2 financials show revenue drop

Partner CEO Isaac Benbenisti Photo: Amir Gossfried
Partner CEO Isaac Benbenisti Photo: Amir Gossfried

Quarterly revenue fell 10% to NIS 805 million, but net profit rose 31% to NIS 34 million.

Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) reported a 10% drop in revenue to NIS 805 million in its second quarter financials released this morning. Revenue from services fell 7%, while equipment sales revenue fell 22%. The comparison is with the second quarter of 2016.

EBITDA rose 11% to NIS 252 million, and net profit shot up 31% to NIS 34 million.

Average monthly revenue per user (ARPU) fell 5% to NIS 62. Partner's subscriber base shrank by 1% to 2.66 million.

Partner's share price is currently down 2.43% on the Tel Aviv Stock Exchange.

Partner CEO Isaac Benbenisti said, "The second quarter results portray continued efficiency measures implemented in the company and an increase in operating profit. We continue to deploy 4.5G network throughout the country and at the same time we continue to implement MIMO 4X4 technology in our cellular network, which will enable us to offer cellular internet at speeds of up to 400 Mbps. In addition, we continue to develop additional capabilities for Partner's unique IoT (Internet of Things) Pro network, which are for private use and adapted to the specific needs of business subscribers.

"We opened the second half of 2017 with the initial marketing of Partner TV services and triple services which include internet and fixed-line telephony, in addition to TV. Over 20,000 consumers have requested to join Partner TV, reflecting the strong interest in the Israeli market to switch to a more advanced TV service at a more attractive price.

"Last week we revealed additional news, with the announcement regarding the expansion of Partner's fiber optic network, which enables private customers, already at this point in time, internet services at speeds of up to 1,000Mbps and we have already reached tens of thousands of households. In the coming months we plan to significantly expand our deployments within the cities with a reach of additional tens of thousands of homes using Partner's fiber infrastructure.

"The positive quarterly results, together with the successful launch of Partner TV and the progress in fiber deployment, are the result of long-term plans that we started over two years ago, designed to provide our customers with added value across the variety of communication services we offer as a comprehensive communications group."

Published by Globes [online], Israel business news - www.globes-online.com - on August 16, 2017

© Copyright of Globes Publisher Itonut (1983) Ltd. 2017

Partner CEO Isaac Benbenisti Photo: Amir Gossfried
Partner CEO Isaac Benbenisti Photo: Amir Gossfried
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