Altice’s SFR returns to growth

Altice-owned French service provider SFR returned to growth in the fourth quarter of last year, after 11 successive quarters of decline, posting revenue growth of 0.6%.

The turnaround contributed to accelerated revenue growth for the group as a whole, with an uplift of 2.7% year-on-year.

SFR added a further 1.6 million homes to its fibre footprint over the year, taking the total to 9.3 million homes passed. In Portugal, the group’s Meo unit now passes three million homes, 714,000 up year-on-year.

Overall, SFR posted revenues of €2.892 billion. Altice as a whole posted revenue of €6.087 billion, boosted by a strong showing by Suddenlink in the US.

SFR posted EBITDA of €954 million, up 12.1%, while Altice as a whole posted EBITDA of €2.285 billion, up 15.7%.

Portugal Telecom/Meo posted revenues of €580 million, up 0.5% and EBITDA of €265 million, up 7.8%.

Separately, Altice has  received a €40 million fine from the French competition regulator for feeling to meet commitments to build fibre out to France’s main population centres.

“2016 was a pivotal year for Altice as we successfully transformed the Group into a leading, transatlantic converged communications player. Our business is stronger than ever and we have put all the building blocks in place for continued profitable growth,” said Altice CEO Michel Combes.

“Our 2016 performance has validated the Altice Model as we’ve been very focused on execution, seeing an advanced turnaround in Europe and stronger US performance. Indeed, since Altice took control of the major businesses it has acquired, France and Portugal have returned to revenue growth for the first time in many years, and growth in the US has significantly accelerated.”