Nuuday sees improved top line in Q4

Source: Nuuday

Danish service provider Nuuday was boosted by a recovery in its mobile base and solid fibre broadband growth in the last quarter of 2023, helping to deliver 2% growth in service revenue, but lost fixed broadband customers in aggregate.

The operator signed up 9,000 new mobile subscribers in the quarter, bringing the year’s total growth to 20,000 new subscribers.

In fibre broadband, in Q4 Nuuday added 19,000 new customers, bringing the year’s total net addition to 81,000 new customer relationships.

The growth in Q4 was partly driven by new partnerships, opening up the sale of fibre connections on SEF’s and RAH’s networks in South Funen and West Jutland respectively.

With the latest agreements, at the end of the year Nuuday had access to more than 90% of the fibre network across Denmark, which it said cemented its position as Denmark’s leading supplier of broadband across technologies and geographies.

However, for fixed broadband as a whole, Q4 saw a drop of 9,000 customer relationships.

Nuuday said that customer satisfaction as measured by Net Promoter Score was boosted by improved customer experiences and strong product launches year from YouSee and TDC Erhverv in particular, and most recently from the low-cost mobile brand eesy, which in Q4 launched a digital e-SIM card that promosed new customers would get online in just two minutes.

Nuuday went live in Q4 with the first phase of its new IT platform, Dawn. During 2024, the entire residential customer business will be migrated to Dawn.

Service revenue increases

Service revenue increased in Q4 by 1.9% YoY from DKK 3.3 billion  to DKK3.36 billion. For the whole year, service revenue increased by 0.5%, comparable with 2022, after several years of decline.

Underlying EBITDA fell by 10.6% or DKK46 million, which meant an overall decline for the year of 2.5% from DKK1.77 billion to DKK1.72 billion. In 2024, Nuuday expects no movement in underlying EBITDA.

Financials were boosted by improved free cash flow, which in Q4 grew by as much as 90%. For 2023 as a whole, the increase was 33.7%.

“I am satisfied with our performance in Q4 and 2023 as a whole, where we have grown in core segments, continue to deliver innovative products and deliver record high customer satisfaction. The fact that we can already go live with our new IT platform – only a year and a half after entering into a contract with Netcracker – shows that we are executing purposefully on our transformation plan. We continue unabated to create one of the fastest and most ambitious business transformations within modern telecommunications, which delivers cutting-edge technology and digital solutions to Danish households and businesses,” said Nuuday CEO Jon James.