Fastweb expects 2008 to be fully cashflow positive. In a conference call following the company’s third quarter results, CEO Stefano Parisi said he was expecting a double-digit percentage growth in sales and EBITDA in 2008.
However, the Italian telecoms darling cut its full year EBITDA guidance from 2007, reducing its anticipated 75% rise in EBITDA to 59% and €480 million. The company announced a nine-month EBITDA up 48% to €317.4m, narrowing its loss to €33m from €64.2, in figures below market expectations.
Third-quarter revenues reached €353.8 million, an increase of 11% from €319.1 million in Q3 2006. 55,800 subscribers were added in the third quarter bringing the total to 1,251,400. Fastweb said the repackaging of its offer meant that 25% of new subscribers were now signing up to its TV packages, compared to just 20% previously. However the price reductions also led to a fall in annualised ARPU from €747 in June to €733 in September.
Fastweb continues to take action against Telecom Italia, the latest dispute is over the incumbent telco’s winback campaign, and its rival will start a commercial push on its Alice TV service in 2008.
