Cgates, an alternative television and internet provider in Lithuania, grew revenues by 70% in 2012.
Moving customers to digital packages, sales of fast FTTx internet and acquisitions of two competitors back in 2011 were among major contributors to the growth.
“Our main focus area remains to be customer experience, improved content offering and new product development for our customers,” said Paulius Dambrauskas, CEO Cgates. “Over 90% of customers enjoy TV and internet services delivered over FTTx, with internet speeds from 50 to 300 Mbps. It is well above country average. Over 52% of customers receive services via HTTx networks in Lithuania.”
Cgates growth of 70% is following a year of 69% revenue growth in 2011. Revenue for 2012 reached €15 million. It was €8.9 million in 2011 and EUR5.2 million in 2010.
EBITDA reached €6 million, EBITDA margin also improved to 39.6% in 2012, up from 37.7% in 2011.
Cgates grew TV subscriber number by 3% during the last quarter of 2012, following analog switch-over at the end of October. “Our expectations were higher, but, seeing overall market growth, we are happy with the results achieved,” added Dambrauskas.
Cgates was founded in 1991 as television service provider. It grew to become the biggest alternative TV and internet provider in the country. Cgates network covers 25% of country’s households, it holds leading positions in two biggest cities of Vilnius and Kaunas.
