Kosovo: IPKO and Telekom Slovenije Report Growth

Ljubljana/Prishtina – Despite big changes in the industry and the competitiveness of the market, Telekom Slovenije and its subsidiaries report growing incomes. The income increased by 10 percent in the first nine months of this year and the investment in construction continued. For its subsidiaries in South-Eastern Europe 39.1 million euro to network construction and development were allocated in the first nine months of this year.

The total number of fixed and mobile telephony connections increased by eight percent. The start-up of mobile telephony late last year in Kosovo was the biggest cause of such growth. The Kosovar subsidiary IPKO managed to attract 270 thousand users in Kosovo.

IPKO is undoubtedly the third biggest Telekom Slovenije subsidiary. By providing fixed telephony services, it became a comprehensive provider of telecommunications services in Kosovo. In terms of mobile telephony, it added GPRS, data packages and MMS messages to its offer, thus entering the market of mobile internet access. IPKO is the leading internet provider in Kosovo with its 68 percent market share. It already has 60,000 broadband connections. It has a 30 percent market share and more than 300,000 users, mostly prepaid, in the mobile communications market. In the first nine months, it created just under 30 million euro in operating income, which is 621 percent more than in the same period last year. As expected, there is a net loss of nine million euro, due to the additional expenditure on loans, which it used to pay the license and finance the construction of the mobile network. EBITDA amounted to 8.9 million euro, so business results are going to be positive at the end of the year.

Subsidiaries abroad will have an increasingly important role in the successful operation of Telekom Slovenia Group, so expectations concerning the Group’s operation abroad are ambitious and complex.