Three UK publishes Q3 2024 results
| . | YTD 2024 | YTD 2023
|
% Variance |
| Total Revenue (£m) | 2,039 | 1,871 | +9% |
| Total Margin (£m) | 1,345 | 1,239 | +9% |
| Capex (£m) | (338) | (350) | +3% |
| Net ARPU (£) | 13.56 | 13.21 | +3% |
| Net AMPU (£) | 12.30 | 11.87 | +4% |
| Active Customer (‘000) | 10,931 | 10,735 | +2% |
| Active Contract Customer (‘000) | 9,273 | 8,928 | +4% |
| Registered Contract Churn (%) | 1.6% | 1.4% | +0.2% |
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Highlights
- Despite growth in revenue and margin, operating costs continued to rise as a result of inflation, causing EBITDA less capex to remain negative.
- Continued strong growth in SMARTY, Business and Home segments, supporting overall increases in revenue, margin and active customer base.
- High cost of living leading customers to lower-value products, driving market competition and elevated customer churn rate, putting pressure on core business areas of Contract and Prepay Voice.
- Year-to-date capex remains lower following spending on network rollout and IT transformation projects in previous years.
- 3 Vision digital transformation completed with 132 legacy apps switched off.
- HRV requirements met with less than 35% of 5G traffic on Huawei equipment ahead of deadline. On track to meet rest of requirements in required timeframe.
- Met SRN obligations with 88% Partial Not Spot target completed.
Robert Finnegan, Chief Executive Officer of Three UK said: “These results show that while we continue to grow our customer base and manage the business efficiently, we remain cashflow negative since 2019. The UK ranks a lowly 22nd out of 25 European countries* for 5G speeds and availability and we simply cannot, as a standalone company, generate the returns to justify the levels of investment required to change this. We have given cast-iron commitments to the CMA to enable our merger with Vodafone unlocking £11bn of private investment that will transform UK 5G and deliver a world class network for consumers and businesses.”
* OpenSignal European market study
