Three Ireland breaks even and sees 18% growth in customers in six months

Customer numbers jumped by almost 18% at Three Ireland during the first half of 2013, with the mobile communications company also reaching break-even point — on an EBITDA basis — for the first time in its eight year history.

Yesterday’s interim update continues a trend of positive newsflow from the network provider over the past few months. Just over a month ago, Three announced that it had reached agreement to buy rival, O2 Ireland for €850m, a deal which is expected to formally conclude by the end of this year, or early 2014 at the latest — depending on competition approval — and will make the enlarged Three the second largest player in the Irish market, behind Vodafone.

In March, Three Ireland reported annual revenues of €174m for 2012, an increase of 16% and a market share rise from 7.7% to 9%. It also said that it had slashed its full-year losses by over 30% to €19m.

Owned by Hong Kong-based conglomerate, Hutchison Whampoa and launched in 2005, Three Ireland is now Ireland’s fastest-growing telecommunications player.

Yesterday’s data — for the first half of 2013 — showed a breaking-even figure, compared to a loss of €15m for the same period last year, and a near 18% rise in ‘active’ customers from 431,000 to 508,000.

Chief executive Robert Finnegan said the interim figures highlight the progress Three is making in the Irish market.

“The milestone of EBITDA break-even is an important achievement for the business,” he claimed.

Three has doubled its business in the past two years, and fully expects to repeat that trend in the next couple of years. It sees the O2 purchase as the natural next growth step and one which will hasten it to its ultimate goal of toppling Vodafone as the country’s leading communications provider.