Three Ireland cuts losses by over 30% as revenues rise

Mobile communications company Three Ireland slashed its annual losses by over 30% last year, while increasing revenues and market share.

The company, which is owned by Hong Kong- based Hutchison Whampoa, said yesterday that revenues grew 16% to €174m, in 2012, with market share rising from 7.7% to 9%.

Three Ireland’s pre-tax losses amounted to €19m last year down 32% on the previous year.

The company actually broke even on an EBIT (earnings before interest and tax) basis, mainly due to a one-off net gain of €45m on its network sharing agreement with Vodafone.

Last year’s revenue growth, which followed a 53% increase in 2011, was largely driven by higher sales of smartphones and an increasing customer base.

Three Ireland, Vodafone, O2, and Eircom/Meteor spent a combined €855m, last November, on enhanced fourth generation (4G) bandwidths, allowing them to roll-out faster broadband connections and services this year. Three alone spent over €100m on enhancing its product capabilities.

Robert Finnegan, Three Ireland’s chief executive, yesterday called the 2012 performance “solid” in a highly competitive market, “where other operators continue to lose market share”. “Our revenue has gone from €98m in 2010 to €174m in 2012, showing a 78% growth in just two years,” said Mr Finnegan. “While the market is static, our growth is not and in 2013, with the roll-out of 4G, that strong performance will continue.”

Three, which has 22m customers across Europe, has been trading in Ireland since 2005 and is yet to turn a profit here, although its losses have been declining.


We take a trip down memory lane and check out what happened on this day in years gone by by looking back at some Irish Examiner front pages and highlighting other events which went down in history across the world.August 20, 2019: A look back at what happened on this day in years gone by

More From The Irish Examiner