The British subsidiary of Telefónica returns to losses as a consequence of the price of the brand new fiber community | Companies | EUROtoday

Virgin Media O2 (VMO2), the joint subsidiary of Telefónica and Liberty Global within the United Kingdom, recorded losses of 135.5 million kilos (159 million euros) within the first quarter of 2025, in comparison with the advantages of 19.3 million (22.6 million euros) that it obtained in the identical interval of the earlier 12 months. The firm justifies the Red numbers Due to the price of deployment of its new fiber optic community that reached 18.4 million previous properties on the finish of March, 165,000 greater than on the finish of 2024, in line with the outcomes communicated this Friday by the operator.

From January to March, complete revenue reached 2,480 million kilos (2,908 million euros), with an interannual lower of 4.2%. Mobile telephony billing fell 1.1% to 1,347 million kilos (1,580 million euros) as a consequence of decrease gross sales of smartphones (-6.6%), whereas broadband and glued bands grew 0.7% to 938 million kilos (1,100 million euros).

The adjusted gross working profit was 914.1 million kilos (1,072 million euros), with a lower of 1.3%. The firm has indicated that discounting the influence of fiber funding The EBITDA reached 921.7 million (1,081 million euros), 0.8% extra.

Despite the extension of the fiber community, related purchasers suffered a robust fall to a complete of 5,694,900 (-44,000 within the first quarter towards +12,000 within the fourth quarter of 2025) as a consequence of robust competitors available in the market. In cellular telephony, VMO2 yielded 34,100 strains within the retail market to 22.8 million (excluding the Internet from issues or units in machines) and gained 18,400 strains within the wholesaler as much as 10.6 million.

Telefónica, Liberty Global and Infravia Capital Partners constituted in 2022 a brand new joint firm valued at 4.5 billion kilos referred to as Nexfibre, whose goal is to show a fiber optic community to succeed in as much as seven million properties within the United Kingdom (beginning with 5 million by 2026) in areas that do not need the service of the Virgin Media’s personal community, which has greater than 16 million amenities. However, Virgin Media, who shares a part of his community, is at the moment the one essential Internet service supplier on this community.

“We have begun the year as planned, with forecasts that point to the growth of the main income and profitability, despite a more complex commercial environment in the first quarter. We maintain the concentration and course to comply with our annual forecasts, as we build on the bases established last year to resume growth in 2025,” mentioned Lutz Schüler, CEO of VMO2.