Latest news with #TomerRaved
Time of India
20-05-2025
- Business
- Time of India
Israel's Bezeq Telecom quarterly profit rises on fibre network gains
TEL AVIV: Bezeq Israel Telecom reported a 7% rise in first-quarter profit on Tuesday, as it continues to benefit from growth in its fibre optics network . Bezeq, Israel's largest telecoms group, said it earned 319 million shekels ($91 million) excluding one-time items in the January to March period, up from 299 million a year earlier. Revenue dipped 0.9% to 2.2 billion shekels. In its core fixed line business excluding home phone services, revenue grew 2.6% on a 36% gain in the number of more lucrative fibre subscribers to 885,000. Similarly, its mobile unit Pelephone showed an 18% rise in 5G subscribers , with the firm posting its highest quarterly revenue in seven years that was also helped by higher income from roaming. Bezeq last week raised its adjusted net profit expectation for 2025 to 1.32 billion shekels from 1.2 billion, while maintaining a forecast that deployment of its fibre-optics network would reach 2.9 million homes this year - up from 2.7 million currently. Chairman Tomer Raved said Bezeq is near the end of a five-year investment cycle and will complete its nationwide fibre rollout in the coming months. "These investments will enable Israel to implement a major national transformation as we enter the AI era across the private, business, and governmental sectors," he said. In 2024, adjusted net profit fell 4.7% to 1.27 billion shekels.
Reuters
20-05-2025
- Business
- Reuters
Israel's Bezeq Telecom quarterly profit rises on fibre network gains
TEL AVIV, May 20 (Reuters) - Bezeq Israel Telecom ( opens new tab reported a 7% rise in first-quarter profit on Tuesday, as it continues to benefit from growth in its fibre optics network. Bezeq, Israel's largest telecoms group, said it earned 319 million shekels ($91 million) excluding one-time items in the January to March period, up from 299 million a year earlier. Revenue dipped 0.9% to 2.2 billion shekels. In its core fixed line business excluding home phone services, revenue grew 2.6% on a 36% gain in the number of more lucrative fibre subscribers to 885,000. Similarly, its mobile unit Pelephone showed an 18% rise in 5G subscribers, with the firm posting its highest quarterly revenue in seven years that was also helped by higher income from roaming. Bezeq last week raised its adjusted net profit expectation for 2025 to 1.32 billion shekels from 1.2 billion, while maintaining a forecast that deployment of its fibre-optics network would reach 2.9 million homes this year - up from 2.7 million currently. Chairman Tomer Raved said Bezeq is near the end of a five-year investment cycle and will complete its nationwide fibre rollout in the coming months. "These investments will enable Israel to implement a major national transformation as we enter the AI era across the private, business, and governmental sectors," he said. In 2024, adjusted net profit fell 4.7% to 1.27 billion shekels. ($1 = 3.5176 shekels)
Yahoo
19-03-2025
- Business
- Yahoo
Bezeq The Israeli Telecommunication Corp Ltd (BZQIF) Q4 2024 Earnings Call Highlights: Strong ...
Core Revenue Growth: 1.3% increase due to growth in Pelephone and Bezeq Fixed-Line. Adjusted EBITDA: Decreased slightly due to lower telephony revenues and impact of the war on roaming revenues. Q4 Adjusted EBITDA Growth: Almost 6% year-over-year. Adjusted Net Income Growth: 23% year-over-year in Q4. Fiber Subscribers: 850,000 total with 2.64 million homes passed. 5G Subscribers: 1.3 million with 208,000 net adds during the year. Dividend Policy: Increased to 80% payout, with next distribution at approximately 14 agorot per share. Net Debt: Decreased by ILS250 million to approximately ILS4.9 billion. Retail Broadband ARPU: Increased by 6%. Yes ARPU: Reached ILS185 from subscribers. Pelephone Revenue: ILS1.4 billion, highest in seven years. Adjusted EBITDA Forecast for 2025: ILS3.7 billion. Adjusted Net Profit Forecast for 2025: ILS1.2 billion. CapEx Forecast for 2025: ILS1.75 billion. Fiber Deployment Forecast for 2025: 2.9 million households. Warning! GuruFocus has detected 5 Warning Sign with BZQIF. Release Date: March 12, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Bezeq The Israeli Telecommunication Corp Ltd (BZQIF) successfully implemented its group strategy, with significant progress in fiber deployment, nearing 90% completion. The company reported a 43% increase in fiber take-up and a 20% growth in 5G subscriber plans, indicating strong demand for its services. Pelephone, a subsidiary, is leading the 5G revolution in Israel, contributing positively to ARPU growth. Bezeq The Israeli Telecommunication Corp Ltd (BZQIF) maintained a strong balance sheet, upgraded its credit rating to AA, and increased its dividend payout policy to 80%, reflecting a yield of over 5%. The company achieved a 1.3% growth in core revenue for 2024, driven by growth in Pelephone and Fixed-Line services, despite geopolitical challenges. Adjusted EBITDA and adjusted net profit were down by almost 2% and 3%, respectively, due to decreased telephony revenues and the impact of the war on roaming revenues. The company faced a decrease in telephony revenues due to the Ministry of Communications' tariff reduction. Bezeq International's revenues and profitability were impacted by lower consumer ISP revenues and ILD revenues. The company experienced a 4% decrease in operating expenses due to lower subcontractor and employee expenses, indicating potential cost-cutting measures. Despite growth in core revenues, the adjusted EBITDA growth guidance is conservative, reflecting challenges in maintaining profitability amidst declining high-margin revenue streams like telephony and ISP. Q: Can you discuss the current regulatory environment and any upcoming changes, particularly regarding structural separation? A: Tomer Raved, Chairman of the Board, explained that the regulatory environment has been rational, with a focus on telecom infrastructure. The Ministry of Communication is reviewing the removal of structural separation as part of their 2024 work plan. Discussions are ongoing, and updates will be provided as they become available. Q: How does the guidance account for competitive pressures, geopolitical factors, and regulatory changes? A: Tomer Raved noted that core revenues exclude interconnect fees and that the guidance considers all drivers, including fiber, 5G, and TV. The impact of geopolitical volatility is minimal, and the guidance is cautious, considering potential events like the elimination of the 5G spectrum discount. Q: What other regulatory changes are expected from the Ministry of Communication in 2024? A: Tomer Raved mentioned that spectrum fees and wholesale rates are under review. The Ministry is evaluating the need for active wholesale price regulation, consistent with European practices. Structural separation remains a key focus, with ongoing discussions aimed at its removal. Q: How do you view the competitive dynamics in the wireless market? A: Tomer Raved stated that the market remains competitive with rational pricing. While competition is high, there is potential for ARPU growth, particularly with 5G. Pelephone has seen ARPU increases, and the market is expected to maintain healthy competition. Q: Why does the adjusted EBITDA guidance appear conservative despite expected revenue growth and cost improvements? A: Tomer Raved explained that core revenue growth excludes declining high-margin items like telephony and ISP. Major cost reductions from satellite and employee reductions will fully impact in 2026. The guidance reflects these factors and ongoing efficiency projects. Q: Why is the CapEx to sales ratio still relatively high despite nearing the end of major projects? A: Tobias Fischbein noted that while CapEx will decline as fiber deployment completes, ongoing investments in growth areas like 5G and streamers for yes will continue. The CapEx to sales ratio is also affected by declining total revenues due to interconnect fee reductions. Q: How will subcontractor costs evolve as fiber deployment progresses? A: Tobias Fischbein indicated that subcontractor costs, primarily for connecting households to fiber, will decrease over time as more customers already have fiber connections, reducing the need for additional subcontractor work. Q: How did Bezeq achieve its fiber deployment goals at lower costs than expected? A: Tobias Fischbein attributed the cost efficiency to improved deployment processes and some timing differences in CapEx payments. Despite these efficiencies, the overall CapEx guidance for 2025 remains unchanged. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
