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02 Records 14.9% Revenue Growth

02 Records 14.9% Revenue Growth

Mobile phone company 02 saw its UK third quarter mobile service revenue grow by 14.9% year on year.

The company also saw year on year growth of 6.1% in Germany and 1.7% in Ireland.

Mobile average revenue per user in the UK was £272, compared to £271 for Q2 2006 and £265 for Q3 2005.

Group SMS volumes also grew, by 26% year on year to 6.49 billion messages.

Peter Erskine, chairman and chief executive of O2, said: “02 has continued to thrive as part of the Telefonica group and in the third quarter we have maintained our momentum in highly competitive markets, adding 812,000 mobile customers, taking the total mobile customer base to 34.4 million, 14% higher than last year.

“In the UK we added 524,000 new net customers, driven by our customer focused propositions and ongoing strategy of treating both new and existing customers equally. Contract churn was again reduced, for the fifth quarter in a row, while gross connections grew 15% year on year, helping to extend our strong performance from the first half into the third quarter.

“This faster than expected growth has allowed us to again raise service revenue guidance, and we now expect 14% to 15% growth year on year for the 11 months to 31 December 2006.”

02 recently announced that it will be launching a broadband service starting from spring 2007.

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