Feeds

Wanadoo makes a profit

Freeserve makes larger loss

  • alert
  • submit to reddit

Bridging the IT gap between rising business demands and ageing tools

French ISP Wanadoo has notched up a profit a year ahead of forecasts.

Publishing its full-year results today, the company reported a net income of 30m euros, compared to a net loss of 193m euros in 2001.

Earnings before interest etc (EBITDA) rolled in at 90m euros compared to an EBITDA loss of 64m euros the year before.

Total revenues jumped from 1.56bn euros in 2001 to 2.07bn euros last year.

Wanadoo chairman and chief exec, Olivier Sichel, said that the results "reflect the successful efforts to spur innovation and build profitable performance that Wanadoo has pursued over the past years".

Indeed, that certainly appears so for Wanadoo's ISP operation in France, which saw an EBITDA loss of 120m euros in 2001 turned into a 7m euro EBITDA profit in 2002.

Spain also managed to cut its EBITDA loss from 60 million euros in 2001 to 55 million euros in 2002. Losses also narrowed in Wanadoo's operation in The Netherlands, Belgium and Morocco.

In the UK, though, Wanadoo's Freeserve racked up increased losses of 92m euros in 2002 from 74m euros the year before.

Clarifying the numbers, Wanadoo said that Freeserve's EBITDA loss went from 76 per cent of revenues in 2001 to 38 percent of revenues in 2002.

Despite this improvement, Wanadoo is still taking action to cut its losses in the UK.

In a statement it said: "In view of a regulatory environment in the country that is unfavourable to ISPs competing with the incumbent carrier, Wanadoo has initiated a programme aimed at enhancing income performance to cut its losses in the UK market, based on better control of network and customer service costs, as well as diversification of distribution channels."

No one at Freeserve or Wanadoo was available at the time of writing to explain exactly what this might mean.

However, as well as speculation that Freeserve could be sold, last week it sneaked out a £1 a month price rise that will take effect from March 25 for its Freeserve AnyTime product (it'll now be £14.99). ®

Related Stories

Freeserve denies it's gone cold on BB
Freeserve for sale? - report

Build a business case: developing custom apps

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
US freemium mobile network eyes up Europe
FreedomPop touts 'free' calls, texts and data
Big Blue Apple: IBM to sell iPads, iPhones to enterprises
iOS/2 gear loaded with apps for big biz ... uh oh BlackBerry
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.