Financial highlights

  • Underlying EBITDA
    Domestic grew by 4.7% to 1,647 M€ driven by a positive direct margin and especially a solid reduction in expenses.
  • Households/Small Offices per X-Play
    Proximus’ convergence success was especially apparent in the continued progress in the number of households that take 3- or 4- Play.
  • Operational results
    Good customer growth and improved market position in spite of a competitive environment
  • Free Cash Flow (in M€)
    Sound Free Cash Flow (FCF) supported by transversal cash management initiative in view of optimizing FCF generation. 2016 FCF up by 151 M€ from the 408 M€ FCF reported for 2015. When excluding net impact of major one-off cash items in 2015, FCF increased year-on-year by 105 M€, i.e. 23% on like-for-like basis.
  • Net income (in M€)
    Proximus reported a net income (Group share) of 523 M€ for 2016. The year-on-year increase by 41 M€ or 8.5% is mainly explained by higher Group EBITDA and lower finance costs, partly offset by higher depreciation and amortization and tax expenses.
  • Capex (in M€)
    In 2016, we invested 949 M€ in Fixed and Mobile networks, TV content and improving customer experience. We also invested in IT systems, simplification and transformation, all contributing to the lower cost base. We started Fiber-to-the-Business roll-out and greenfield fiber projects were deployed.
  • Domestic revenue
    Proximus grew its domestic revenue by 0.7% in 2016. The revenue growth was driven by both the Consumer and Enterprise segments of Proximus, in spite of regulatory headwinds and competitive landscape.
  • Consumer revenue
    Consumer segment revenue reached 2,905 M€, driven by solid revenue from Fixed Internet and TV through a growing customer base. The successful multi-Play offering enhanced the customer mix, increasing loyalty and value. In 2016, the revenue from Mobile came under pressure from EU roaming regulation.
  • Enterprise revenue
    Enterprise segment revenue reached 1,360 M€, mainly driven by a solid revenue growth in ICT and Be-Mobile NV. The growth more than compensated for the continued Fixed Voice revenue erosion. Mobile services revenue remained fairly stable compared to 2015 in spite of the high roaming exposure.
  • Group Operating Expenses
    Executing upon its ‘Fit for Growth’ strategy, and focusing on efficiency and productivity gains Proximus reduced 2016 expenses to 1,832 M€, a 2.7% or 52 M€ improvement from 2015. Proximus is well on track of its cost reduction plan, aiming for a 150 M€ net decrease over 2015-2019.
  • Workforce expenses
    Workforce expenses decreased to 1,159 M€, supported by a lower internal headcount enabled by a voluntary early leave plan ahead of retirement. The favorable effect this had on Proximus’ cost base, was however partly offset by the impact of an inflation-based salary increase in July 2016.
  • Non Worforce Expenses
    The cost base benefited from the optimization of Proximus’ physical sales channels and network simplification. Volumes to contact centers decreased on improved customer interactions (first-time-right) and enhanced digital solutions encouraging self-care and further digitization of billing and ordering.
  • Group EBITDA
    The Proximus Group posted for 2016 underlying EBITDA of 1,796 M€, an increase by 3.6% compared to 2015.
  • Domestic EBITDA
    The Domestic EBITDA grew by 4.7% year-on year to 1,647 M€, driven by a favorable Direct Margin evolution from both the Consumer and Enterprise segments, and especially by a solid reduction in expenses.
  • BICS EBITDA
    BICS closed 2016 with 149 M€ Segment Result. The 7.2% EBITDA decline on a high comparable base is due to a combination of lower direct margin and higher expenses, mainly related to expansion and new growth initiatives.
 

Key achievements

  • 124,000 customers on our 3- & 4- Play in the first 3 months
  • Certification- the highly respected security management standard
  • Launch of our new kids content channel
  • First customer connected to GPON Point-to-Multipoint fiber architecture
  • We can now surf and call on 4G at the same time thanks to the launch of VoLTE
  • Pilot with Tessares to provide increased download speeds for people in remote areas
  • First in Belgium to test 5G with speed up to 70 Gbps, 100 times faster than 4G
  • Exclusive broadcast for the next 4 years
    on Proximus TV

  • Employees signing in for the voluntary early leave plan prior to retirement.

  • Group underlying EBITDA growth

  • Launch of a new company offering innovative mobility solutions
  • Customer satisfaction following a
    Happy House visit

  • Proximus is the #1 in the Netflix Speed index
  • Platform where we offer companies all the building blocks required to quickly carry out their own tailor-made solutions, incorporating our key assets
  • €3 bn investment in the national roll-out of ‘Fiber for Belgium’ over the next 10 years
  • Launch of MyAnalytics portal that allows professional customers to create their own analyses and reports
  • Belfius, bpost and Proximus invested in smart retail platform
  • Pro-active decoder swaps
  • Vectoring coverage
  • We renewed key contracts and realized significant winbacks

Our 2017-2019 strategy

Proximus is accelerating its Fit for Growth strategy over the next 3 years and strengthening its ambition to become a Digital Service Provider, connecting everyone and everything so people live better and work smarter. Our ultimate objective is to offer our customers a superior customer experience.

More about our strategy