Growth in all key areas – customers appreciate T-Mobile's convergent offer and the best network quality

T-Mobile Polska closed the second half of the year with the mobile customer base of over 12.64 million, which constitutes an improvement of 1.5% year over year. This is a result of consistent efforts to further improve the quality, availability and competitiveness of T-Mobile's offer even more. In addition to continuous investments in the mobile network, the operator is also developing the availability of its home internet offer based on third party infrastructure (BSA model) – 7 million households in range, the second largest footprint in Poland – and the availability of FWA services, as well as attracts customers with attractive plans. At the beginning of the year T-Mobile had been awarded by SpeedTest.plfor having the fastest home internet offer. At the end of the second quarter, it was supplemented by the titles of the best and the most consistent mobile network speeds by the global benchmarking provider Ookla, which shows how the steady investments in the infrastructure yield palpable results in the service quality for customers.

The increase in the number of customers, combined with the growing popularity of both higher tariff plans offering more possibilities, and the fact that customers choose convergent contracts (i.e. combining two or more services) with growing frequency, resulted in a clear increase in revenue in both the mobile and fixed segment. Several per cent growth was visible in both the individual and business services segments, which translated into revenues of PLN 1.76 billion, almost PLN 96 million higher than last year, an increase of 5.8 per cent.

Our efforts to deliver the best customer experience in the recent quarters and months pay off. With great offer, highest care of customer experience and growing popularity of the Magenta Moments program, rewarding customers for being with us, we became an important partner for them. This is the foundation for our success in the second quarter and a long-term strategic direction that we will continue to pursue – said Andreas Maierhofer, CEO of T-Mobile Polska. Since the beginning of the year, we have been focusing on improving availability of our 5G C-band services and FTTH coverage. Currently our fiber offer has the second highest footprint and is available to over 40% of all households in Poland, and the largest in country 5G C-band network covers over 30% of population. This means that we can offer our top-tier services to even more customers and we can see that they appreciate it, by choosing higher, more powerful plans and a convergent offer.

  

Despite inflation growth slowing down, the majority operating costs were still growing and were substantially higher than in the last year. On the other hand, the energy costs have been significantly lower than in the last year thanks to the effects of vPPA contract, which saw solar and wind farms built for the operator. As a result, the operator recorded a clear increase in EBITDA AL: in the second quarter, it amounted to PLN 488 million, an increase of PLN 22 million, or 4.7 per cent.

After a series of quarters challenging from the macroeconomic point of view, the improved environment has allowed us to show our true potential, keep up the momentum we started in Q1 and deliver on our promise to report a solid growth also in this quarter. And the result of revenue and EBITDA AL improvement of around 5% in each case is a very strong achievement – said Juraj Andras, CFO of T-Mobile Polska. It wouldn’t be possible without consistent investments in the network, customer experience and the development of the convergent offer and it is great to see that all the efforts invested in the consistent pursuit of our strategic goals are yielding such good results.

In the second quarter of 2024, T-Mobile continued its commitment to ESG (Environmental, Social, Governance) activities, aiming to be a leader in sustainable business. The company's sustainability efforts have been recognised with a number of awards, including the prestigious Polityka’s ESG Leafs and a high position in the "ESG Ranking: Responsible Management" published by Rzeczpospolita. T-Mobile was ranked among the top companies in the 'Telecommunications, Technology, Media and Entertainment' category, which underlines its commitment to environmental protection, social responsibility and excellent management. The company also proudly announced its partnership with UNEP-GRID, which is another step towards the implementation of its environmental strategy.

T-Mobile continues its customer-centric strategy

In the second quarter of this year, T-Mobile has continued to pursue its strategy of developing convergent services. More than half of the brand's contracts in the second quarter of 2024 combined two or more services. In addition, the company recorded 305,000 fixed broadband customers in the second quarter of the year.

The operator also implemented activities aimed at creating the best customer experience when interacting with the brand. In April, in Warsaw's Mokotów district, T-Mobile opened Poland's first interactive and multimedia showroom, the T-Mobile Magenta Experience Centre, where the customer experience is being elevated to a completely new level, with w range of unprecedented technologies available to everyone at their fingertips.

In May, the company expanded its product portfolio with another edition of 5G smartphones for every pocket, signed with the T brand: the T Phone 2 5G and T Phone 2 Pro 5G. The T Tablet also continued to enjoy strong customer interest during this time. In June, as part of its expansion of the prepaid segment, T-Mobile offered the largest package on the market with up to 7200 gigabytes.

Development in the B2B area

In the small business segment, the second quarter of the year was marked by the refreshed MagentaBIZNES offer, which includes unlimited calls and internet for the entire company based on optical fiber or a modern mobile network. The new MagentaBIZNES offers even higher speeds in select cases, the possibility to increase the limits during the contract, as well as higher data limits in the EU. The offer has also been expanded to include Security Packages, through which entrepreneurs can benefit from, among other things, network protection, remote IT service, device insurance and Norton Security Online software. These changes translated into a further increase in customer interest in the offer with a 10% (y-o-y) increase in the number of activations of new SIM cards in this segment.

Also in the corporate segment, security services were at the center of customer interest. The second area in which T-Mobile is continously developing its offering and experiencing steady growth is data centre services. In April this year, the operator announced that it had been certified to the ISO/IEC 27001:2022 Information Security Management System standard in the areas of: Cloud Service Security and Cloud Data Protection for cloud computing, backup and cyber security services. Furthermore, for these services and for the co-location service, it has obtained a renewal of the certificate certifying compliance with the ISO 22301:2019 Business Continuity Management System standard.

Dynamic 5G network rollout

Activities to improve network quality and quality of service for customers focused on continuing the dynamic rollout of the 5G network operating in C-band, which started in the first quarter. Currently, out of the more than 12400 base stations in T-Mobile's network, over 2800 offer a 5G More signal. As a result, 66 per cent of the population have been within range of 5G DSS (Dynamic Spectum Sharing) technology and more than 30 per cent of the population can use the 5G service provided on 3.x frequencies. The latter means that T-Mobile has not only maintained, but significantly strengthened its leadership position in 5G C-band technology. To ensure that 5G stations have adequate capacity, the operator has consistently pursued strategy of connecting 5G stations more with fiber. Importantly, around 95% of 5G stations connected to T-Mobile's network via fiber are using 10G links.

These activities translate into real improvements in the customer experience, as confirmed by independent benchmarks. T-Mobile concluded the second quarter with the news that it had won the Ookla (Speedtest.net) network quality ranking, confirming that the operator's mobile network offers the highest speeds and most consistent speeds. The trophy is the perfect complement to the achievement brought by SpeedTest.pl for the fastest home network in 2023.

The increasing convenience of data usage goes hand in hand with an increase in customer data consumption. Data transmission also makes it possible to provide customers with premium voice services thanks to the uptake of VoLTE technology. Currently, around 80% of all calls on T-Mobile's network are made using this solution. T-Mobile is also increasing the availability of VoLTE with its roaming partners. Curently, the operator's customers can use the technology in 40 countries with 57 roaming partners.

T-Mobile acts for nature

As part of its commitment to full product circularity, T-Mobile launched its 'We act for nature' campaign, which encourages customers to recycle their phones by offering special discounts in return. In addition, nearly 16,000 old mobile phones were collected thanks to a competition for schools and kindergartens, organised together with the recovery organisation Biosystem. More than 300 educational institutions took part in the competition, which promoted environmental responsibility among young people.

Through these activities, T-Mobile is consistently delivering on its mission to integrate sustainability into its daily operations, and support a responsible and inclusive future.