In the first quarter of 2017, the European pureplay fiber network operator euNetworks kept on executing on its plans, posting higher revenue and spending plenty of it on new network deployments. Here are the company's results in some context:
|in millions of €, UOS||Q1/16||Q2/16||Q3/16||Q4/16||Q1/17|
|Normalized Adj EBITDA||9.9||11.1||11.0||11.7||11.3|
|Norm. Adj EBITDA margin||32.3%||34.5%||34.6%||36.2%||34.7%|
|Proxy Cash Flow||(1.7)||(5.6)||(1.1)||(5.9)||(3.5)|
Sales were up 4% from the same quarter last year, installations were up 26%, while churn fell to 0.6%. Normalized Adjusted EBITDA was up over the same period last year, but fell sequentially from the fourth quarter due to the hiring of new sales staff in anticipation of future revenue growth.
With its capex still above 40% of revenue, the company is clearly continuing to invest in the reach of its infrastructure. Among the projects they were working on in recent months was a diverse, low latency, high density connection between Slough and Central London, which just went live last week and included 180 access chambers for future expansion along the path. The company has also been building out diverse longhaul connections in Germany between its 7 major metro markets there.
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