swisscom ag-reg (SWZCF) Key Developments
Swisscom AG Reports Earnings Results for the First Half of 2015; Provides Earnings Guidance for the Full Year of 2015
Aug 19 15
Swisscom AG reported earnings results for the first half of 2015. For the period, the company reported net revenue of CHF 5,758 million compared to CHF 5,700 million a year ago. Operating income before depreciation and amortization was CHF 2,133 million compared to CHF 2,182 million a year ago. EBIT was CHF 1,105 million compared to CHF 1,160 million a year ago. Net income was CHF 784 million compared to CHF 806 million a year ago. Capital expenditures were CHF 1,142 million compared to CHF 1,117 million a year ago. Free cash flow spent, CHF 85 million below prior year. EBITDA declined by 2.2% or CHF 49 million to CHF 2.133 billion. Adjusted for non-recurring items and on the basis of constant exchange rates, EBITDA increased by CHF 40 million or 1.9%.
The company expects net revenue of more than CHF 11.5 billion, EBITDA in excess of CHF 4.2 billion and capital expenditure of over CHF 2.3 billion in 2015.
Ringier, SRG and Swisscom to Establish a Joint Venture
Aug 18 15
Ringier, SRG and Swisscom announced that they are establishing a joint venture in which they will bundle the marketing operations of their media services and advertising platforms. No financial terms were disclosed. The deal is subject to approvals by the relevant Swiss authorities. The venture is expected to launch operations in the first quarter of 2016. The companies said they have decided to join their forces in a bid to 'respond to the significant changes in the needs of advertising clients and the Swiss media'. Under the terms of the agreement, each party will hold a third of the share capital of the new entity, which has not been named yet. SRG will completely integrate its marketing unit into the venture, while Swisscom and Ringier will transfer their advertising operations, inventory and marketing structures.
Six and Swisscom to Drop Tapit
Aug 6 15
Six and Swisscom announced they are working towards a strategic partnership to establish a Switzerland-wide, universal mobile payment service in collaboration with banks. The basis for this partnership has been established in May when Six, UBS and Zurcher Kantonalbank launched the Paymit payment service. Paymit will now enter the next phase with the expansion to retail and commerce segments. Swisscom has decided to phase out the payment function on its own innovation project, Tapit, by summer 2016. The number of active users and credit card providers on Tapit has remained well below expectations. The discontinuation of the Tapit payment function will free up resources in mobile payment, which Swisscom can invest in its partnership with Six.
Swisscom and Verizon Extend Global Partnership to Full Decade
Jul 29 15
Verizon and Swisscom announced that they are extending their partnership to take the two companies' co-operation to a full decade of service. A newly announced, three-year extension to Swisscom and Verizon's 2008 partnership agreement will enable the continued provision of enhanced global service and support capabilities to Swiss multinational companies and companies with operations in the Swiss market. The Swisscom and Verizon alliance offers Swisscom customers with multinational operations seamless access to Verizon's expansive global network and solutions. Verizon's customers with operations in the Swiss market benefit from Swisscom's extensive local market expertise, dense infrastructure and customer service organization. Working together, Swisscom and Verizon offer customers a consistent, high-quality experience and a comprehensive suite of voice and data services, streamlined service offering including integrated networks, convergent services, security, seamless processes and comprehensive customer services. Verizon and Swisscom are also planning to leverage their joint capabilities to deliver innovative next-generation solutions such as Software Defined Networking and Hybrid networks to customers, enabling enterprises to redefine their network infrastructure to be more responsive to their own users, customers and market opportunities. The two companies are also extending the service portfolio available to customers, with new offerings now including managed local area network (LAN) and wireless LAN solutions, business Wi-Fi, managed wide area network (WAN) optimization and Verizon Secure Cloud Interconnect. Swisscom and Verizon's alliance has expanded over the years, with the two companies jointly offering a series of advanced initiatives, including cloud and security services. Outside the scope of the initial partnership, they have also opened a security operations management center in Zurich.
Swisscom AG Introduces Advanced Calling for Volte Calls
Jun 23 15
Swisscom AG has introduced Advanced Calling, a new telecommunications experience for voice over LTE technology, or VoLTE calls. In preparation for the new service, Swisscom has upgraded its 4G/LTE data network in Switzerland and Liechtenstein so that it supports IP telephony (voice over LTE technology). Customers with compatible smartphones can now make phone calls via 4G/LTE with even better voice and telephone quality. The service will be rolled out in stages. Another milestone will follow in the summer with the launch of WiFi Calling, which will allow calls to be made at any WLAN hotspot. Swisscom offers its customers the best 4G/LTE coverage, with 98% of the population already able to benefit from a fast 4G/LTE mobile data network. Swisscom also offers more than 2,200 WLAN hotspots throughout Switzerland. The term Advanced Calling covers both VoLTE and WiFi Calling. VoLTE enables customers with compatible smartphones to make calls directly via the 4G/LTE network rather than using 3G or 2G, as was previously the case. This gives customers a number of advantages, such as consistently high surfing speeds, even while making phone calls. Call setup speeds have also been greatly improved - it now takes just 2-3 seconds from dialling the number to the phone ringing at the other end - and the subsequent call features excellent voice quality, as if the person were right next to you. The new technology is also kind to mobile phone rechargeable batteries, as the phone is constantly connected to the 4G/LTE network and consumes less power. Another practical aspect is that the caller's name is displayed if it is listed in the public phone directory.