Movistar+ reaches 3.7 million subscribers

Pay television accesses total 3.7 million, 10% more than December 2014 in organic terms, and includes 926,000 DTS satellite TV accesses.

The year 2015, thanks to the good reception of the convergent offer Movistar Fusion+ Launched last July, it has produced very positive commercial results for Telefónica Spain.

The annual net gain of broadband almost doubles compared to 2014, that of fiber grows 25% and growth is recorded again in the mobile contract (234 thousand accesses). Likewise, the continuous effort to improve the quality and coverage of the networks (14.3 million real estate units passed with fiber and 75% population coverage in LTE), the integration of the most complete content offer (including all football until 2019) and the launch of the exclusive Movistar #0 channel in February 2016, contribute to reinforcing a solid starting position to face the 2016 financial year.

At the end of 2015, Telefónica Spain's accesses stood at 42 million. Movistar Fusion improves its quarterly net gain to 145,000 accesses in the fourth quarter of the year, reaching 4.2 million customers and 1.5 million additional mobile lines and maintains solid year-on-year growth (+13% and +8% respectively).

On the other hand, highlighting the strong growth in the penetration of high-value services in Movistar Fusion: 32% of customers enjoy ultra-fast fiber of 100 or 300 Mb and 62% pay TV.

Broadband

By segment, it is worth highlighting, among others, that retail broadband accesses presented a net gain of 56,000 accesses in the quarter, the highest since the launch of Movistar Fusion (and more than four times that of the fourth quarter of 2014), and from 76 thousand in the year, to 6 million (+1% year-on-year). For its part, fiber accesses grew by 272,000 from October to December and set a new record in annual net gain (906 thousand), placing the plant at 2.2 million (x1.7 times compared to 2014), which represents 37% of total broadband accesses.

On the other hand, the pay television access plant totals 3.7 million, 10% more than December 2014 in organic terms, and includes 926,000 DTS satellite TV accesses. Finally, the total number of mobile accesses stands at 17.3 million. Of these, LTE customers total 3.3 million, almost doubling those of a year ago, and LTE penetration is now at 21%.

Regarding the financial figures, income from operations, including the consolidation of DTS (since May 1, 2015), reached 3,220 million euros in the quarter (+6% year-on-year) and 12,402 in the year (+3.2% year-on-year). It is worth highlighting a significant improvement in Telefónica Spain's revenues (excluding DTS), which accelerated its growth in the fourth quarter to +0.8% year-on-year (+0.6 p.p. compared to the third
quarter) and decreased 1% in 2015, reflecting a significant recovery compared to the 7.2% decrease registered in 2014.

The OIBDA including the consolidation of DTS since May 1 reaches 2,336 million euros in 2015, and is strongly impacted, among other things, by the extraordinary provisions of the quarter. Excluding non-recurring factors, Telefónica Spain's OIBDA, including DTS, would amount to 1,272 million euros in the fourth quarter. In organic terms, the OIBDA margin stood at 42.1% in January-December.