EE (formerly Everything Everywhere) has published its third quarter financial results for 2012. Service revenue was down 3% year-on-year to £1.496 billion, although the company says this would have been a 3.1% increase without the effect of changes to mobile termination rate and roaming regulations.
51% of the company’s T-Mobile and Orange customers now have post-paid ‘pay monthly’ contracts, up from 47% this time last year. It’s added 250,000 contract customers in the quarter and has lost 393,000 prepay customers.
Smartphone penetration has also increased, with 74% of the combined customer base now having a smart device (up from 65% in Q3 2011). 92% of new customers currently choose a smartphone.
Neal Milsom, Chief Financial Officer of EE, said “We are delivering solid revenue performance and successfully attracting high value contract customers, while creating growth opportunities through our new superfast EE brand that will soon launch the UK’s first 4G mobile services. We have achieved key business goals in the past quarter and firmly established EE as the UK market leader.”