Partner reported the results of 2021, which it ended with an increase in revenue to NIS 3.3 billion

Partner reported the results of 2021, which it ended with an increase in revenue to NIS 3.3 billion - an increase of 5% compared to 2020. Partner's net profit in the past year amounted to NIS 115 million - compared to NIS 17 million in 2020. A significant part of the profit is due to a one-time income of NIS 43 million after closing tax assessments for the years 2019-2016, ie by neutralizing this amount - the net profit is 72 million.
The company's revenues from services amounted to NIS 2.6 billion - an increase of 5% compared to 2020. Revenues from services in the cellular sector amounted to NIS 1.7 billion - an increase of 2% compared to 2020. The increase in revenues is due, among other things, to the return of flights abroad. Revenue from roaming services In the linear segment, the company's revenue amounted to NIS 1 billion - an increase of 7% compared to 2020. Revenue from equipment sales amounted to NIS 728 million - an increase of 7% compared to 2020.
The report shows that Partner continues to invest a lot of resources in the field of fiber optics. The company reports that by the end of 2021 it has reached 700,000 accessible households for its fiber infrastructure. Partner has announced that by the end of 2022 it will deploy one million accessible households, Company name.
Partner is pushing for fiber deployment after Bezeq entered the market in 2021 and began connecting customers to this infrastructure. In 2021, Partner recruited 212,000 subscribers to its fiber-optic infrastructure - an increase of 73,000 subscribers compared to 2020 - of which 20,000 in the fourth quarter of this year alone. Today, the number of subscribers amounts to about 225,000. While in the landline sector it is a major player, it still fails to express it in the number of fiber customers - which is supposed to be a significant growth engine - and is still far from realizing its potential.
In the cellular market, Partner reports 3.02 million subscribers - an increase of 187,000 subscribers during 2021. The company's market share is estimated at 28%. Partner's abandonment rate in the cellular sector rose to 7.8%, but the company explains that the source of the abandonment is in customers of the Ministry of Education with whom the contract has ended and some have chosen not to continue. The average income per user (ARPU) was stable throughout the year - NIS 48 per customer.
In the cellular field, the company will continue to invest in the 5th generation network - which is expected to increase revenues. According to the company's CEO, Avi Zvi, "In Cellular, Partner intends to continue with the accelerated construction of 5th generation sites in order to reach coverage of over 40% of the population by the end of the year. Also on television, Partner is preparing for the expected entry of additional international streaming services, with its unique super-aggregator model. "
The field of television continues to stand still, in parallel with the entry of international competitors into the local broadcasting market. The company reports 226,000 subscribers - down from 6,000 subscribers last year. Customer recruitment froze, and the company - which wants to earn more from TV customers - began raising package prices.
"The report indicates a continued increase in subscriber volume and stability in the average revenue per user," explains Liran Lublin, Director of Research at IBI Investment House. At the moment, the company invests a lot in the fiber infrastructure and sells to as many households as possible. It announced a million fiber-connected households by the end of 2022 and at some point it will stop and then there will be a drastic drop in investment. At the moment, investment in infrastructure is at its peak. "
According to Lublin, these are good reports that indicate a trend of growth for the company. In the coming weeks, the Ministry of Communications will announce the approval of a partner acquisition by a group of investors headed by Shlomo Rodev, Avi Gabay and Phoenix. Cellular prices With the expansion of the deployment of 5th generation cellular networks will continue to lead to an improvement in the company's results.