The Caribbean contributed revenue of US$1,120 million to Cable & Wireless Worldwide revenues in the year ending March 2013. The revenues for the region were down 4% on the prior year.
Mobile revenue of US$527 million was down 1% on the prior year driven principally by lower average rate per unit (ARPU). Subscriber numbers were broadly flat on the prior period with a 16 percent growth in Jamaica following regulatory changes which enabled improved competitive positioning, stimulating subscriber and usage growth offset by churn in the Eastern Caribbean. There has been sustained growth in mobile data usage following the launch of high-speed networks in a number of islands during the year and the Company plans to expand on this where commercially viable.
Broadband & TV | Revenue fell by 2% to US$120 million for broadband & TV operations. LIME TV was launched in Barbados during the year and over 3,000 customers have signed up subscriptions to date with plans to roll out IP based TV services to a number of islands in the coming year.
Fixed voice revenue at US$290 million was 10% down compared to the prior year. Voice substitution continued across the region, although the ARPU and revenue decline this year was mainly influenced by Jamaica where regulatory changes and the introduction of a special telecommunications tax led to lower revenues. Enterprise, data and other revenue at US$183 million was down 7% on last year due principally to a lower level of cable capacity sales in the period.
Gross margin | Operating costs were 5% down compared to the prior year at US$578 million. Across the Caribbean, the Company has embarked on targeted cost reduction programmes to improve efficiency and build a sustainable operating base. During this year, staffing headcount has reduced by 12% to 3,421 and there was further outsourcing of field force technician services in Jamaica. Much of the improvement came from the Bahamas business which has seen a full year’s benefit of the restructuring undertaken following acquisition of the company in 2011.
What about C&W Jamaica? | Read IC Insider’s ‘C&W: Less jobs, more capital spend‘
