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April 26 2006

South African mobile network operator has finally reached profit, 5 years after luanch. Revenue for 2005 amounted to R5.5 billion, up 34% from the R4.1 billion of the previous year. Blended average revenue per user rose from R142 to R147.

EBITDA for the 2005 financial year compared was R442m compared to an EBITDA loss of R47 million and in 2003 a loss of R1.09 billion.

Active subscribers totalled 2.92 million at the end of the 2005, compared with 2.7 million at the end of the third quarter and 2.18 million at the end of last year. CellC will have 2 334 base stations, allowing 85% of its traffic on its own network

It has 667,000 postpaid subscribers, 2.22 million prepaid subscribers and 35,000 community service telephones (CSTs). Cell C's license conditions mean it has to roll-out 52 000 CSTs by 2008. It rolled out 7 000 CSTs during the fourth quarter of 2005.

A 50% joint venture with Virgin Mobile, due for launch later this year, is expected to boost revenue.  It is also one of the first networks testing WiMax in Africa