C&W investing $2b
Cable & Wireless Communications, the parent company of LIME, says it plans to invest US$1 billion (BDS$2 billion) in its fixed and mobile network over the next three years across the region.
This was revealed in the company’s financial statement for the year ending March 31. Under a new investment programme named Project Marlin, Cable & Wireless is expected to increase its capital investment programme by 30 per cent in the next three years, adding a total of US$250 million to its standard level capital expenditure.
The new strategy will target top-line growth, with investment in new networks and services like 4G and LTE mobile networks, WiFi hot spots, TV services, and
business-to-business (B2B) solutions across its operations in the Caribbean and Latin America. The strategy focuses on four key areas: mobile leadership, fixed-mobile network convergence, reinforcement of TV offering, and the growth of business services.
Supporting the strategy will be an increased focus on key stakeholder relations with governments, regulatory and union partners. Cable & Wireless will also seek to improve its internal processes and culture to increase focus on serving its customers.
The company reported an eight per cent increase in earnings before interest, tax, depreciation and amortization (EBITDA) –– the company’s core profit measure. The report said the company managed to reduce its operating costs by US$48 million or eight per cent, following good progress on outsourcing services, exiting non-core property assets and introducing initiatives to reduce power consumption.
The company recorded a 31 per cent increase in Jamaica mobile customers and US$7 million increase in mobile revenue. It also recorded growth of 13 per cent in mobile data revenue in the Bahamas, 53 per cent in the Cayman Islands and an increase of about eight per cent in broadband customers across the region. There was also a 21 per cent increase in TV customers across Barbados and the Cayman Islands for the period under review.
Chief executive officer of Cable & Wireless, Phil Bentley, said: “We have developed a new strategic plan to drive top-line growth, reversing our historical revenue decline, to leverage our existing networks enhanced by the US$250 million increased investment of Project Marlin; and to drive further operating efficiencies across the portfolio.” (PR/MM)