mmO2 boasts customer boon

NEWS mm02 has reported healthy growth in its customer base and its average revenue per user (Arpu) during the first quarter, sending its shares up several per cent this morning. User figures across Europe grew by 292,000 over the first quarter with 86 per cent signing up for contract rather than pay-as-you-go services, making a total customer base of 17.75 million users, with 36 per cent on contracts. Average revenues per user in the UK rose from £231 in its previous quarter to £234 for this quarter, while in Germany the figures grew from £195 in the quarter before to £203. Arpu is the figure analysts and mobile operators now concentrate on to judge the growth of a business. Shares in mmO2 rose by 2.7 per cent this morning to 47.75p - still well down on its 52-week high of 96p, but up on June's year low of 34.5p. Data transmission services also contributed more this quarter to its revenues with growth up from 13.4 per cent in the previous quarter to 14.6 per cent. The BT spin-off business also said its UK customer attrition rate has dropped one per cent to 30 per cent.