KPN’s poorly performing enterprise arm continued to struggle as its retail arm was buoyed by increased revenues and customer service metrics in the fourth quarter.

Revenues fell 9.7 percent to €1.7 billion in the three months to December as it continued to be hit by competition in the enterprise market.

Sales at its business arm declined by 11 percent as KPN continued to phase out legacy services and reprice mobile services. Hardware revenues also declined.

However, sales at its consumer residential arm rose 2.3 percent as its subscriber base continued to grow.

It added 40,000 broadband customers and 69,000 TV customers during the quarter.

Fixed-mobile bundles also proved attractive, with 142,000 people signing up for those contracts.

Consumer mobile sales rose 4.3 percent thanks to 80,000 people signing up for post-paid contracts.

KPN made a point of saying net promoter score, a key measure of customer experience, at its consumer division rose seven points to +9 in the past 12 months.

However, NPS at the operator’s enterprise arm remains negative with a score of -10.

Fourth quarter earnings declined 12 percent to €578 million, partly down to higher subscriber acquisition and retention costs.

The results meant that, for the full financial year, like-for-like revenues declined over four percent to €7 billion, while earnings fell 0.1 percent to €2.4 billion.

Net profit more than doubled to €524 thanks to the decision to reduce its stake in Telefónica Deutschland.

CEO Eelco Blok said: “We continue to operate in a challenging business market where customer needs are changing from traditional to new services.

“We are rationalising and standardising the Business organisation to deliver an improvement in customer satisfaction, capture growth in new services and support profitability going forward.”

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