Proximus (Euronext:PROX) Q3 2026 Earnings Call

0:00 Hello and welcome to the Proximus Q3 2026 results. My name is Gaia and I will be your coordinator for today's event. Please note, this conference is being recorded and for the duration of the call your lines will be on listen only. However, you will have the opportunity to ask questions at the end of the presentation. This can be done by pressing pound key 5 on your telephone keypad to register your question at any time. If you wish to withdraw your question, please press pound key 6. I will now hand you over to your host, Nancy Goossens, Investor Relations Lead, to begin today's conference. Thank you.

0:41 Thank you, Gaia. Good afternoon and welcome to our Q3 results webcast. We trust you have reviewed the results this morning, so we will keep the presentation to the point, allowing more time for your questions. Joining me for the presentation and the Q&A are our CEO Stijn Bijnens, and Fiona Lam, the new CFO since September. Welcome Fiona to your first Proximus results call. Also with us are Sashkin Arikan, the global CEO, and Jim Casteele, our head of B2C and AI. So over to Stijn now for today's highlights.

1:20 Thank you. Welcome from me as well to our third quarter results. I trust you have seen the result publications, so as Nancy said, we'll keep it short. This slide provides the usual brief overview, but as we will cover this in a minute, let me move straight to the next one. I'll start with a high-level overview and we'll leave it to Fiona to cover the financials in more detail. In the domestic segment, we delivered another resilient quarter with slight increase in services revenue. This was offset by higher OPEX, which was in part due to the consolidation of Unifibre and resulted in a lower domestic EBITDA. Turning to the global segment, I'm pleased with the disciplined execution of its strategic plan, which delivered direct margin growth ahead of expectations.

2:15 Overall, for the Proximus Group, the third quarter EBITDA decreased 2%. I will leave it here and move to the operational results. We delivered another good commercial quarter for the B2C unit, and this in a highly promotional market. This led for the total domestic segment, including B2B, to a growth of 18,000 mobile postpaid cards and 5,000 internet subscribers. Our convergent customer base also continued to grow steadily, adding 7,000 residential customers in the third quarter. Meanwhile, the fixed voice and TV customer base continued their gradual erosion.

3:03 Turning to fibre, our footprint continues to expand. By the end of September we had passed more than 2.8 million homes across Belgium. That represents population coverage of over 44%. In the third quarter we added another 38,000 active fibre customers. This brings our total to nearly 860,000 and the network filling rate stands at 35%. Before I hand over to Sechkin for Global, let me say a few words about satellite connectivity and AI agents. Both have raised concerns across the telecom sector and put pressure on Proximus share price in particular.

3:50 Let's start with satellite. It's a great technology but helps solve problems that we don't face here in Belgium. Belgium is one of Europe's most densely populated countries. Even our rural areas are very different from the wide open spaces you find for example in the US, Africa or the Nordics. And we have very good networks here. Our 5G network already covers almost the whole country. We will reach 99% indoor coverage by the end of 2027. We also have A great and broad range of spectrum secured for the next 15 years. Our fixed network has clear advantages over satellite too.

4:37 With our fibre agreements, we're on track to cover 80% of Belgium with fibre, offering both fast upload and download speed. Satellite has physical limits on capacity, so it will always be limited in the number of households it can serve. We see satellite less as a threat and more as an opportunity, something we could offer as an add-on to our services. Turning to AI agents, I see this as an evolution and not a revolution. It's another step in how customers make their choices. Here, too, we see opportunities. AI can help us build on what makes our services different, our strong brands and our customer rewards. We're also investigating generative engine optimization, helping customers find us when they use AI to search.

5:39 Telecom will keep changing and we will keep adapting. As more people use AI, good connectivity matters even more. AI needs networks that can handle large amounts of data, support more uploads, and stay connected all the time. as Belgium's largest fiber owner were well placed to meet those needs. And with that, I'll hand over to Sechkin to talk about global.

6:09 Thank you, Stijn, and good afternoon, everybody. As we told you earlier, our transformation will take eight quarters, and we have now completed three. We are making good progress, and we are on track. This year, we focused on a set of key integration battles, and we will close all of them as planned. Let's talk about the core business. We improved how we farm our large customers in Protect and Engage. In Connect, we reinforced our scale with new roaming wins. Our growth portfolio across omnichannel, digital identity, IoT, and cloud communication is gaining traction. In the meantime, our work continues to receive external recognition.

6:56 Sim4Things won an IoT Global Award for its secure sovereign eSIM solution. We took gold at the Merit Awards for 5G and next-generation mobile communications. And Bix is a finalist at the FIIRS Network Innovation Awards. Lastly, building the future. Helter is now fully integrated and expands our conversational AI capabilities. We see strong customer engagements enabled by Helter in India market. Telesign and Bank Contact Company are partnering to prevent payment fraud. Root Mobile launched a Salesforce native messaging app on agent exchange. And Bix joined the Scion Association. In short, our transformation is on track and we continue to stay focused.

7:45 The core is getting stronger, our growth portfolio is gaining traction, and we are building the capabilities that will make growth sustainable. Fiona now will take you through the Q3 financials.

7:58 Thank you, Saskin. Let me start with first domestic revenue. In the third quarter of this year, domestic revenue increased by 0.3% year on year on a pro forma basis. supported by growing service revenue which is up by 0.4%. This was driven by a continuous solid growth in the residential service revenue offset by lower revenue from business services. Turning first to the B2C unit, total residential revenue increased by 2.4% year-on-year, specifically happy to see that continued positive trend in customer service revenue up by a solid 2.9% year-on-year.

8:45 This was, amongst others, the result of a continual growth in the customer base for internet growing year-on-year by 2.3% and mobile post pay growing 3.1% year-on-year. Zooming in for a moment on the customer service revenue of the third quarter. As illustrated on the chart, We achieved to continue a nicely growing trend, moving up to 2.9% growth as mentioned earlier. This was driven by a sustained growth in revenue from converging customers, which increased by 4.7% compared to Q3 of last year. Overall, the first service revenue benefited from January 2026 inflation-like price increase, as well as a continued migration to higher average revenue per customer conversion offers and also a modest support from the renewed Belgium football broadcasting right. This was partly offset by the ongoing shift in customer brand mix and taking this all together, the overall average revenue per customer was up by 1.7% year on year.

10:01 Turning now to the B2B unit, total business revenue declined by 1.9% year on year. This was driven by lower business service revenue, down 2.8% year-on-year on a pro forma basis, broadly in line with recent quarters. The lower B2B service revenue reflects the combination of a few adverse effects in line with historical and market trends. We undergo in the telecom space a steady pressure on legacy fixed voice as well as on legacy data offers. This was not fully offset by continual growth in internet service, therefore the total revenue of fixed data is staying rather stable. The third quarter also saw continual pressure on mobile revenue, where the business carefully balances value and volume.

10:55 IT service revenue also remained soft. The decline reflected project implementation delays, partly offset by continual cybersecurity growth. Looking forward, we see that the longer-term timeline remains solid, so we expect the IT performance to improve. For the wholesale unit, the reported revenue declined fully due to ongoing erosion of interconnect revenue, however, with almost no margin impact. Revenue from wholesale service was slightly up, driven by higher MVNO revenue, roaming, and fiber volumes. which fully offset the revenue loss from services that Proximus delivers to Unifiber as a result of this consolidation.

11:45 Now turning to domestic EBITDA, direct margin grew by 0.5% year on year in Q3, solid B2C services revenue growth supported this, although B2B headwinds offset most of the benefit. As you can see on the chart, Higher OPEX more than offset the growth in direct margin. This includes around €5 million of unifibre consolidation on top of inflationary pressure and higher rental and cloudification related OPEX. Our headcount reduction remains on track. Workforce expenses rose only slightly by 0.2% year on year. Lower domestic FTE almost fully offset the wage in the session of March and September 2026.

12:35 Taking together this result in a 1.4% decline in domestic EBITDA in the third quarter. That concludes the domestic session. Let's now turn to the proximus global segment. Starting with the global direct margin, we returned it to growth earlier than expected. Direct margin was up 0.8% year-on-year and 4.5% compared with the previous quarter. This growth came entirely from the communication and data protect group, which direct margin grew by 4.4%. This is a promising sign that our investments to support the global turnaround are delivering results. Turning to cost, this disciplined OPEX investments Together with wage inflation drove a 5.8% year-on-year increase in the third quarter OPEX.

13:30 We expect spending on these initiatives to increase further in the coming quarters as the business moves into its next phase of growth. Focus on customer acquisitions. All in all, this brings global EBITDA to €35 million for the third quarter, which is a good result. Now let's turn to the group CAPEX. Over the first nine months of the year, the group accrued a capex totaled to €835 million. This is €10 million more than the same period last year. The increase was mainly driven by facing of multi-year content contract renewals, as well as the impact of consolidating unifibre capex from June onwards.

14:16 At the same time, fibre investment in the dense areas as well as CARPEX for the upgrade in the mobile rent network were coming down as well. As results, strong organic free cash flow in Q3 2026 have lifted up year-to-date organic free cash flow to 114 million euro, which compared to 153 million last year, you can see on the graph, the year-on-year degrees was mainly driven by lower EBITDA from global, higher interest pay and higher cash capex over the first nine months of the year. On a total reported basis, the free cash flow for the first nine months of the year was 54 million.

15:04 This brings me to the last final slide on outlook for the full year. We reiterate our domestic guidance, expecting underlying domestic service revenue and EBITDA for 2026 to stay broadly stable on a pro forma basis. For global, the full year EBITDA expectation is raised to 125 to 135 million, reflecting the earlier than expected improvement in direct margin combined with disciplined OPEX investments to support the turnaround. With the improved EBITDA outlook for global combined with slightly lower CAPEX expectation, We also lifted up our full year outlook for organic free cash flow to around 100 million euro. With that, I will hand it back to the operator to open the line for your questions.

15:57 Ladies and gentlemen, as a reminder, if you wish to ask a question or make a contribution on today's call, please press pound key 5 on your telephone keypad. To withdraw your question, please press pound key 6. You will be advised when to ask your question. The first one is coming from David Vagwan from ING. Your line is now open, please go ahead.

16:23 Good afternoon everyone and thanks for taking my question. The first is on the CAPEX guidance cut for this year. Could you clarify how much is really efficiency gains and how much is phasing? and then the second is on consumer mobile. There seems to be a sort of mini price war in the North Hill Unlimited segment. Can you explain in your view the justification behind it? Is it that you anticipate a move DG on Unlimited? Is it preventive? or are there other reasons behind this development? And my last question is on the cooperation agreement in FIBER and HFC. Can you update us on the latest development in the north and in the south?

17:11 Thank you.

17:15 Okay, thank you. I'll take the last one on the FIBER collaboration. In the south, it's advancing very well and we're interacting with the regulators. I would guess, my best guess would be finalization by the summer of 2017. In the north, of course, the competition authority approved the deal, so it's more in finalization also with the telecom regulator on market terms. Everything is moving according to schedule and we're positive around the outcome.

18:01 The CAPEX question I'll refer to Fiona.

18:05 On the CAPEX we will be slightly below our 1.3 billion guidance. especially this is driven partly by efficiency and partly by timing effect. Timing effect I mean by the cash capex, so we expect a little bit later to pay in the cash capex for this year. So you can count half-half is efficiency, half is cash capex. It's slightly below our 1.3 billion.

18:34 Hi David, I have a question on consumer mobile. So if you look in detail, they recently launched their unlimited plan at 24 euros. We already had with Mobile Vikings an unlimited plan at 25 euro as entry unlimited plan because we have speed tiering on our mobile plans to drive further value up. I think it's probably a mix. I would look at it as a mix of elements. On the one hand, what we have seen is that these unlimited plans actually drive IRPC up. So it's actually a value-based move. But of course, at the same time, it also helps to prepare for potential new DG moves on unlimited plans because you have lowered already price points in the market. But what we see today is that it's actually driving value rather than being a price war.

19:28 Thanks very much, all three. Maybe a very quick follow-up. on the CAPEX efficiency gains. Should we think that there could be more in 2027 or it's more in the vein of the CMD 2026?

19:43 Well, we're in the range of the CMD, including the unifiable acquisition, but we're always looking for efficiencies across the board. Okay, thank you. The next question is coming from Drew Basha from UBS. Your line is now open, please go ahead.

20:10 Hi, thanks very much for taking the questions. I have a few, please. If we start off with domestic and just continuing in terms of the residential competition, Digi are now offering their mobile plans in 655 BPOS stores across the country. So do you think this will lead to a step change in their net add trajectory? Or do you think this really is a non-event? And maybe just on the mobile side and on the fixed side with Digi, are you seeing anything significantly changing in terms of their rollout? you know committed effectively to being in the Belgian market through additional financing so just curious as to yeah any changes on the fiber side of things second question really on the global side of things can you maybe just double click on what's driving the stabilization in revenues is it more that the legacy declines are slowing or is the higher growth in the growth areas or is a combination of both you also mentioned that your three quarters through of the eight quarter transformation the direct margins are already growing so would you say things are going quicker than expected and do you still expect EBITDA for 2027 global EBITDA for 2027 to grow the final question really is just on free cash flow so my understanding is 2027 will be the peak capex year but if I rewind back to the CMD and if I recall correctly

21:43 then there was a free cash flow chart which suggested that you know we will see moderate free cash flow growth in each year all the way through towards the targeted 400 million per annum so is that still the case despite peak capex in 27 should we and could we expect free cash flow to still grow? Thank you very much.

22:08 So on the question on DGNB posts, so the way I look at it is that we have a great retail network ourselves. We have our own Proximus shops. We also have an extensive, non-exclusive retail partner network. So we're really, we have a very strong retail environment ourselves. So we're not really worried that we would be under pressure from a channel perspective. This deal has been signed a couple of months ago and if you look at our quarterly net ads I think we're continuing to deliver robust net ads in a very competitive environment so I think our strategy is working we're continuing on focusing on our own strengths and as I mentioned we're very happy with our strong retail channels ourselves.

23:03 concerning additional finance for fiber rollout well we have a fully financed business plan so it's in the capital markets day we show that we have a good bond program with good maturities the first bond maturity is in 28 so we will probably raise some bond before From a free cash flow perspective, we said previously that organic free cash flow for 2017 would be above 100 million, and that's still the case. We also confirm our dividend policy for next year and the year after.

23:55 Global, I'll hand it over to Sechgen.

23:57 Thank you, Drouwa, for the question. There is not a silver bullet, to be honest with you, when it comes to the stabilization of our business. It's lots of hard work and the disciplined execution of our Elevate strategy. We are working very closely with our largest customers to make sure that we maximize that business. Our legacy declining portfolio P2P voice and P2P messaging We are securing that we farm those businesses and reduce the decline as much as we can and we see a good traction in our growth products like IoT, omnichannel, digital identity.

24:43 The things are, let me say it like this, where we want them to be at this stage in these eight quarters of the journey. We are around less, we finalized three quarters, a little bit less than 50%. We are happy where we are.

25:02 Thank you all very much. Thank you all very much. The next question is coming from from KBC Securities. Your line is now open. Please go ahead.

25:15 Yes, hi and thanks for taking my questions. The first one would be on the domestic EBITDA development in the third quarter. You mentioned that there is a bit of an impact from the unifiber consolidation. Just curious, is this A bit of a one-off impact, like implementation impact, or is this more structural? Just to get a bit of a degree on what kind of impact we should expect from this in the fourth quarter as well, and maybe rolling over into 2027. And also a bit on the inflation in rent and cloud inflation. I assume this is something that we will see continue in the fourth quarter.

26:02 So that would be my first question. The second question would be just on the consumer. ARPC or ARPU was up quite a bit in the third quarter. Can you give a bit of the drivers here on the strong revenue per customer? Thank you.

26:24 I'll take the Unifiber one. Of course Unifiber will continue to have OPEX, but the 5 million in Q3 is rather exceptionally high. Due to some timing elements, so for kind of the second half of 26, so the last six months of this year, the OPEX impact is approximately 6 to 7 million euros. So it's rather exceptionally high. Of course, in the future, it will be offset by also income with the increasing filling rate. and the intended onboarding of Orange on the Unifiber network that should become a positive result in the future.

27:13 So on the question on the consumer revenue per customer, so we indeed have a year-over-year increase on IRPC which is driven by a combination of course of the pricing power that we still have on the Proximus brand with price increases that we in January 26. We continue also to see a movement of customers to convergence where the IRPC is higher than on customers that only have one product and also fiber monetization continues to help drive IRPC up. Of course, there are some elements that put pressure on the IRPC. We talked about the AB brand mix, but also the continued decline of fixed voice and television puts pressure, but all in all, With the positive upside that we drive, we continue to see an increasing IRPC and consumer in detail.

28:06 And coming back on the more general question on cost side, the inflation, of course, the Belgian situation is an automatic indexation of salaries. That's why we have a very disciplined OPEX program to help that work out through our plan. Thank you.

28:32 Thank you. The next question is coming from Paul Sidney from Berenberg. Your line is now open, please go ahead.

28:44 Good afternoon everyone and thank you very much for taking the questions. Just two from me please. Firstly, you've executed extremely well over the past 12 months on CAPEX and OPEX. you know areas that are in your control, Proximus' control, but the domestic top line growth remains a little bit muted. I was just wondering what could Proximus do if anything to reinvigorate service revenue growth and looking forward or is it just a question of it's a difficult full-player market and then it could be quite challenging looking forward. And then secondly, Stijn, you said that the capital markets say back in February that the global business does not belong with Proximus' traditional Belgian operations.

29:30 Any further thoughts on strategic options for the global business? Has even the turnaround in the quarter and the RAISE guidance changed the view internally on the business? in a potential additional option, a spin-off or a sale, just to get your thoughts there. It would be really helpful. Thank you.

29:54 Hi, Paul. So Jim here. I'm going to answer the first question on how can we drive service revenue growth. So if you look at the consumer, we've been growing service revenue between 2% and 3%. Of course, this is driven to a large extent on, I would call, more the We drive a lot of additional value by exploiting the assets that the technologies bring. If you look at fiber, we're really doing well in driving fiber ARPU up. We're in the path on our copper network. We were not able to do speed tiering.

30:44 We do the same on mobile with 5G speed tiering. So I think we're being creative in finding new revenue growth within the existing business. On top of that, if we have a lot of customer relationships, we also, of course, try to maximize the value of those relationships. I'm thinking about Wi-Fi boosters. but also more and more things on network security, helping customers to cope with phishing and all the elements on cybersecurity, which is not only a B2B space, but is also relevant in the B2C domain. And then going forward, we also see opportunities related to AI. I think some of them are already known today. Some will probably become more concrete as we move on. But I think there's a lot of opportunities still out there to continue to grow also in a market that gets more and more saturated.

31:36 So that's a better way that we try to continue to drive service revenue in the domestic market on consumers.

31:45 The second question on global, referring to the capital markets, they were still on the same trajectory. As I've said, and also in discussion with my board, I ask two years to get global back to growth and make it a better business. And then around 28, we will have the discussion with the board in terms of value crystallization. Of course, we create optionality in the business by also going back to the business unit structure. So on the one hand, connect. and on the other hand the protect and engage part and I'm pleased with the progress but nothing has changed compared to the statement at the capital markets day.

32:38 Thank you very much. I appreciate the comments on the consumer side but is it business Yes, we can do definitely to improve.

32:58 We have presented a growth strategy, we strongly still believe. It's based on the one hand we do have the declining traditional telco business like fixed voice. and traditional higher ARPUs that needs to get offset by growth areas, mainly in the adjacent IT side, like cybersecurity, cloud, sovereign cloud. I also explained at the Capital Markets Day that turning B2B back to growth, we have a two-year transformation program, It will be hard work. We have some delays in the IT side of the business due to some project delivery issues, but we're taking action to mitigate this and we still strongly believe we can get that back to growth.

33:58 Great, very clear. Thank you for your comments. The next question is coming from Roshan Ranjit from Deutsche Bank. Your line is now open. Please go ahead.

34:11 Great afternoon, everyone. I've got two questions, please. and thank you for the slides on site and AI agents and my first question is are you having to be much more proactive in your kind of as you said active back book management in defending from these agents are you seeing more incoming queries from from your customers trying to kind of exploit the gaps between your three brands and What are you doing or what to do to kind of mitigate that, please? And the second question, Stijn, I think you just mentioned B2B, and whilst you highlighted the kind of structural headwinds you are seeing there, are you seeing more competition from your domestic peers as well?

35:01 Because I think that they have identified B2B as an area where they are perhaps under index versus you guys, and are they pushing B2B? Thank you. So Roshan, I'm going to take the first question.

35:19 So on AI agents, we're approaching this from multiple angles. I think the most important angle is making sure that we have as many as possible products with our customers. So conversions, pushing internet and mobile is a key cornerstone of the strategy. The good news is this has been a cornerstone of our strategy for several years so we're quite advanced in doing that. Next to that for me also extremely important that we have strong brands and there the NPS of the Proximus brand but also Scarlett Mobile Vikings supports our belief that we're also there doing the right things. We continue to strengthen the emotional engagement that we have with our customers so that as a telco brand but also a relevant brand for consumers typically thinking about the revamp that we did in September on our loyalty program where we now have every Wednesday a rendezvous moment through Proxmas for you Wednesday and then probably also important is that we also try to understand how we do marketing with the agents so we're investing quite a lot on what is in the industry called the GEO, trying to understand how an agent comes to a decision and then how can you as a company and with your brands understand how to influence that decision in the direction that you want.

36:39 So just like we do with traditional marketing. So I would say it's a multiple answer, but we're working on all actions on that.

36:49 The other question on B2B, whether structurally something is changing. No, it's a competitive market. Of course, at the telco side, we have to digest the decline in fixed voice. And of course, with every mobile renewal, RFP, there are price discussions, but we're able to win most of the renewals. and at the IT side it's a competitive market but nothing has changed. It's more execution and with the transformation program to capture more of that market is the ambition. But the telco pressure is in our plan that we presented.

37:39 That's helpful, thank you. And if I may just quickly follow up, Jim, on your answer, are you seeing any kind of adjustment within your three brands, some downspinning? I know clearly Convergence was introduced into the Mobile Vikings brand as well, but are you seeing any shifting within your customer base?

38:03 So what you see is indeed in the Belgian market over the last, I would say, probably year and a half with the intensified competition, you have more customers taking the choice of a new brand. And so there in acquisition, we see that there's more appetite for the challenger brands. So the good news is that we have at Proximus Group, we have two very strong challenger brands that can take their part in that competition. We don't see an acceleration of that trend, so it's something that we've been seeing for several quarters. And you actually see it back in the net ads and the movement of IRPC. So I think it shows that it's well under control.

38:48 And we're also monitoring, of course, to what extent agents start to interact with our brands. And therefore now, also that is very much under control but we continue to monitor the market and our customer behaviors like we always do and we will adapt as we move forward but until now I would say it's all going to plan and we control quite well the movements between the brands by also making sure that our premium brand Proximus is really considered as a premium brand so investments that we do in trusts being positioned in Proximus as a trusted brand, but also as a brand with the best fiber network in Belgium or all elements that help to support the value volume strategy that we execute.

39:36 Great, that's super helpful. Thank you. The next question is coming from Maxime Lejeune from De Grove Peterkamp. Your line is now open. Please go ahead.

39:49 Hi, thanks for taking my question. I have three of them. The first one is on the delayed IT projects. Any idea of how long will the delay be and when will we be able to see the impact of it in revenue? The second one is on the global direct margin that improved. Do you see it as structural or was it also helped by one-offs? and the third one is the lower cash this year only explained by lower, no, yeah, is it only the impact in FCF guidance or are there also other reasons for the higher FCF guidance and if so, could you measure them?

40:39 Thank you.

40:45 Hi Maxi, I'll take the first one on IT projects. Yeah, it's some delays in delivery. Our best guess is, and those are some larger projects, is that the revenue recognition kicks in in Q1 next year.

41:05 A short answer is that no, we don't have any one of them improvements in our numbers.

41:14 I suppose your question is related to the drivers for our increase of free cash flow guidance as I already mentioned the increase is coming from a part is the global better result that we also increase and a part is related to the lower slightly lower capex especially also driven by cash efficiency and the cash timing of that perfect thank you As a reminder, if you wish to ask a question, please dial pound key 5 on your telephone keypad. The next question is coming from Charles de Saint Perrier from BNP Paribas. Your line is now open. Please go ahead.

42:03 Yes, hello. Hi, thanks for taking the question. I had two. The first one is on your customer service convergence. You've just posted 4.7 year-on-year growth for the past last year. And I was just wondering how, you know, you've mentioned in your AI agent slide, convergence is one of your best defense. And now that we have convergence going on and you're pushing it as part of your strategy, could we believe that this could have an even larger acceleration and could we model out an even higher year-on-year growth for the next quarter's coin forward? And my second question was, I was just wondering, As part also of your service revenue growth, how much was each brand the main drivers of this growth and which brand basically drives the most growth in this quarter? Thanks.

43:05 So, Charlotte, thank you for the question. So, on the first one, on convergence, of course, we continue to push convergence as much as we can. But, of course, it's also market dynamics and customer behavior. So, it's not something that we fully control ourselves. But you can continue to expect to see a growing convergence customer base because, like was said already before as well, all my three brands are offering all internet and mobile, so we're doing cross-selling as much as we can. On the question on which brands drive the most growth, I'm sure you understand from a competitive point of view that on this I'm going to not really answer that question. I'm sure you understand that.

43:55 Okay, thanks. There are no further questions, so I hand back to your host to conclude today's conference.

44:05 Thank you. Thank you all for joining us today and for your questions. As usual, should you have any follow-up questions, you can contact the IR team. Bye. Thank you for joining today's call. You may now disconnect.