iWay with record result of 40.6 million Swiss francs
Internet provider iWay has achieved a new record result in the fifth year after its takeover by SAK (St. Gallisch-Appenzellische Kraftwerke). Thus, sales in the financial year 2022 increased by 10.1 percent to 40.6 million Swiss francs compared to the same period of the previous year.
Internet provider iWay reports record results thanks to solid growth and the use of synergies with SAK Digital. The 22 percent increase in net profit was particularly pleasing, the company announced on April 20. "The fact that we were able to exceed the CHF 40 million mark for the first time, despite the highly competitive market, is due in no small part to our continued investment in marketing our services," said iWay CEO Markus Vetterli. "These efforts have contributed to continued growth in sales through our online channels." iWay's core Internet business, which accounted for 59 percent of total sales, increased sales by 6.5 percent to CHF 24 million in 2022.
Synergies with SAK
Vetterli sees another important factor in the success in the use of synergies with SAK Digital, the parent company's telecom division. These economies of scale made it possible, among other things, to win over a local energy supplier for the joint TV platform and other services. This utility not only opted for the TV services, but also for the operation of an XGS-PON network, which iWay implemented together with SAK.
More moderate growth expected
"We achieved growth in Internet connections above the market average in 2022. Unlike our market competitors, however, we were also able to retain our existing customers. Nevertheless, our core business will continue to be highly competitive in the future, as price pressure will continue," said Vetterli. In addition, despite Swisscom's agreement with the competition authorities, the problem of the delay in rolling out the fiber-optic infrastructure will continue to have an impact on marketing in 2023. In the telephony segment, on the other hand, Vetterli expects further growth. On the one hand, iWay will continue to drive forward the marketing of VoIP offerings in the B2B area. On the other hand, the company expects significant growth in the mobile offerings newly launched in 2022. The iWay CEO is generally positive about the future: "We expect further revenue growth in the current fiscal year. However, it is likely to be more moderate than in 2022."
Source and further information: iWay
