In addition to the financial results prepared in accordance with accounting principles generally accepted in the United States (GAAP) provided throughout this press release and in the attached financial tables, NII Holdings has presented consolidated adjusted OIBDA, ARPU, CCPU
, and CPGA.
Based on average subscribers for 2007 of 388,788, the impact to total 2007 ARPU and CCPU
would have been a reduction of approximately $2.
Year-over-year all components of CCPU (network costs, general and administrative, and subsidy loss unrelated to customer acquisition) decreased due to a higher proportion of MVNO and connected devices incurring lower servicing costs.
We believe that CCPU, which is a measure of the costs of serving a customer, provides relevant and useful information and is used by our management to evaluate the operating performance of our business.
Certain of the comparative figures in the prior period have been reclassified to conform to the current period CCPU presentation.
eNodeB: Complete LTE small cell eNodeB MicroTCA reference design including PHY, MAC layer, PDCP, Control, RLC and Transport layer using picoChip PHY, CCPU
Trilium Software L2-L7 stack running on OCTEON Processor
is cash cost per user and summarizes the average monthly cash costs to provide digital wireless mobility communications services per customer.
Year-over-year CCPU decreased due to cost saving initiatives and the customer base moving towards lower ARPU products which incur lower servicing costs.
Compared to the third quarter of 2008, all components of CCPU (network costs, general and administrative, and subsidy loss unrelated to customer acquisition) decreased in absolute terms.
6% ARPU $55 to $57 $55 to $56 CPGA $460 to $490 $480 to $490 CCPU
$41 to $43 $41 to $42 Earnings per share $0.
8% ARPU $55 $57 CPGA $460 $490 CCPU
$41 $43 Earnings per share $0.
Year-over-year both CPGA and CCPU
have decreased due to a change in the mix in customer additions and the customer base towards lower ARPU products which incur lower acquisition and servicing costs.