DENIS O’BRIEN’S Digicel mobile phone operation recorded strong growth in the Caribbean and south Pacific in the first quarter of its financial year.

Revenues at Digicel Group Ltd rose 16 per cent to $601 million in the three months to the end of June, according to figures seen by The Irish Times.

Revenue increased year-on-year in all of its major markets. In Jamaica, its biggest market in sales terms, revenues rose by 8 per cent to $113 million.

Digicel this week received regulatory clearance in Jamaica to acquire the local operation of its rival Claro, which is owned by wealthy Mexican entrepreneur Carlos Slim.

This deal also involves Digicel selling its operations in El Salvador and Honduras to Claro.

Digicel operates in 26 territories in the Caribbean and central America.

The company also posted double-digit growth in its Ebitda (earnings before interest, tax, depreciation and amortisation). The company’s Ebitda increased by 14 per cent to $254 million in the three-month period.

Digicel’s subscriber base rose by 12 per cent to 9.4 million in the period. Net subscriber additions for the quarter were 460,000, driven by its expansion in Haiti, where the company added 358,000 subscribers.

Digicel’s operations in the south Pacific also made a strong start to its financial year. Revenue in the quarter amounted to $108 million, a year-on-year increase of 44 per cent. Its Ebitda was $46 million, up 59 per cent on the same period in 2010. This represented an Ebitda margin of 44 per cent of service revenues.

Digicel closed its first quarter with cash on hand of $604 million.