Austrian incumbent Telekom Austria has announced an improvement in profitability for the first quarter of 2003, with both the wireline and wireless segments contributing to the rise. At the end of the three month period, revenues stood at EUR966.5 million, an increase of 0.4% on the same period of 2002, while total EBITDA rose by 1.5% to EUR405.9 million. Net debt declined to EUR3.16 billion, from EUR3.20 billion a year earlier thanks to a fall in capital expenditure from EUR81 million to EUR72.9 million. The wireless business was the main contributor to the growth in revenues, with the total number of subscribers from the operator’s three mobile subsidiaries – Mobilkom Austria, VIPnet in Croatia and Slovenia’s Si.mobil – growing by 1% in the first three months of the year to 4.5 million. Mobilkom Austria claimed three million of the total, with VIPnet boasting 1.1 million and Si.mobil 352,000. The wireline segment saw a significant stabilization during the year, with its share of voice calls reaching 52.8% at the end of the period. Although the number of PSTN lines fell by 1.1% compared to the last quarter of 2002, the 1.9% growth in ISDN lines counteracted the fall, taking the total number of access channels to 3.08 million. The total number of ADSL lines rose by 24,000 in the first quarter to 198,100, while dial-up internet subscribers rose by 7.9% to 759,200.