Pan-European alternative telecoms services provider Tele2 has reported a 38% rise in net profits to SEK653 million, on revenues of SEK21.09 billion (up 18% year-on-year), thanks to the addition of over a million new subscribers to 24.9 million. The company also reported a record cash flow after investing activities of SEK2.4 billion. Commenting on the results, Tele2 chief executive Lars-Johan Jarnheimer said his company had maintained a balance between growth, profitability and cash flow. Its strong performance came despite heavy investment in ADSL in France, a launch in the UK, Russian GSM expansion and other new service start-ups. In the second quarter the company continued to expand in Russia and Poland, and launched its 3G service in its home market, Sweden.