Flat revenue and profits at Swisscom

10 Mar 2005

Swisscom has announced that net revenue for 2004 grew by only 0.3%, to CHF10.057 billion. Falling sales from most fixed line services, including local and long-distance telephony, was enough to offset the 65% rise in ADSL connections and 3% increase in wireless subscribers. Net income for the same period came in at CHF1.594 billion, up from CHF1.569 billion twelve months previously. The figures have been adjusted to reflect the sale of debitel in June 2004. Capital expenditure was CHF1.2 billion, climbing from approximately CHF900 million in 2003.

In 2004, in addition to selling debitel, Swisscom became the first operator in Switzerland to launch 3G mobile services, had failed merger talks with Telekom Austria, and in October saw its final monopoly disappear as the Swiss National Council voted to remove its stranglehold on the local loop. The company expects to post flat revenues for 2005, while capital expenditure is expected to remain at a similar level to that of 2004.

Switzerland, Swisscom