Telecom Italia profits up 10% in 1Q

Telecom Italia Group has reported an impressive 10% rise in first quarter profits on the back of strong performances by its broadband and wireless operations. Revenues for the three months to 31 March 2005 rose 4.4% to EUR7.1 billion, from EUR6.8 billion twelve months earlier, whilst EBITDA was up year-on-year to EUR3.3 billion and net profit reached EUR656 million. The group’s wireline businesses presided over five million broadband users at the end of the period, 4.44 million of whom were in its domestic market, a rise of 425,000 in three months. Last week the group’s wireless business, Telecom Italia Mobile (TIM), saw its first quarter profit rise 15% on the back of burgeoning use of data services and strong growth at its Brazilian operations.