Swisscom announces rising profits but axes more jobs

11 Nov 2005

Swiss fixed line incumbent Swisscom saw its net profit for the first nine months of the year rise 44.6% to CHF1.65 billion (USD1.26 billion), beating market predictions. The company attributed the increase to ‘lower depreciation, an improved financial result and elimination of the loss from the discontinued Debitel business’. Nine-month revenues fell 3% to CHF7.298 billion, in line with forecasts. Swisscom said that it is planning to cut 260 jobs in 2006 due to ‘fierce competition, the introduction of new technologies and intervention by the regulator’, but added that its overall domestic workforce would grow slightly in the year following the launch of new businesses. The cuts come on top of 356 job losses in the first nine months of 2005.

Switzerland, Swisscom