CANTV’s net income falls by 50% after pensions hit

27 Feb 2006

Venezuela’s dominant telco CANTV said 2005 net income fell by around 50% from the previous year as a result of an increase in pension payments. Profits fell to USD100 million last year, down from USD198 million in 2004, despite revenues rising by 32.7% from USD1.78 billion to USD2.37 billion. CANTV’s financial results were heavily impacted by a Supreme Court ruling in July 2005 ordering it to raise pension payouts, costing the company USD356 million.

Venezuela, CANTV