TDC reports 2006 earnings: revenue and EBITDA up, profit down

Danish incumbent telco TDC has posted a full year EBITDA of DKK13.7 billion (USD2.4 billion) for 2006, an increase of 5% on 2005’s figure. Lower wage costs as a result of restructuring were offset by largely flat sales at fixed line arm TDC Solutions. Group sales increased by 1.8% year-on-year to DKK47.4 billion. Profit for 2006 was DKK3.4 billion, down 54% from 2005 following divestments. The company forecast that its 2007 profits would drop by a further 5%-10%, blaming increased interest charges following a change to the capital structure in 2006. TDC, which had a total of 16.1 million customers across its divisions, is 88.2%-owned by investment consortium Nordic Telephone Company.