T-HT’s profit down 3.8%

9 May 2008

T-Hrvatski Telekom (T-HT), the Croatian incumbent telco controlled by Deutsche Telekom, has reported a 3.8% year-on-year drop in net income to HRK548 million (USD116 million) in the first three months of 2008, whilst EBITDA of HRK927 million was 5.5% lower on an annual basis due to investments in its fixed broadband network to meet growing demand for triple-play services, as well as higher costs of attracting and retaining mobile and fixed network subscribers. Consolidated revenues of HRK2 billion in the quarter ended 31 March were up 2.5%, giving an EBITDA margin of 45.5%. The telco’s mobile unit T-Mobile Hrvatski posted revenues that climbed 5.3% year-on-year to HRK935 million. Mobile subscribers increased 11.9% year-on-year to 2.453 million at the end of the first quarter, with a 22.2% rise in the number of post-paid users to 720,000 resulting in 8.3% higher post-paid revenues, offsetting turnover loss from lower call charges. Fixed line division T-Com’s revenues remained stable at HRK1.28 billion in Q1 2008, compared to HRK1.29 billion in the year-ago period, bolstered by internet services revenues that jumped 33.9% to HRK211 million, and wholesale turnover up 8.7% at HRK257 million.

Croatia, Hrvatski Telekom (HT)