Spanish telecoms group Telefonica has reported a 6.2% drop in first half net profit to EUR3.59 billion (USD5.60 billion), and reiterated its growth forecasts for 2008. Despite the decline, the results were above expectations and the company highlighted an organic growth in revenues of 6.7%, with total group sales rising 1.2% year-on-year. The group’s Spanish operations accounted for EUR10.33 billion of revenues, a 2.1% rise against the same period in 2007. By comparison, revenues for the group’s subsidiaries in Latin America grew 9.4% year-on-year, generating EUR10.53 billion. The company restated its expectations that revenues will increase 6%-8% over 2008. Operating income before depreciation and amortisation (OIBDA) declined 1.3% to EUR11.12 billion in 1H 2008, but Telefonica said that it expects a 7.5%-11% rise over the year.