Lithuanian incumbent telco TEO LT has posted a 4.1% year-on-year increase in consolidated revenue for 2008 to LTL826 million (USD309.4 million), up from LTL793 million a year earlier. However, the company’s earnings before interest, tax, depreciation and amortisation (EBITDA) decreased by 0.9% from LTL352 million at end-2007 to LTL349 million a year later. Arunas Siksta, general manager of TEO LT, said: ‘The financial result is better than planned, though such factors as increased regulation in the network interconnection services market, growing inflation and energy costs had a negative impact on revenues.’ He added that this year, the company will focus on improving the quality of its services and on developing a new fibre-optic network, though the current economic climate and increasing regulation of the telecoms sector are likely to have a negative effect on TEO LT’s 2009 revenues. During 2008 the telco invested LTL127 million in the development of its network.
At the end of 2008 TEO LT’s total number of fixed lines in service decreased by 2.7% from 788,946 at end-2007 to 767,805 a year later. Meanwhile, its broadband subscriber base increased by 15.2% to 298,080, up from 258,819 at end-2007, and the number of IPTV subscribers increased by 131.2% to 40,350, up from 17,453 previously.