Telecom Italia posts H109 results

7 Aug 2009

Incumbent Italian operator, Telecom Italia (TI) has reported a 5.9% year-on-year decline in consolidated group revenues for the first half of 2009, down from EUR14.97 billion (USD21.53 billion) in the first six months of 2008 to EUR14.09 billion a year later. Operating profit for the period was EUR2.68 billion, up 4.1% from EUR2.57 billion in H108. However, income tax expenses of EUR647 million, up from EUR163 million in the previous year, pushed net profit into a 13.7% year-on-year decline, down to EUR964 million for the six months ended 30 June 2009.

TI saw its fixed line customer base continue to decline in the second quarter of 2009, down from 16.97 million physical accesses at the end of March to 16.62 million three months later. The company’s mobile arm Telecom Italia Mobile (TIM) had 32.6 million subscribers at the end of June, an 8.8% year-on-year drop from 35.79 million a year earlier. However, TI added 114,000 net new broadband customers in the three month period, ending the quarter with a total of 8.44 million subscribers.