NetVision increases net profit despite fall in telephony revenue

10 Mar 2010

Israeli fixed line operator NetVision has released its financial results for the twelve months ended 31 December 2009, posting a 22% year-on-year rise in net profit to ILS105.6 million (USD28.03 million), Globes Online reports. The telco also reported operating profit of ILS155.6 million for the year, up 40% compared to 2008. Revenue for the twelve-month period was ILS1.25 billion, a 1.3% increase against the same period a year earlier, but the operator’s revenue from telephony fell 6.1% in the year, reflecting a fall in the number of minutes of calls. For the final three months of the year meanwhile NetVision saw net profit rise 160% to ILS26.8 million, with quarterly operating profit up 70% at ILS37 million. Earnings before interest, tax, depreciation and amortisation (EBTIDA) for the three months ended 31 December was ILS69 million, a 2.5% increase compared to 4Q 2008. Commenting on the results, NetVision CEO Richard Hunter said: ‘As part of the company’s strategy of expanding activities in new markets and deepening involvement in existing markets with growth potential, we implemented a number of substantial deals. For example, the establishment of international calls and communications activities in Georgia and the acquisition of the Internet holdings of Rimon Israel.’

As at end-December 2009 NetVision said that it had signed up 594,000 broadband subscribers, up from 566,000 a year earlier.

Israel, NetVision