Telecom Italia reports 1Q results

7 May 2010

Telecom Italia has reported that revenues in the three months ended 31 March 2010 fell 0.7% to EUR6.48 billion (USD8.25 billion), as a fall in domestic sales, particularly in the mobile segment, was only partially offset by growth in Brazil. EBITDA rose 3.2% to EUR2.83 billion, while EBITDA margin was 43.6%, up from 42% a year ago. Net profit jumped to EUR601 million from EUR460 million a year earlier. Full year revenue is seen down 2% to 3% as the company faces growing competition in its core markets and focuses on reducing its debt burden. In its 2010-2012 strategic plan, Telecom Italia targets annual average revenue growth of around 1% for the three years. Net debt stood at EUR33.3 billion at the end of March, down from EUR33.9 billion at end 2009.

Italy, Telecom Italia (TIM)