TEO 9M revenue dips 6%

22 Oct 2010

Lithuania’s incumbent fixed line operator TEO LT has reported its results for the nine months ended 30 September 2010, posting revenue of LTL580.9 million (USD235 million), down 5.9% from the LTL617.6 million recorded a year earlier. The company generated turnover of LTL194 million in the third quarter of 2010, relatively stable compared to LTL195 million in 3Q09. TEO’s net profit for the nine-month period totalled LTL125 million in 2010, a 7% fall from the LTL134.2 million posted the previous year, while earnings before interest, tax, depreciation and amortisation (EBITDA), dropped from LTL279.3 million in the first nine months of 2009 to LTL239.6 million a year later. During the first nine months of 2010 TEO invested LTL91 million in its operations, with the majority (LTL81 million) ploughed into the expansion of its core network and fibre-optic access networks.

At 30 September 2010 TEO reported a total of 334,800 broadband internet customers, representing an increase of 9% year-on-year, while television subscribers jumped almost 33% to 121,600 during the same period, and fixed telephony lines in service totalled 696,400. Revenue generated by voice telephony services corresponded to 54.4% of total turnover in 9M10, while internet and data communications services accounted for 33.3%, television services 4.7%, IT services 4.2% and other services the remaining 3.3%. Commenting on the results, TEO’s general manager, Arunas Siksta, said: ‘This year TEO maintained a high revenue level, successfully gained new customers and paid special focus on next-generation network-based services. Despite the country’s decreasing GDP and a more than 11% of the Lithuanian telecoms market, the company maintained its high profitability.’

Lithuania, Telia Lietuva