Telefonica O2 Czech Republic, which is majority owned by Telefonica of Spain, booked net profit of CZK1.62 billion (USD83.2 million) for its first quarter ended 31 March 2012, down 6.9% from CZK1.74 billion in the year-earlier period, but beating market expectations of profit of CZK1.61 billion. Revenues for January-March were reported at CZK12.47 billion, a 3.3% annual decline and below market forecasts of turnover of CZK12.53 billion. Furthermore, operating income before depreciation and amortisation dropped to CZK4.78 billion, down 5.7% from CZK5.07 billion in 1Q11.
Dow Jones Newswires writes that in the wake of its slightly better-than-expected first-quarter net profit, the carrier confirmed its earlier full-year guidance of ‘improving trends in business revenue compared with 2011 and a limited erosion of its operating margin. Revenue in 2011 dropped 5.7% from 2010, and operating margin stood at 43.7% in FY2011’.