Telekom Austria Group posts 5.2% rise in FY net profit

1 Feb 2017

Telekom Austria Group has reported total revenues of EUR4.21 billion (USD4.5 billion) for the twelve months ended 31 December 2016, a marginal decrease of 0.5% from EUR4.23 billion a year earlier, as higher turnover in Croatia and Serbia was offset by declines in the other segments. Adjusted for one-off and foreign exchange effects, total revenues rose by 2.4% compared with 2015. Group EBITDA fell 2.6% from EUR1.39 billion to EUR1.35 billion over the twelve-month period, as a result of lower revenues, as well as higher costs and expenses, although adjusted EBITDA rose by 3.1% year-on-year. Telekom Austria reported net income of EUR413.2 million in full year 2016, an increase of 5.2% from EUR392.8 million the previous year, partly thanks to a tax benefit of EUR53.5 million recorded in the year under review.

At 31 December 2016 Telekom Austria Group reported a total of 20.71 million wireless subscribers, flat y-o-y, as increases in Austria (up by 2.9% over the year, driven by M2M connections), Serbia (1.7%) and Slovenia (0.8%) offset customer declines in all other segments, notably 3.0% and 5.1% falls in Bulgaria and Macedonia, respectively. In contrast, total wireline RGUs increased by 1.3% from 5.82 million at the end of 2015 to 5.90 million twelve months later, attributable primarily to Croatia (up by 12.1%) and Slovenia (16.5%), driven by growth in the fixed broadband and IPTV segments.

Austria, A1 Telekom Austria Group