Telefonica 3Q17 revenues down 2.5% to EUR12.8bn

26 Oct 2017

Telefonica Group has reported revenues of EUR12.8 billion (USD15.1 billion) for the three months ended 30 September 2017, down 2.5% on an annualised basis. All regional business units witnessed a decline in sales in the third quarter (on a reported basis): Telefonica Brasil’s top-line dipped 0.5% year-on-year to EUR2.9 billion, while Telefonica Hispanomerica (comprising units in Mexico, Central and South America) reported sales of EUR3.0 billion, down 4.7% y-o-y. Telefonica Espana recorded a 0.3% drop in its third quarter sales to EUR3.2 billion, while Telefonica Deutschland and Telefonica UK (O2) generated sales of EUR1.9 billion (-1.3%) and EUR1.6 billion (-4.4%), respectively. Group OIBDA for the third quarter decreased 1.9% to EUR4.1 billion, while operating income for 3Q17 climbed 3.2%, to EUR1.8 billion. Net income attributable to equity holders of the parent company was reported at EUR839 million, down 14.7% on an annualised basis.

In operational terms, Telefonica reported consolidated mobile accesses of 272.743 million at 30 September, of which 88.979 million were LTE users. In addition, the Spanish group reported 21.697 million internet and data users, 37.028 million fixed line accounts and 8.376 million pay-TV subscribers.

Jose Maria Alvarez-Pallete, executive chairman at Telefonica, commented: ‘Third quarter results reflected the solid execution of the main strategic priorities set for the year. Thus, our organic growth is consistent and sustainable, highlighting the improvement in revenue growth trends and the increased OIBDA, despite the negative impact of the new regulation in Europe.’