VIENNA, Austria, August 20 /PRNewswire-FirstCall/ --
- Revenues Grow by 7.7% From EUR 2,353.8 Million to EUR 2,535.8 Million
- EBITDA Increases by 2.7% From EUR 942.4 Million to EUR 967.7 Million
- Continuing Growth of International Operations Drives EBITDA
- Ongoing Stabilization of Fixed Net Trends as Product Bundles are
Effective in Decelerating Access Line Loss
- Subscriber Base in the Mobile Communication Segment Grows by 52.5% to
16.5 Million Customers
- Outlook for Full-Year 2008 Including DPS Guidance of at Least EUR 0.75
Reiterated
Telekom Austria Group (VSE: TKA, OTC US: TKAGY) today announced its
results for the first half 2008 and the second quarter ending June 30, 2008.
Year-to-date comparison:
During the first half 2008, revenues grew by 7.7% to EUR 2,535.8 million
primarily due to the consolidation of Velcom in Belarus and to higher
contributions from the other international operations.
EBITDA grew by 2.7% to EUR 967.7 million from EUR 942.4 million as a
result of an EBITDA growth in the international operations and the
consolidation of Velcom which more than offset a lower contribution from the
Fixed Net segment. EBITDA includes exceptional costs in the amount of EUR
19.7 million.
Operating income decreased by 4.9% from EUR 410.2 million to EUR 389.9
million due to higher depreciation and amortization charges. Net income
declined by 18.6% to EUR 226.0 million due to higher interest expenses mainly
as a result of the acquisition of Velcom.
Capital expenditures for tangible and intangible assets decreased by 7.0%
to EUR 350.3 million due to lower capital expenditures in both segments. Net
debt remained stable at EUR 4,402.1 million at the end of June 2008 compared
to the end of December 2007 despite the payment of the dividend.
Quarterly comparison:
Revenues increased by 5.6% to EUR 1,276.2 million in 2Q 08 as higher
revenues from international operations including the consolidation of Velcom
overcompensated for lower revenues from the Fixed Net segment and lower
roaming revenues.
Roaming revenues were impacted by a seasonal effect in 2Q 08 as the
roaming intensive Easter holidays were in 1Q 08, whereas in 2007 they were in
the second quarter. This seasonality amplified the effect of lower roaming
prices and resulted in lower roaming revenues.
EBITDA grew by 0.6% to EUR 469.1 million as the consolidation of Velcom
and higher contributions from the established international operations offset
lower contributions from the Austrian operations, which included exceptional
costs in the amount of EUR 7.7 million, as well as start-up costs in the
Republic of Serbia and the Republic of Macedonia.
Operating income declined by 11.8% to EUR 174.7 million due to higher
depreciation and amortization charges. Net income decreased by 26.3% to EUR
96.3 million during 2Q 08 mainly due to higher interest expenses following
the acquisition of Velcom. As a consequence earnings per share declined by
24.9% to EUR 0.22.
Capital expenditures for tangible and intangible assets decreased by 8.9%
to EUR 190.7 million mainly due to lower investments in Austria and in the
Republic of Serbia despite the consolidation of Velcom.
Further Information
For more detailed information about the first half 2008 please refer to
the corresponding report on Telekom Austria Group's website at
http://www.telekomaustria.com/interim_reports
Contacts:
Elisabeth Mattes
Group Spokeswoman
Tel.: +43-664-331-2730
E-Mail: elisabeth.mattes@telekom.at
Peter Zydek
Head of Investor Relations
Tel.: +43(0)59059-1-19000
E-Mail: peter.zydek@telekom.at
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