News
Operator’s domestic business returns to growth on quad-play uptake.
Telecom Italia on Friday posted third quarter revenue and EBITDA that came in ahead of expectations, thanks to a solid domestic performance.
Group revenue for the three months to 30 September came in at €4.84 billion, up from €4.78 billion a year earlier. EBITDA climbed to €2.15 billion from €1.98 billion. The Italian incumbent said its domestic business recorded its best performance since 2007, as revenue inched up 1% year-on-year to €3.8 billion, while EBITDA jumped 7.9% to €1.8 billion.
The group revenue and EBITDA figures beat Haitong Research’s estimates by 1.9% and 4.8% respectively.
Telecom Italia attributed the revenue performance to the uptake of its quad-play packages, and the EBITDA growth to its efficiency programme.
"TIM’s turnaround is proceeding quickly, and we are achieving excellent results, ahead of expectations, confirming the soundness of the initiatives taken. We are investing in our country like no-one else, aware of the role that TIM plays for the economic development of Italy," said Telecom Italia executive chairman Giuseppe Recchi, in a statement.
At TIM Brasil, third-quarter revenue fell 5.2% year-on-year to 3.9 billion reais (€1.09 billion), while EBITDA fell by BRL15 million to BRL1.27 billion.
Despite the decline, the numbers came in ahead of Haitong’s estimates.
"The underlying trends of the business show an improving trend vs Q2 which indicates that the Brazilian macro sentiment could have bottomed, but also the company’s initiatives seem to be supporting the operational recovery," the brokerage said, in an investor note.
Telecom Italia’s group net profit attributable to shareholders increased to €477 million from €334 million a year earlier.
