Romtelecom net profit up 45.2%, income idle in H1

The number of landlines fell by 18.1 percent, to 3.087 million, due to mobile telephone services and competition with other operators on the landline sector. 

Operational profit reached €25.8 million, down by 20.6 percent from H1 2006.  Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) fell 1.3 percent year-on-year, down to €164.6 million.

“The results of the new price diagram, which brings more value to individuals for landline phone services, have become visible. A significant drop in the number of customers giving up Romtelecom services and a substantial increase in demand for new telephone lines indicate that customers welcomed Romtelecom’s new commercial approach,” said Romtelecom CEO, Yorgos Ioannidis. By the end of June 2007, the company registered 232,000 subscribers to its Dolce digital television service, launched last November, compared to 164,000 by the end of the first quarter, and 176,000 subscribers to the Asymmetric  Digital Subscriber Line (ADSL) Internet service, with 39,000 new subscribers in Q2 2007.

The drop in revenues generated by the landline phone services was caused by less subscribers and lower traffic on the individual segment, but was compensated by increased revenues from broadband, satellite television and data services.

“A significant drop in the number of customers giving up Romtelecom services and a substantial increase in demand for new telephone lines indicate that customers welcomed Romtelecom’s new commercial approach
 Yorgos Ioannidis
Romtelecom CEO