VIENNA, Austria, August 22 /PRNewswire/ --
Telekom Austria Group (VSE: TKA, OTC US: TKAGY) today announced its results for the first half year 2007 and the second quarter ending June 30, 2007.
Year-to-date comparison:
During the first half year 2007, revenues increased by 1.1% to EUR 2,353.8 million as growth in the international operations more than offset lower revenues from domestic operations.
Preparation for the launch of operations in the Republic of Serbia and in the Republic of Macedonia and lower contribution from domestic businesses led to a decline in EBITDA by 4.3% to EUR 939.6 million.
An increase in operating income of Fixed Net partly compensated for lower operating income of the Mobile Communication segment resulting in a decline in operating income by 1.6% to EUR 407.4 million.
Lower operating income and higher interest expenses led to a decline of net income by 2.5% to EUR 277.8 million. Earnings per share grew by 3.3% to EUR 0.62 as a result of previous share buybacks reducing the average number of shares outstanding.
Capital expenditures for tangible and intangible assets increased by 38.0% to EUR 376.7 million due to infrastructure investments for the start-up operations in the Republic of Serbia and in the Republic of Macedonia as well as investments in the network infrastructure.
Net debt increased by 6.0% to EUR3,358.2 million at the end of June 2007. Net debt to annualized EBITDA increased by 7.5% to 1.8x at the end of June 2007 compared to the end of December 2006.
Quarterly comparison:
Revenues increased by 3.3% to EUR 1,208.0 million in 2Q 07 compared to the same period in 2006 due to revenue growth in the Fixed Net and Mobile Communication segment.
EBITDA declined by 2.7% to EUR 464.7 million as growth in the Mobile Communication segment partly offset a lower contribution from the Fixed Net segment.
Operating income grew by 2.2% to EUR 196.7 million with both segments contributing to the increase.
Net income remained stable at EUR 130.6 million during 2Q 07 compared to 2Q 06. Earnings per share increased by 7.1% to EUR 0.30 as a consequence of previous share buybacks.
Group capital expenditures for tangible and intangible assets increased by 38.6% to EUR 209.4 million during 2Q 07 mainly due to investments for the start-up operations in the Republic of Serbia and in the Republic of Macedonia.
For more detailed information about the financial results for the first half of 2007 please refer to the corresponding interim report on Telekom Austria Group's website at www.telekomaustria.com/interim_reports
Contacts:
Elisabeth Mattes
Group Spokeswoman
Phone: +43-664-331-2730
E-Mail: Elisabeth.Mattes@telekom.at
Peter Zydek
Head of Investor Relations
Phone: +43-(0)-59059-1-19000
E-Mail: Peter.Zydek@telekom.at
Web site: http://www.telekomaustria.com/interim_re...
Elisabeth Mattes, Group Spokeswoman, +43-664-331-2730, Elisabeth.Mattes@telekom.at, or Peter Zydek, Head of Investor Relations, +43-(0)-59059-1-19000, Peter.Zydek@telekom.at, both of Telekom Austria Group
