Radical cost-cutting measures drove OTE’s second-quarter net income up by 65%, to €104.5 million ($128.6 million), compared with the same period last year, as the Greek telecoms incumbent warned of tough times ahead.
The operator is facing challenging economic conditions as Europe’s financial crisis rumbles on, and its revenue decline of 5.2%, to €1.1 billion, was less than some commentators had feared.
Singaporean operator StarHub has reported an impressive 11% rise in profit thanks to revenue growth across all of its operations and a boost from its broadcast of Euro 2012 football matches in the summer.
The company’s second-quarter net income rose to S$87 million ($69.8 million), from around S$78 million in the same period last year, while revenues grew by 4% to S$591 million.
StarHub reported revenue growth at each of its mobile, pay TV, broadband and fixed network divisions, but enjoyed particular success in broadcasting.
Philippines operator Globe Telecom has reported a sharp fall in profits as it continues to invest in the modernization of its network amid tough competition.
Net income after tax fell by 10% for the first half of the year, to 5 billion pesos ($120 million), compared with the same period last year, despite a 6% increase in revenues to 40.8 billion pesos.
Qatari telecoms incumbent Qtel has blamed heightened competition and currency movements for a sharp fall in profit during the first half of 2012.
At 1.35 billion riyals ($371 million), net income was 11.8% down on the figure reported for the first half of 2011, despite a 6.1% increase in revenues to 16.4 billion riyals.
Qtel says the bottom line was hit by adverse foreign exchange movement in Indonesia and Algeria. Excluding the impact of currency fluctuations, operational results showed profit growth of 9%, it claims.
Analyst firm Analysys Mason has hit back at a suggestion by the House of Lords, the UK parliament’s upper house, that the government’s broadband plan should demand every community in the country be within reach of an open-access, fibre-optic hub.
Earlier this week, the House of Lords released a new broadband report that criticized aspects of the government’s broadband plan, saying there was too much focus on speed and not enough on providing universal broadband access.
A round-up of the most important results announcements over the past few days.
Latin American heavyweight América Móvil reported a 45% year-on-year fall in net profit to 13.3 billion pesos (US$1 billion), despite a 9.3% increase in revenues to 191.7 billion pesos. The decline was partly down to the weakness of local currencies, which also drove up the cost of handset subsidies. América Móvil says that with more customers opting for smartphones it is seeing pressure on its margins.
du, the number two operator in the United Arab Emirates, has said it will focus on profitability and worry less about market share, after reporting second-quarter results earlier this week.
The operator reported an impressive 57.1% increase in net income, year on year, to 651 million dirhams ($177 million), but noted a slight fall in its mobile market share, to 46.5%, due to renewed competition from rival Etisalat.
AT&T’s board of directors today authorized a share buyback of up to 300 million additional shares.
The amount of shares represents about 5% of its outstanding stock and would be worth some $11.1 billion according to Friday’s closing price.
“This action allows us to continue returning cash to our shareholders through dividends and buybacks while maintaining a strong balance sheet and investing in the future of our business,” said Randall Stephenson, AT&T’s chairman and chief executive.
French telecoms incumbent France Telecom has managed to slow its loss of mobile-phone customers, many of whom were believed to be defecting to new rival Iliad.
France Telecom lost a staggering 615,000 customers in the first quarter of the year, when Iliad first entered the market, but customer losses for the second quarter were a less troubling 155,000.
Iliad has an established fixed broadband operation in France but won a licence to provide mobile-phone services in 2009, finally launching earlier this year.
Weakness in Verizon Communications Inc's enterprise business offset a better-than-expected wireless quarter, sending the telephone company's shares down 2.9 percent.
After pushing Verizon's shares up 14 percent so far this year, investors focused in on the wireline miss on Thursday even as Verizon handily beat Wall Street estimates for wireless subscriber growth and profitability.
While earnings per share (EPS) met Wall Street expectations for the quarter, analyst said that wasn't enough.