Results for the three months of 2013
On 17 April 2013, the Board of TEO LT, AB (hereinafter – “TEO” or “the Company”) approved unaudited TEO LT, AB Consolidated Interim Financial Statements, prepared according to International Financial Reporting Standards as adopted by the European Union, for the three months period ended 31 March 2013.
The total revenue of TEO Group in January-March of 2013 was LTL 183 million (EUR 53 million), a decrease by 4.1 per cent over the total revenue of LTL 190 million (EUR 55 million) in the first three months of 2012, but, excluding one-off sale of IT equipment during the first quarter of 2012, underlying revenue grew by 0.7 per cent.
EBITDA for the first three months of 2013 was on the same level as a year ago and amounted to LTL 74.4 million (EUR 22 million). EBITDA margin amounted to 40.8 per cent while a year ago it was 39.1 per cent.
Profit before income tax in the first three months of 2013 eased by 1.2 per cent and amounted to LTL 41.9 million (EUR 12.1 million) (LTL 42.4 million (EUR 12.3 million) a year ago).
Profit for the period amounted to LTL 38.3 million (EUR 11.1 million) , an increase by 3 per cent over the profit of LTL 37.1 million (EUR 10.8 million) for the same period year ago. The profit margin increased from 19.5 per cent a year ago to 20.9 per cent.
Management’s comment on financial results for the three months period of 2013:
“With the Lithuanian telecommunications market still going down, TEO results for the first quarter of 2013 were good. Over the year, revenue, excluding non-recurring IT equipment sales in 2012, went up by 0.7 per cent, while operating expenses, even excluding one-off expenses in 2012, went down by 0.3 per cent. The revenue growth was driven by an increase in the Internet and IPTV customer’s base and in Internet ARPU, as well as a better revenue flow from data communication services. The net profit was higher by 3 per cent compared with the first quarter of 2012, the operating profit (EBIT) margin increased to 22.8 per cent.
TEO continued its commitment to deployment of the fast next-generation fiber-optic network in Lithuania. This allowed the Company to reach over 389 thousand of Internet and 97 thousand of IPTV customers. Revenue growth in Internet, IPTV and IT services allowed the Company to fully compensate revenue loss from fixed voice telephony services.
During the first quarter, TEO, responding to customer needs, made attractive voice telephony service offers for calls within the country and abroad, continued the sale of its super-fast Internet plan of 300 Mbps and popular bundled proposals “Namai 1”, “Namai 2” and “Namai 3”. TEO improved its IPTV service and expanded its proposal for IT equipment by offering customers tablet and laptop personal computers.
With the signs of some economic stabilisation and good forecasts for 2013, the Company is confident that it will deliver a good return to its shareholders.”
- TEO LT, AB Consolidated Interim Financial Statements for the three months period ended 31 March 2013.
- Presentation of TEO LT, AB results for the three months of 2013.
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