Telefónica sees quarterly dip in revenue and net profit

Spanish operator group Telefónica has seen its revenues and net profit drop in the quarter ending September 30, 2013. Revenue for the quarter fell to €14.06bn, a 9.5 per cent decline on the €15.54bn generated in 3Q12, although revenue grew in organic terms for the second quarter in a row, increasing 2.1 per cent. While net profit fell 21.1 per cent year on year, from €1.38bn in 3Q12 to €1.09bn in 3Q13.

At the end of September, Telefónica Group’s customer base reached 320.3 million subscribers.

Telefónica executive chairman, César Alierta, emphasised “on the operating front there are clear signs of recovery”. He highlighted the year on year revenue improvement for the nine months leading to the end of September, which he said was underpinned by the increase of high-value customers, making recovery more sustainable.

With regard to the operator group’s growth potential, he also stressed that “the portfolio management transactions carried out should be underlined, including the recently announced disposal of Czech Republic, as they boost the group’s growth profile, by strengthening our position in certain key markets” .