Telefónica revenues up 1,4%

Iñaki Ferreras

Spain and Latin America's main telco Telefónica saw revenues of €27,588 million in the first half of this year showing a solid yearly growth according to management.

The main reason for the good results was the company's operations in Latin America. Staff reductions also saw the company slash expenses by €90 million.

Operating income reached €10,939 million in this period meaning a growth of 3%, largely due to the company's operations in Latin America. But Telefónica Spain saw the worst results.

Yearly growth of the company's net consolidated profit was 10,7%. But net revenues went down 5,6% in this period totalling €9,757 million, due to the slowing of the market, competitiviness of its competitors and a lesser consumption of voice services by its clients.

Comparing to 2008, the six-month revenue downturn is 6.3% and the Q2 downturn was 6.9%. The highest downturn of Telefónica's incomes belonged to its mobile phone business.

Telefónica's pay-TV operator Imagenio had some 7,000 new subscribers in the first half of this year giving it over half a million in total.