Telefonica reports 12.5% revenue increase
Telefonica has revealed net profit doubled to €3.7 billion in the first quarter, including a 12.5% increase in revenue.
The operator reported revenue of €11.9 billion between January and June 2015. Demand for mobile data and the acquisitions of Brazil’s GVT and Spain’s Digital Plus have contributed to strong customer growth, said the company.
Telefonica's executive chairman, César Alierta, said the results confirm the strength of the new growth cycle initiated in the previous quarter. The growth in revenue was supported by the strong recovery in the Spanish business which in May and June reached revenue stabilisation for the first time since December 2009, he added.
Emphasising the importance of the acquisitions of GVT and DTS, he said: “[GVT and DTS] are two key assets that are going to contribute in strengthening our presence in both markets and leadership in quality services, and will contribute to the generation of future synergies reinforcing our potential for growth in both cases.”
Net income rose to €1.9 billion from €1.1 billion and operating income before depreciation and amortisation (OIBDA) grew 6.8% to €3.7 billion.
Telefonica reported 253.6 million mobile connections, up from 225.7 million the previous year. Fixed connections increased to 323 million from 285.3 million while pay TV customers almost doubled to 8 million.