France Telecom fourth quarter earnings slow on price war
February 20, 2013 5:49 PM EST
Revenue in the fourth quarter fell 3.2 percent to 10.92 billion euros (9.45 billion pounds) on a comparable basis, hit by weakness in France and Poland, the company said on Wednesday.
Restated earnings before interest, tax, depreciation and amortisation (EBITDA) fell 8.8 percent to 3.13 billion euros for a margin of 28.7 percent versus 30.4 percent a year ago.
Europe's fourth-largest telecom operator by revenue also posted 7.97 billion euros in operating cash flow in 2012, just short of its 8 billion target.
It maintained an earlier goal of hitting operating cash flow above 7 billion euros this year, but acknowledged that the price war in France was not abating as it had hoped.
"We are less optimistic about the end of the price war in France now than we were a few months ago," said Chief Financial Officer Gervais Pellissier. "The pressure on prices will be worse in 2013 than we thought."
Pellissier added that the group nevertheless maintained its objective to return to growth of operating cash flow in 2014, but more by focusing on cost cuts than relying on the stabilisation of sales in France.
(Reporting by Leila Abboud; Editing by James Regan)
Most Popular Slideshows
- Still The World Champions: Team USA Overpowers Serbia, 129-92 To Win 2014 FIBA World Cup [PHOTOS]
- Pope Francis: World War III Has Started On Piecemeal
- After Win Over Maidana, Mayweather Says He Is Prepared To Negotiate A Fight With Pacquiao
- From Fat To Fit: Celebrities Who Were Overweight Before They Became The Beauties That They Are
Join the Conversation
- Tourre on stand says email in SEC case 'not accurate'
- Syrian authorities blocking access to needy in Homs - Red Cross
- Faith in European Union at low ebb, EU poll says
- Former UBS banker gets 18 months, $1 million fine, for muni bid-rigging scheme
- U.S. judge halts challenges to Detroit's bankruptcy bid
- iOS 8 Release Date Of Sept 17 Has Arrived: Update Begins At 10AM Pacific Time, Upgrade Your iDevices With iOS 7.1.2 First To Install iOS 8
- Pregnant Kate Middleton May Call Off Malta Trip Due To Sickness: Royal Couple Will Move To Anmer Hall Residence
- Apple iPad Air 2, iPad Mini 3 October Release Date Roundup: Freshly Leaked Protective Case Debuts Unique Vent Alongside Camera
- Why Samsung Galaxy S5 Is Not The Best Smartphone To Purchase Now? If You Still Want To, Wait For A Month To Get It Cheap
- Ukraine Crisis: Poland Denies Supplying Weapons To Kiev
- Google Nexus 8 Release Date Countdown Begins Oct 8: 8 Killer Specs and Features to Expect
- Malaysia Airlines Flight MF 370: Indonesian Police Chief Claims He Knows What Happened To Missing Jet