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
- Gennady Golovkin Next Fight Options: Canelo Alvarez, Miguel Cotto Or Julio Cesar Chavez Jr.
- NFL MNF: Pittsburgh Steelers 30, Houston Texans 23 [PHOTOS]
- 2014 MLB World Series Game 1: San Francisco Giants 7, Kansas City Royals 1 [PHOTOS]
- 2014 MLB World Series - Game 2: Kansas City Royals 7, San Francisco Giants 2 [PHOTOS]
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
- Virginia Woman Who Posted Naked Image Of Ex-BF’s New Partner 1st Person Charged Under Revenge Porn Law
- No Mercy: ISIS, Father Stones to Death Daughter for Alleged Adultery
- iOS 8 Jailbreak Release Date is Doomed as Team Evad3rs Opts Out, Pangu Hits Snag – Report
- Google Nexus 6 vs. iPhone 5S: 4 Important Things to Consider Before Switching to Android Lollipop
- Swedish Military Spots ‘Russian Submarine’ Off Stockholm Coast, An Alarming ‘Security Game Changer’
- Canada Raises National Terror Alert Level after Suspected Jihadist Runs Over Soldier
- Galaxy Note 4: Best Big-Screen Phone, Says Samsung; Analysts Believe Note 4 Unlikely To Beat iPhone 6 Plus [Watch Video]