The Company reiterates all its full-year 2011 business targets
The Company continues to focus on the quality of its customer base, which grew by over 6% to 295 million accesses at the end of June
- Consolidated revenues rose to 30,886 million euros in the first half of 2011 thanks to the sharp rise at Telefónica Latinoamérica (+18.4% year-on-year) and the significant increase of mobile data revenue (+18.5% year-on-year), showing a strong dynamism and remaining a key growth driver in all regions
- Consolidated OIBDA advanced 3.7% to 11,304 million euros thanks to the high level of operating efficiency, leaving an OIBDA margin of 36.6%
- Telefónica Latinoamérica and Telefónica Europa accounted for 71% of consolidated revenue and 64% of Group OIBDA
- Net income totalled 3,162 million euros (-16.3%), affected by the non-cash impact resulting from Telco’s revision of the value of its stake in Telecom Italia, which reduced net income in the first half-year by 353 million euros
- The contract segment continued to increase its weight within the overall customer base (+13%) and accounted for 32% of the Group’s 227.3 million mobile accesses. Moreover, the segmentation of tariffs by consumption patterns (tiered pricing) and the quality of the network boosted mobile broadband accesses, which totalled 29.8 million at the end of June. Retail fixed broadband and Pay TV accesses also posted respective growth of +8% and +16% to 17.6 million and 3.1 million
- Especially noteworthy was the performance of Brazil, where the advantages of the integration of fixed and mobile operations boosted growth in the key items (revenue, +6.4% organic; OIBDA, +13.2% organic), while estimated synergies have been upgraded to a new range of between €3,700 and €4,600 million
- The Telefónica Group invested 3,838 million euros through June, with the development of fixed and mobile broadband services accounting for the bulk of this sum. Spain experienced especially sharp growth in investment (+8.7%) in the first half. Despite the investment drive, cash flow generation (OIBDA-CapEx) stood at 7,466 million euros at the end of June
Telefónica (NYSE:TEF) (LSE:TDE) delivered a solid set of first half results, with sharp growth in consolidated revenues in the period (+6.3%) despite the challenging conditions in some of the markets where the Company operates and the significant impact of regulation. This strong growth in revenues to 30,886 million euros was underpinned by the performance of Telefónica Latinoamérica (+18.4% year-on-year) and the significant increase of mobile data revenue (+18.5% year-on-year), showing a strong dynamism which continues to drive growth in all regions.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV