Thursday, July 26, 2012

Weak Europe Deflates Telefonica



Telefonica said that its underlying revenues rose 0.1% year-on-year in the second quarter of 2012 to 15.47 billion euros.  A 5.7% fall in revenues in Europe was offset by a 5.8% rise in Latin America.

The Madrid-based group said that is is now expecting revenue growth to be "flat to positive" in 2012, whereas it had expected growth of more than 1%. Telefonica said it is seeing a "more challenging than anticipated performance driven by a weaker macro environment and further negative impacts from regulation."

Telefonica also gave further information about its digital strategy confirming that it will avoid head-on competition with the leading Internet players.




source: Telefonica presentation

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