The Hellenic Telecommunications Organisation (OTE) on November 29 reported that net group income of 445.5 million euros (585.6 million dollars) in the first nine months of 2006 after a loss of 296.7 million last year.
The semi-state telecoms giant also recorded a 5.6-percent growth in revenues to 4.3 billion euros and a 19-percent fall in operating costs, to 3.43 billion euros.
"Our results this quarter are encouraging," OTE chairman and CEO Panagis Vourloumis said in a statement, adding that the group is displaying "strong growth" in its broadband and mobile operation.
OTE is also containing its operating expenses as headcount reduction and cost-cutting in mature activities compensate higher expenses in its faster-growing businesses, Vourloumis added.
In the third quarter of 2006, OTE turned a net income of 223.6 million euros compared to a loss of 493.2 million euros over the equivalent period last year.
The group last month completed a voluntary retirement program with 5,400 employees departing since the beginning of 2005.
The estimated accounting cost of the program was 939.6 million euros, fully charged in OTE's 2005 full-year results.
OTE's mobile telephony subsidiaries in Greece, Albania, Bulgaria, the Former Yugoslav Republic of Macedonia and Romania recorded third quarter consolidated revenues of 593.5 million euros, an 18.4-percent increase over the third quarter of 2005.
On November 16, OTE announced that it had completed the sale of its 90 percent stake in ArmenTel, the incumbent telecommunications provider in Armenia, to Russia's VimpelCom for a total cash consideration of 341.9 million euros. The transaction should generate a pre-tax capital gain of 292.9 million euros, the group said on Wednesday.
ArmenTel recorded revenues of 44.5 million euros in the third quarter of 2006 for a nine-month total of 112.9 million euros, a 38.2-percent increase over last year. Its nine-month net income rose by 21.8 percent to 31.3 million euros.
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