Cesky Telecom’s 51%-owned mobile subsidiary Eurotel yesterday unexpectedly released selected 2001 results (US GAAP), without much impact on Cesky Telecom’s stock. The released figures were below our forecasts: Revenues at CZK 30.1 bil (6.5% y-to-y growth, 10% below our forecast), EBITDA at CZK 13.25 bil. (32% growth, 6% below our forecast) and net income at CZK 6.1 bil.
(26% growth, 4% below our forecast). This suggests that the second half of 2001 was poorer than expected (H2 revenues actually show a 2% y-to-y decline). This may be at least partially attributable to the reduction in interconnect prices, which may have had a greater-than-expected effect on Eurotel’s performance. We will now revise our 2001 forecasts of Cesky Telecom’s full-year performance; CT’s consolidated 2001 results are due to be released on February 27.
(Ondrej Datka)