Portugal Telecom published its results pertaining to the 1st semester of 2007. During this period, PT registered net results of 429 million euros and operational income totalling 2.956 million euros

In the 1st trimester of 2007, net results for Portugal Telecom reached 429 million euros, or in other words, a growth of 6,9% in comparison to the 1st trimester of 2006. Consolidated operational income rose 5,4% in relation to the same period in 2006, totalling 2.956 million euros, a value stimulated by the growth in VIVO, TMN and Other Businesses.

Operational results before depreciation (EBITDA) registered an increase of 15,2% in comparison to the 1st trimester of 2006, to 1.147 million euros which is equivalent to a margin of 38,8%, and operational results registered a growth of 38,3% to 606 million euros.

EBITDA minus Capex rose 17,6% to 840 million euros. On the 30th of June 2007, net debt reached 4,280 million euros in comparison to 3.757 million euros on the 31st of December 2006. This increase is mainly explained by the share buyback program in progress and the payment of dividends in May of 2007. Tax Non-financed net liabilities related to the benefits of reform are located at 905 million euros. 

Operational Income from the fixed network business fell 5,5% in the 2nd trimester of 2007 in comparison to the 2nd trimester to 2006, to 494 million euros. In the mobile segment, operational income rose to 356 million euros, which represents an increase of 0,4% in comparison to the 2nd trimester of 2006. Pertaining to VIVO, operational income registered 3.187 million reals, a growth of 18%, supported by a strong growth in service income.
In the 1st trimester of 2007, operational income from Médi Télécom rose 6,2% in relation to the same period in 2006, locating at 2.367 million Moroccan dirham and EBITDA rose 2% to 980 million dirham.

Operational income and EBITDA of Unitel registered a growth of 29,9% and 15,8% respectively due to the strong growth in clients. Net additions totalled 455 thousand in the 1st trimester of 2007 based on the total client base reaching 2.503 thousand at the end of June 2007.
MTC presented an increase of 21% in operational income and 3% in EBITDA. Net additions totalled 95 thousand in the 1st trimester of 2007.

CVT also registered an increase in operational income and EBITDA – 5,9% and 4,6% respectively, in comparison to the 1st trimester of 2006. Pertaining to CTM, operational income registered an increase of 5,6% to 1.052 million patacas as a result of the growth in mobile and broad band clients. EBITDA was placed at 449 million patacas which represents an increase of 14% on the 1st semester of 2007 in comparison to the same period in 2006.
Operational income of CST rose 13,4% to 71.982 million dobras, with EBITDA registering an increase of 12,6% (24.112 million dobras).

At Timor Telecom, focus goes to operational income and EBITDA which registered an increase of 42,5% and 57% in the 1st trimester of 2007 in comparison to the 1st trimester in 2006, and is mainly due to the increase in mobile clients and the growth of income from roamers.

PT results were prepared according to the International Financial Reporting Norms. In the sequence of the approval of the spin-off of PT Multimédia (PTM) in the Annual Shareholders General Meeting which took place on the 27th of April 2007, PTM was considered, for the purpose of financial reporting, as a discontinued operation.