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Telefonica Q4 sales flat, OIBDA falls 88% on restructuring
2016-02-26 08:12:00| Telecompaper Headlines
(Telecompaper) Telefonica reported fourth-quarter revenues flat at EUR 11.881 billion, as negative currency effects offset growth from the acquisitions of GVT and DTS. OIBDA fell 88.1 percent to EUR 401 million due to restructuring charges. On an organic basis, Telefonica reported revenues down 2.0 percent in Spain, up 2.0 percent in Germany and 3.4 percent higher in Latin America. OIBDA was hut by a total EUR 3.122 billion in restructuring charges, including EUR 2.896 billion in Spain, as well as a contribution to the Telefonica Foundation of EUR 325 million. The net result was a loss of EUR 1.832 billion. Over the full year, Telefonica reported capital expenditure up 10.3 percent to EUR 9.578 billion, of which around EUR 1.6 billion went to spectrum, and the company posted positive operating cash flow of EUR 1.835 billion. Net debt rose by EUR 4.834 billion over the year, mainly due to dividends, capex and spectrum, to a total EUR 49.921 billion at year-end. This resulted in leverage of 2.91 times EBITDA, which the company estimates will fall to 2.31 after the sale of O2 UK. Telefonica expects to resume cash dividends next year at EUR 0.75 per share after the sale of O2. It also forecast for 2016 revenue growth over 4 percent, a stabilisation in the OIBDA margin and capital expenditure (excluding spectrum) at around 17 percent of revenues.
Tags: sales
flat
falls
restructuring
Category:Telecommunications