OREANDA-NEWS. July 19, 2011. The total consolidated revenue of TEO LT, AB Group, the largest provider of integrated telecommunication, IT and TV services in Lithuania, during the first half of 2011 amounted to LTL 369.8 million, and net profit for the period amounted to LTL 76.6 million. The Company’s EBITDA for the first six months of 2011 was LTL 151 million, EBITDA margin – 40.8 per cent.

Last year, TEO revenue for the first six months amounted to LTL 387 million, and net profit of the Company amounted to LTL 83.6 million. EBITDA for January-June 2010 was LTL 159.6 million, while EBITDA margin – 41.2 per cent.

“The Company maintained good profitability. By effectively reducing operating costs, EBITDA margin remained high and accounted for 40.8 per cent – only 0.4 per cent lower than a year ago”, - Arыnas Рikрta, General Manager of TEO, said when commenting on the activity results.

According to him, TEO continues substantial investments into the next-generation fiber-optic Internet network, which is now available for use to every second resident of Lithuania. There was also a rapid growth in the number of its users. “Over the last year, the number of the Company's digital TV users increased by a quarter. A rapid growth in the number of customers is expected at the end of 2012, when Lithuania will switch over from analogue to digital television”, - A. Рikрta said.

The Company’s share of revenue from Internet and data communications services from total amount of revenue for the first six months of 2011 amounted to 33.7 per cent, voice telephony services – 51.7 per cent. The share of revenue from television services from total amount of revenue for January-June 2011 amounted to 6.1 per cent, IT services – 5.5 per cent and other services – 3.2 per cent.

Over the last 12 months, the number of the Company’s television service users increased by almost 24.9 per cent and at the end of June amounted to 142.5 thousand. The number of broadband Internet (excluding wireless WiFi) access users increased by 7.7 per cent – up to 325.6 thousand. The total number of main telephone lines in service at the end of June amounted to 671.4 thousand.

According to the data of the Communications Regulatory Authority of the Republic of Lithuania for the first quarter of 2011, TEO market share of the Internet access services market in terms of revenue amounted to 38.6 per cent, while the market share in terms of revenue from data communications services was 66.2 per cent. TEO market share in terms of revenue from digital television services for the first quarter of 2011 was 43.6 per cent.

During the first six months of 2011 the Company allocated LTL 63 million for investments. The majority of investments (LTL 58 million) went to the core and next-generation fiber-optic access networks. The remaining part was invested in the development IT systems and in the renovation of premises. In June, TEO opened a new customer care centre in Vilnius.

TEO Group consists of the parent company, TEO LT, AB, and its subsidiaries: Lintel, Baltic Data Center, Hostex, Interdata, Hosting, Kompetencijos Ugdymo Centras and Verslo Investicijos. TEO is the founder and sole owner of VрБ Ryрiш Istorijos Muziejus (The Communications History Museum).

More information about the results of TEO Group for the first half of 2011 is available on the Company's website at:  http://www.teo.lt/node/2867.