OREANDA-NEWS. During Q1 of this year Lattelecom Group revenue and gross profit has increased by 2% if compared to Q1 2013. Such revenue increase has mainly been predetermined by the increase in the number of TV service users recorded during the New Year's Eve period. Q1 EBIDTA has been by 10% higher than in the same period of last year, which is associated with cost optimisation measures.

"The Q1 financial results have proven that our choice of TV strategy has been successful, as the inflow of customers has enabled us to increase revenues. We are also ever so proud of such increase in revenue as the European industry has seen an overall decline in revenues, and it has been a major challenge to combat this trend," indicated Juris Gulbis, Chairman of Management Board of Lattelecom.

During the New Year's Eve period Lattelecom has recorded an accelerated customer interest in Lattelecom TV services, which is associated with the MTG decision to terminate free broadcasting of TV3 and LNT channels commencing from the New Year's Eve, as well as the Baltcom decision to terminate analogue TV broadcasting services to a certain part of its existing customers.

Lattelecom Group profit 2013 constituted 28,5M EUR (or 20M LVL). Decline in the results has only been recorded with regard to Latvijas Mobilais Telefons 23% of shares of which are owned by Lattelecom, and whose revenues have decreased by more than 11M EUR in 2013. Moreover, this has been the second year in succession that a decline in the Latvijas Mobilais Telefons revenues is recorded.

Lattelecom Group offers custom-built electronic communications solutions to households, SME, state and municipal authorities, as well as to corporate customers.

Lattelecom Group comprises six companies - Lattelecom, Lattelecom BPO and its subsidiary BPO Baltic, Citrus Solutions, Lattelecom Technology and Baltijas Datoru Akademija.

Lattelecom also owns 23% of Latvijas Mobilais Telefons shares.