Telefonica 1H07 results

Telefonica posts good results: revenues rose 6.5% to €14.8bn, while net profit doubles to €1.4bn in 2Q07. It reported revenues of €27.8bn, up 11%, and net income of €3.8bn, up 66%, in 1H07. OIBDA rose 22% to €11bn and its operating profit jumped over 45% to €6.5bn. Latin America reported 1H07 revenues of almost €10bn, and 121.8m subscribers of which 91m are mobile, 4.4m are broadband. The European unit O2 generated revenues of €7bn, up 21%, and a mobile subscriber base of over 36m.

On the back of these good results, Telefonica has raised its full-year targets: full-year revenue growth at 8-10% (from 6-9% previously), OIBDA at 10-13% (from 8-11%) and OI at 19-23% (from 14.-20%). Capex would grow to €8.1bn.