The second quarter for OTE ended with improved performance. In particular, in the second quarter, the listed telecommunications group posted a 2.7% increase in turnover to EUR 850 million, with service revenues up 2.4%, driven by strong growth in mobile communications (+4.7%) and television. The group’s adjusted operating income after leases (Ebitdaal) increased by 7.2% to €333m, with Greece up by 5.1% mainly due to strong mobile performance. In addition, OTE’s adjusted net income increased by 24.4% to €132.5 million, with the group increasing fiber subscribers by 34% and penetration reaching 62% of its (subscriber) base. Also in the second quarter, OTE increased its fiber-to-the-home (FTTH) subscriber base by 17,000 people, with FTTH network available to 674,000 households and businesses. According to Michalis Chamaz, President and CEO of OTE, FTTH will reach 1 million households and businesses by the end of the year.

In Romania, OTE increased services revenue by 4.7% driven by device sales and also increased profits.

In the first half of the year, OTE showed a net profit of 262 million euros, which increased by 26% compared to the corresponding period last year. Turnover increased by 3.7% to approximately EUR 1.7 billion, while Adjusted EBITDA (Al) rose by 7.6% to EUR 658 million.

OTE increased the number of fiber subscribers by 34%, with penetration reaching 62% of the subscriber base.

“We achieved another strong quarter, building on OTE’s momentum in a challenging environment with geopolitical challenges and inflationary pressures. In Greece, we have increased mobile revenues, and in the fixed line industry, we have implemented a number of initiatives, such as free broadband speed upgrades, increased value for our services, and improved customer loyalty. Greece’s Ebitda margin improved by another quarter, despite the impact on our costs from higher prices, especially for the energy we absorbed without passing it on to our customers. In Romania, revenue and profitability increased as the company operates more efficiently as a mobile-only service provider.

“We estimate that in the second half of the year, a recovery in tourism and roaming revenues, as well as cost containment in some sectors, will help manage potential challenges in an increasingly uncertain environment. We continue to invest in FTTH and 5G, we believe in our strategy, which we will relentlessly continue to implement, and we reaffirm the goals we have set for the whole year,” said Mr. Shamaz.

Recovery Fund projects are expected to increase the Group’s Sector Specific (ICT) revenues. However, as Mr. Shamaz explained, the profitability of ICT projects is lower than that of OTE’s core business, averaging around 20%.