Europe’s biggest phone company, Deutsche Telekom, reported a profit in the fourth quarter of last year thanks to sales of assets.Net profit was 1.4 billion euros, while in the same period a year earlier it lost 364 million euros. During the quarter Deutsche Telekom sold its stakes in a Russian mobile phone company and a satellite broadcaster. Chief Executive Kai-Uwe Ricke, who has halved the company’s debts since 2001, said “We’ve come through three very tough years and can be very proud of our achievements.” However the results were overshadowed by Deutsche Telekom’s British mobile phone division T-Mobile UK. Due to regulatory price cuts and the higher cost of winning customers in a very competitive market its core earnings and sales fell. Revenues were down nearly eleven per cent.
Deutsche Telekom reports profit in fourth quarter