Telecom Italia Fourth-Quarter Net Rises, Dividend Cut
Telecom Italia SpA, Italy’s biggest phone company, said fourth-quarter profit almost doubled and cut its dividend on common and savings shares.
Net income advanced to 444 million euros ($561 million) from 228 million euros a year earlier, the Milan-based company said in a statement today. So-called organic sales, which exclude currency moves and acquisitions or disposals, were in line with the same period last year at 7.76 billion euros.
“As 2008 unfolded, the group staged a significant turnaround,” Chief Executive Officer Franco Bernabe said in the release. “The excellent results we posted in the final quarter of the year enabled us to hit the targets we set ourselves.”
Bernabe is facing investors’ pressure to revive growth while cutting debt after two business plans since his hiring in December 2007 failed to lift the stock price. The company is trimming another 4,000 jobs and may sell as much as 3 billion euros of non-core assets amid a deteriorating economy.