Magyar Telekom ups 2013 projections; success to depend on Macedonia, energy sales
Does Magyar Telekom (MTel) owe a successful 2013 to Macedonia? That’s the contention of MTel Deputy CEO Jánós Szabó, who, along with announcing a higher revised revenue forecast, stated today that the telecommunications company’s figures depend on its Macedonian business as well as its interests in Hungary-based energy retail.
Previously forecast for a flat year 2013, the company’s consolidated IFRS report released today shows a 5.9% rise year-on-year to HUF 13.8 billion for the second quarter; MTel Christopher Mattheison said that the company now expects revenue to increase, going on to describe market conditions in Macedonia as “remain[ing] challenging” due mainly to lower prices offered by competitors there.
Szabó pointed out at the related follow-up press conference that a tax on telecommunications services and higher VAT rate added to the company’s difficulties in Montenegro. MTel recently purchased frequency blocks within the 800 MHz and 1800 MHz spectrums for €10.3 million, and plans are in place to offer 4G services to Macedonian citizens by year’s end, according to MTI.
As for MTel’s electricity and gas business in Hungary, which began sales in April 2012 and upon which Szabó said MTel’s success in 2013 depends, the deputy CEO promised a continued focus on corporate energy sales but added that the company is looking to move into retail sale “under the same conditions as universal service providers.” MTel is reporting negotiating said conditions with the government is ongoing, with further details expected by the end of October.
Erste Bank Hungary Q1 Earnings Close to HUF 29 bln
Hungary Welcomes Extension of China's Visa Exemption Policy
Living's Kassák Terrace and Park West 3 Classified as Brownf...
Aldi Opening Biggest Store in Budapest
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
