Italian mobile operator TIM has announced a 7% rise in core earnings (ebitda) for 2001, to reach E4.8 billion. Group revenues rose by 9%, hitting E10.2 billion. However, the company wrote the value of its international assets down by E400 million.
The growth is slightly disappointing compared with the 11% year-on-year rise seen at the end of Q3, but still came in line with analyst estimates. TIM shares fell 2%, mostly reflecting a bad day in the European telecoms sector as a whole.
While the international write-offs represent a great deal of paper money, they do not affect the company’s cash flow. It also plans to keep its dividend high, implying confidence that problems in South America will not hit its future.