- In the second quarter, Hellenic Telecom reported a net income of €81 million, representing a 36% decline compared to the previous year.
- Adjusted net income for the same period was €129.4 million, down by 7.9% from the prior year.
- The company’s adjusted EBITDA after leases slightly increased by 0.6% year-over-year, totaling €328.6 million.
- Revenue in the second quarter was €913.3 million, a marginal increase of 0.3%, though it fell short of the €916 million projection.
- For the first half of the year, revenue reached €1.79 billion, reflecting a 0.2% increase year-over-year.
- The first half net income was €229.9 million, a 12% decline compared to the previous year.
- Adjusted net income for the first half showed a 2% year-over-year growth, reaching €288.8 million.
- Adjusted EBITDA after leases for the first half increased by 0.8% to €657.7 million.
- Capital expenditure for the full year is projected to be between €610 million and €620 million.
- Free Cash Flow is anticipated to remain around €460 million.
- CEO Kostas Nemis stated that the fixed retail business returned to growth, aided by strong TV services and persistent demand for Fiber-to-the-Home (FTTH). The fiber rollout is progressing well with an expanding subscriber base.
- By the end of 2025, Hellenic Telecom aims to have FTTH available in approximately 2.1 million homes and to further expand its 5G Stand-Alone network coverage.
- The company plans to distribute around 98% of its expected 2025 Free Cash Flow of roughly €460 million to shareholders.
- Total shareholder compensation in 2025 is targeted at €451 million, which includes €298 million in cash dividends and about €153 million through share buybacks.
A look at Hellenic Telecommunications Or Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on Smartkarma Smart Scores, Hellenic Telecommunications Organization (OTE S.A.) is positioned favorably for long-term growth. With solid scores in Dividend and Resilience, the company demonstrates stability and a commitment to rewarding its shareholders. Additionally, its Growth score indicates potential for expansion in the telecommunications sector, while a respectable Momentum score suggests positive market sentiment towards the stock. Although there is room for improvement in terms of Value and Momentum, OTE S.A. shows promise for investors seeking a reliable investment in the telecommunications industry.
Hellenic Telecommunications Organization (OTE S.A.) is a telecommunications company that provides a range of services including fixed-line television and mobile telecommunication services. Serving various industries and customers, OTE S.A. offers voice, broadband, data, and leased lines, catering to both commercial and residential clients. With a diverse portfolio and a focus on delivering quality services, OTE S.A. positions itself as a key player in the telecommunications market with the potential for sustained growth and resilience in the long run.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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