Spain’s Telefonica says 1st quarter net profit rose 2 percent on higher revenue

Telefonica Q1 net profit up 2 pct

MADRID — Spanish telecommunications company Telefonica SA said Thursday its first quarter net profit rose 2 percent to €1.65 billion ($2.09 billion) as revenue increased in Europe and Latin America.

The company said the profit for the January through March period compared with €1.62 billion during the same quarter last year.

Overall revenue rose 1.7 percent to €13.93 billion from €13.69 billion.

Income in Latin America rose 4.2 percent to €5.62 billion while in Europe outside of Spain revenue was up by 7.4 percent to €3.48 billion.

Sales in Spain, meanwhile, were down by 5.7 percent to €4.6 billion.

Operating income before depreciation and amortization fell 4.1 percent to €5.11 billion.

On Monday, the company launched a €5.7 billion bid to buy out its partner Portugal Telecom in Brasilcel and take over Vivo, Brazil’s leading mobile phone operator, though the offer was immediately rejected.

Telefonica shares fell 1.9 percent to €15.75.