Stockholm - Nordic telecommunications group Telia Sonera on Thursday posted higher pre-tax income for second quarter 2008. The group said earnings before interest, taxes, depreciation and amortization (EBITDA) was 7.97 billion kronor (1.3 billion dollars), compared to 7.51 billion kronor in the corresponding business period 2007.
Sales in the quarter increased 5.7 per cent to 25.27 billion kronor.
Chief Executive Lars Nyberg said operations in Eurasia developed "strongly."
Margins for broadband services were under pressure, he said, noting that fixed broadband was impacted by the growth of mobile broadband services.
In its outlook, Telia Sonera repeated its earlier assessment that it expected sales in 2008 to show "stable growth."
The group's cost-cutting programme was under way. Two-thirds of the 4-billion-kronor cost was to be carried in 2008, and according to earlier announcements will result in the lay-off of some 2,900 employees, two-thirds in Sweden and one-third in Finland.
To date, 255 employees have accepted earlier retirement and 335 have transferred to a redeployment unit or competence pool.
Sales in its six markets in Eurasia including Kazakhstan, Azerbaijan, Tadjikistan and Georgia rose 16 per cent, the group said.
Telia Sonera and its associated companies had some 122.9 million customers in the quarter, up 19.3 per cent from the end of the second quarter 2007.
Northern Europe's largest telecommunications concern was formed through the December 2002 merger of Sweden's Telia and Finland's Sonera. It also has operations in Norway, Denmark, the Baltic states, Russia and Turkey.
