OTE posts lower profits

Greek telecom giant OTE reported a 37% drop in fourth-quarter net profit, and announced plans to cut more than 3,500 jobs over three years, an Associated Press report said.


The report said the company's net profit fell to €37.1 million ($44 million) in the three months to December 31 from €58.9 million ($69.8 million) a year earlier.


The result came despite strong growth in revenue from mobile operations and a stronger performance of its domestic fixed-line business, the report said.


The report said OTE attributed the fall in net profit to a number of one-off items, including a tax credit recorded in the fourth quarter of 2004.


For all of 2005, OTE posted a net loss of €294.1 million ($348.6 million) compared with a net profit of €171.3 million ($203 million) in 2004 after the company took a €912.9-million ($1.08-billion) charge in the third quarter to cover a voluntary redundancy program, the report said.