Telefonica's Q1 net up 9.8% as it confirms forecast

Telefonica's Q1 net profit grew 9.8% to €1.69 billion as it confirmed its guidance for the year.

Groupwide revenue grew 2.8% year-on-year to €13.70 billion, with growth in Latin America and the UK offset declines at home, the company said.

Sales in the Latin-American operations increased 8.7% and UK revenue rose 7%. But revenue in the Spanish operator's home market fell 4.2% to €4.9 billion.

Total subscribers increased 11.9% year-on-year to 261.4 million. Wireless subs grew 15.4% to 198 million. Broadband subs rose 17.5% to 12.8 million.

In Spain, subscribers reached 47.2 million, with broadband internet subscribers growing 9.4% to 5.3 million. In the UK, net mobile additions reached over 141,000, leading to a total of 20.42 million mobile subscribers.

The company's operating cash flow grew 4.5% to €4.15 billion. The company has maintained its target of paying a €1.15 euro per share dividend for the 2009 financial year.