Magyar Telekom Earnings Climb on Improved Margins, Tax Rollback

Revenue edged down 1pc to HUF 242.9 bln, news wire MTI reported.

Direct costs fell 6% to HUF 89 bln, lifting gross profit 1% to HUF 153.9 bln.

Indirect costs fell 18% to HUF 45.5 bln as the supplementary telco tax was phased out and payroll costs declined.

Operating profit increased 18% to HUF 73.1 bln.

CAPEX after leases increased 42% to HUF 33.3 bln.

Magyar Telekom affirmed full-year guidance for 1-3% revenue growth and adjusted net income of “at least HUF 200 bln”.