Telecom Italia on Tuesday said its Capex (capital spending) for telecom infrastructure investment dipped 13.6 percent to 684 million euros in the first quarter of 2014 (Q1 2014). LTE was one of the primary focus areas.
The company invested 493 million euros in Italy in Q1 2014 against 579 million euros in Q1 2013. The dip in investment was due to Telecom Italia’s decision to simplify processes and abandon certain processes. Next-generation networks including 4G LTE and fiber network accounted for 33 percent of network investments in Q1 2014 as compared with 20 percent in Q1 2013.
Telecom Italia Capex in Brazil increased to 189 million euros from 178 million euros. The focus of the investment was to expand mobile infrastructure and improve quality of services to better customer experience.
Meanwhile, the company said its Q1 2014 revenues decreased 11.9 percent to 5,188 million euros.
Telecom Italia said it generated 3,728 million euros in Italy and 1,451 million euros in Brazil, while wholesale business generated 301 million euros.
Telecom Italia’s net profit declined 39 percent to 222 million euros.
