Telecom Egypt feels competitive pressure

Telecom Egypt saw consolidated net profits slide 4.8 per cent to EGP557 million (US$104m) in Q108, as the telco experienced greater competitive pressure on its voice revenues and retail segment.

TE is feeling the impact of increased competition.

In the three months to end-March consolidated EBITDA amounted to EGP1.2 billion, 11.8 per cent down from the same period in 2007. Akil Beshir, chairman and CEO, Telecom Egypt, remained positive, saying the figures were in line with seasonal expectations for voice traffic.

Total retail revenues slipped to EGP1.4bn during the quarter, compared to EGP1.5bn for the same period a year earlier. The decline was attributed to the fall in total voice revenues and aggressive pricing campaigns by rival mobile operators.