MTS Allstream posts 53% jump in profit despite sales dip

Manitoba Telecom Services (MTS Allstream) has reported a CAD43 million (USD42.8 million) net profit for the third quarter of 2010, up 53% year-on-year, helped by a CAD10 million settlement payment from rival Bell Mobility, as well as a rebate from a deferral account awarded under a regulatory decision, and an 80% reduction in restructuring costs compared to the same period of 2009. Consolidated revenues at the full-service telco were CAD446.3 million in the three months to the end of September, down from CAD452.3 million in the same period of 2009. MTS pointed out that the sales total was up slightly from the previous quarter (CAD443.1 million) and CAD442.0 million in the first quarter of the year, following corporate structure changes at end-2009.