T-HT’s revenues, profits dented by economy

Croatia’s biggest telecoms operator T-Hrvatski Telekom (T-HT), said the country’s protracted economic crisis hit 2012 revenues and net profit, and predicted sales would fall further this year, Reuters reports. The telco, majority-owned by Deutsche Telekom, posted a 7.6% year-on-year decline in revenues to HRK7.46 billion (USD1.32 billion), while consolidated net profit fell 6.4% to HRK1.70 billion. T-HT’s CEO Ivica Mudrinic stated that ‘the economic environment deteriorated more than previously anticipated… and no meaningful far-reaching structural reforms have been initiated. The residential and corporate sectors tightened spending further and the public sector delayed investments in IT… Looking ahead, we remain highly cautious and expect the difficult economic environment to continue.’ Croatia, which is gearing up to join the European Union in July, suffered a four-year recession, while most analysts expect sub-1% GDP growth in 2013.