Italy’s domestic telephone monopoly operator Telecom Italia SpA says pre-tax profit for the first six months of the year rose 27% to the equivalent of $1.75bn. Revenue was up 4.7% at $9,669m. The comparisons are with figures restated for the spin-off of Telecom Italia Mobile SpA on July 7 1995. It is Telecom Italia’s parent company, Societa Finanziaria Telefonica SpA that is set to be privatized early next year, rather than Telecom Italia itself. The company expects 1996 results will significantly improve on those recorded for 1995. The company’s investments in the first half rose 17% to $2.31bn, with the cash going towards its new broadband network and base stations for cordless phones in urban centers. Net debt was reduced from year- end 1995 levels by $827m to $9.03bn at June 30. The board has approved a three-year plan for 1997-99 that envisages investments over the period of more than $16.7bn. The number of people with fixed lines rose to 25.03 million at the end of June from 24.85 million at the end of December, and 97% of Italian families now own at telephone. It employed 89,300 people at the end of June against 90,222 at the end of last year.
