KPN Q1 profits fall on weak Dutch mobile
(Associated Press Via Acquire Media NewsEdge) AMSTERDAM -- Royal KPN NV, the Netherlands' largest telecommunications, says profits fell again in the first quarter as it continues to repair damage done by mobile customers using cheaper Skype and WhatsApp messaging services on KPN's mobile Internet.
Net profit was (EURO)288 million ($379 million) for the quarter, down from (EURO)591 million a year ago, when it had a one-off tax windfall of (EURO)150 million.
But KPN spent (EURO)80 million more on investment and restructuring this quarter, and earnings were lower in the Dutch mobile business, where KPN has hiked Internet prices.
Company revenues were down 1.4 percent to (EURO)3.19 billion, with Dutch mobile revenues 11 percent lower. Earnings at KPN's German operations, where it is the third largest mobile operator, were more or less flat.
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