Neil Dennis(Reuters) - Telecom Italia (TIM) on Friday posted third-quarter core earnings slightly below expectations, hit by non-recurring charges related to restructuring, commercial disputes and settlements.
The stock initially fell more than 7%, but later recovered and was trading just 0.4% lower by mid morning in London.
Italy’s biggest phone group, controlled by French media group Vivendi, said earnings before interest, tax, depreciation and amortisation (EBITDA) fell 2.5% to €2.1bn ($2.44bn), below a consensus of analysts’ forecasts provided by the company of €2.2bn.
In the first set of results released under newly appointed Chief Executive Amos Genish, the former telecoms monopoly said sales rose 1% to €4.9bn, in line with expectations.
TIM confirmed it expects organic EBITDA to grow at a low single digit rate this year.