Telefonica Czech Quarterly Net Income Rises on Slovak Tax Income

Telefonica Czech Republic AS, the country’s largest phone operator, said fourth-quarter profit rose 50 percent thanks to a one-time gain from deferred tax income booked at its Slovak unit.

Net income for the three months ended Dec. 31 was 2.87 billion koruna ($151 million), compared with 1.91 billion koruna a year earlier, the company said today in an e-mailed statement. Revenue declined 4 percent to 13.4 billion koruna.

The fourth quarter was “positively” impacted by deferred tax income booked in Slovakia worth 709 million koruna, the Prague-based company said.

Oibda, or operating income before depreciation and amortization, rose 1.2 percent to 5.8 billion koruna in the quarter, the company said.

The company’s board will propose to pay a dividend of 40 koruna a share from 2011 earnings. Of the total, 13 koruna will represent a share capital reduction.

To contact the reporter on this story: Lenka Ponikelska in Prague at lponikelska1@bloomberg.net

To contact the editor responsible for this story: James M. Gomez at jagomez@bloomberg.net

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