Revenues continued to fall in the first quarter of the year at Portugal Telecom, which also made a loss, as it prepares to merge with Brazil’s Oi.
PT's operating revenues fell 3.9 percent year-on-year to €690 million as decline across all its business units reflected the current difficult economic climate.
The company reported that customer numbers increased in its home market, but revenues continued to fall in the personal, enterprise, residential and wholesale segments.
"Revenue performance from the Portuguese telecommunications businesses continued to be impacted by pricing and competitive dynamics, and by the macroeconomic environment, reflected in the revenue decline across all segments," PT said.
As a result, the operator made a loss of €14.7 million between January and March.
Capex was down over 14 percent to €103 million as previous large investments in FTTH, 4G LTE and a state-of-the-art data centre slowed. PT said it hopes to keep capex low over the coming years.
Meanwhile, Brazil-based Oi saw revenues fall 2.3 percent to €2.3 billion, partly due to a derease in traffic from its enterprise customers.
The Oi-PT merger, first announced last October, is scheduled to close in the first half of this year.