Eircom, the former Irish State telco, today announced its results for the third quarter and 9-month financial period ended 31 March 2009. and reported Group EBITDA, before non-cash pension credit and net construction income, was €173 million, down €2 million on the corresponding quarter of the prior year. Group revenue was €488 million, down 5% for the quarter. A quarterly profit of €69 million was achieved and a loss of  €506 million, was incurred in the 9 months, due to a writedown in goodwill earlier in the financial year.

Eircom said EBITDA (Earnings before Interest, Taxes, Depreciation, and Amortisation) figures are supported by a 17% year on year growth to €35 million from Meteor EBITDA. Meteor revenues, before intra-company eliminations, are €117 million in the period, down 2% on the corresponding period. The slight fall was mostly in the pre-paid segment as a result of lower customer revenue per user. Mobile subscribers are up 5% on the corresponding quarter.

Eircom's net debt stood at €3.36 billion at the end of March.

In the fixed line segment, revenues before intra-company eliminations declined 7% on the corresponding quarter to €385 million for the quarter. Fixed line EBITDA declined 5% on the corresponding quarter to €138 million. Eircom added 19,000 DSL broadband customers during the quarter. Eircom lost 22,000 retail telephone customers in the quarter, compared with 24,000 in the previous quarter.

During May 2009 Eircom reached  what it terms "a watershed" ‘Accord’ with the Unions that at ‘Stage 1’, provides for a substantial reduction to Eircom’s cost base via a range of initiatives including a pay freeze, reductions in allowances and significant headcount reductions over the period to July 2011. ‘Stage 2’ discussions are underway to agree further cost savings and appropriate remedial measures in respect of Eircom’s Defined Benefit pension scheme.

Last week, Singapore Technologies Telemedia (ST Telemedia) was the latest company to express an interest in acquiring Eircom.

The Asian company has been in contact with Eircom’s majority shareholder in Australia, and will shortly hold detailed meetings with Eircom management in Dublin.

Last month, the Sydney-based majority owner of Eircom, Eircom Holdings, received an AU$175 million (€97.6 million) buyout offer from Taemas Bridge, a group that includes former Eircom executives Rob Topfer and Rex Comb. That bid has been rejected by management and unions.

The Eircom employee share ownership trust (Esot), owns 35% of the firm.