LONDON May 22 Cable & Wireless Communications
met expectations with a 1 percent rise in full-year core
earnings, and said it would cut $100 million of costs from a
business now focused on the Caribbean and Central American.
The company, which has sold its Macau and Monaco and Islands
businesses, posted earnings before interest, tax, depreciation
and amortisation of $905 million for the year to end-March on
revenue up 2 percent to $2.89 billion.
Excluding the businesses sold, core earnings were $589
million, also up 1 percent and just ahead of average analyst
forecasts of $584 million.
The British company, which provides broadband, fixed line
and mobile services, has faced headwinds in Panama and the
Caribbean from increased competition and weaker economic
conditions, partly due to fewer tourists.
Chief Executive Tony Rice said making $100 million of annual
savings, or 13 percent of the group's existing operating
expenditure, within two years would improve margins and cash
flow, particularly in its Caribbean business.