As rapid and unexpected cost cutting measures are implemented as well added client sign up for 4G mobile services that are faster than ever, Orange (ORAN.PA), France’s biggest company in telecommunication posted results for the third-quarter that is a little bit higher than forecast.
Despite the apparent success, the No.1 mobile firm in France believes that mergers are still required to fend off savage price competition, however it was pointed by a company executive stated that a first move will not be done by the company, this is three months after it made a bid for No.3 mobile company Bouygues SA (BOUY.PA)
Orange Chairman and CEO Stephane Richard stated that the company’s commercial momentum that was driven by ongoing investment efforts in fixed and mobile broadband by the management, remained high in 2014’s third quarter across all operations.
Following the results, the shares of the company, a former French telephone monopoly that had 25% of it, state owned went up 3 percent to 11.24 euros.
Brokerage Espirito Santo stated that on an overall perspective, they see the results of the telecom company as encouraging, especially now that the worst part of the erosion of revenue due to fierce competition is done in its domestic market.