Spain's Telefonica Q3 profit down 21 pct on Latin American currency weaknesses

MADRID – Spanish telecommunications company Telefonica posted a 21 per cent drop in net profit in the third quarter following lower sales and the weakness of Latin American currencies against the euro.

Telefonica SA said Friday net profit in the July to September period was 1.09 billion ($1.46 billion) against 1.38 billion euros the year before. For the first nine months, profit dipped 9 per cent to 3.15 billion euros.

The company said third-quarter revenue fell 10 per cent to 14.1 billion euros while for the first three quarters it was down 8.4 per cent at 42.6 billion euros.

Telefonica said it had reduced net debt to 46.1 billion euros in September. That’s already beaten the 2013 target of less than 47 billion euros.

Telefonica shares fell 1.1 per cent to 12.22 euros in trading in Madrid