(RTTNews) - British telecommunications company Cable & Wireless Plc (CW.L: News ) reported Thursday a rise in first-half profit, as revenues grew 13% from the prior year. However, citing further deterioration since the summer in the Caribbean economy, the company reduced its EBITDA guidance for fiscal 2010. The group also said it is ready to separate into its two operating businesses, Worldwide and CWI.

For the half year, the company's profit before tax increased to GBP 171 million from GBP 129 million in the previous year. Cable & Wireless said it recognized exceptional costs of GBP 28 million during the first half of fiscal 2010. Before exceptional items, pre-tax profit was GBP 202 million, higher than GBP 190 million in the prior year.

Profit for the period attributable to owners of the parent rose to GBP 120 million or 4.7 pence per share from GBP 83 million or 3.3 pence per share in the same period last year. Before exceptional items, profit attributable to owners of the parent was GBP 146 million, compared to a profit of GBP 143 million a year ago.

Group EBITDA increased 30% to GBP 463 million from GBP 357 million in the earlier year.

Revenues for the half year grew 13% to GBP 1.85 billion from GBP 1.65 billion in the comparable period last year.

Cable and Wireless chairman Richard Lapthorne said, "With the emerging signs of more settled conditions in the financial markets, the Board believes that the Group is ready to separate into its two operating businesses, Worldwide and CWI and drive further value for shareholders."
During the six months ended September 30, the company operated as two separate businesses : CWI and Worldwide. The CWI business operates integrated telecommunications companies offering mobile, broadband and domestic and international fixed line services to residential and business customers. It has four major operations being the Caribbean, Panama, Macau and Monaco & Islands. The Worldwide business provides enterprise and carrier solutions to the largest users of telecoms services around the globe.

CWI revenues increased to GBP 721 million from GBP 649 million in the previous year. In dollar terms, CWI revenues were US$1.13 billion compared to US$1.2 billion last year. CWI's revenue fell by 6% at constant currency mainly due to trading conditions. According to the company, CWI's operations in Panama, Macau and Monaco & Islands performed well during the period.

For the first half, CWI EBITDA was US$427 million flat at constant currency, and EBITDA margin was up to 38%. The company expects CWI EBITDA for the second half to be around the same level as the first, excluding the consolidation of the Maldives. CWI's fiscal 2010 EBITDA guidance is lowered to a range of US$880 million - US$900 million from the earlier range of approximately US$935 million. This reflects the poor economic environment in the Caribbean partially offset by consolidating our business in the Maldives in the second half.

Worldwide unit revenues grew to GBP 1.14 billion from GBP 1 billion in the prior year. The company said revenue growth in Worldwide was due to the acquisition of Thus and organic growth in IP, data and hosting revenue partially offset by some effects of the recession with fewer low margin voice minutes and lower customer discretionary spending.

For the first half, Worldwide EBITDA was GBP 205 million, an increase of GBP 63 million or 44% over the prior-year period. The company said it continues to expect that Worldwide fiscal 2010 EBITDA to be about GBP 430 million.

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