Partner Communications Co. Ltd. (PTNR) reported that its third-quarter net income totaled NIS 263 million or US$70 million, a decrease of 20.3% from NIS 330 million in the year ago quarter. The decrease primarily reflects the supplementary expenses related to the ramp-up of the ISP and fixed telephony services, as well as the impact of the reduction in service revenues including roaming revenues, the company said. Earnings per share or ADS, for the quarter were NIS1.70 or US$0.45, down from NIS 2.12 in the year ago quarter.
Net revenues for the quarter were NIS 1.575 billion or US$419 million, decreasing by 3.3% from NIS 1.629 billion in the year ago quarter.
The Board of Directors approved the distribution of a dividend for third-quarter 2009 of NIS 1.94 or US$0. 52 per share or ADS to shareholders and ADS holders of record on November 25, 2009. The dividend is expected to be paid on December 10, 2009.
The Company said that it is currently reviewing its dividend policy for 2010. The Company is also considering a capital reduction in order to distribute a one-time dividend of over NIS 1 billion. If approved by the Board of Directors and the applicable court, the contemplated capital reduction will likely take place during the first quarter of 2010.
In the short term, the company expects the gap in profitability for the fourth quarter 2009 compared with the parallel quarter of 2008 to be more moderate than it was in the third quarter.
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