Cesar Alierta, Telefonica’s executive chairman, hailed the continuation of “a new growth cycle” in April-June, reflected in a number of key metrics, including a 12.4 per cent growth in revenue.

Revenue climbed to €11.9 billion in the quarter, although when considered on an organic basis the growth rate of 4.4 per cent was less spectacular.

Alierta (pictured) praised “the Spanish business, which in May and June reached revenue stabilisation for the first time since December 2009”.

However, despite the two months of zero growth, revenue for Telefonica Espana was still down by 1.1 per cent (and 1.1 per cent organically) to €2.97 billion in the second quarter.

Telefonica Deutschland delivered a spectacular 68 per cent rise in revenue to €1.95 billion in the quarter, although that reflected the inclusion of E-Plus since October 2014. Organic revenue growth was 1.3 per cent.

Acquisitions over the last year are reshaping the group, with Alierta pointing to broadband provider GVT in Brazil and TV broadcaster DTS in Spain, both examples of quadplay strategy. In addition, Telefonica is investing extensively in fibre and 4G.

Data growth
The operator saw 66 per cent growth in video traffic and a 52 per cent increase in data growth over its mobile networks. Data usage among 4G subscribers is 60 per cent higher than 3G users.

The group also sounded a more optimistic note by raising revenue growth guidance for 2015 up from 7 per cent to 9.5 per cent, presumably driven by its new acquisitions as well as network investment.

Telefonica’s net income was €1.89 billion, an increase of 70 per cent over the same period in 2014, boosted by a number of additions including GVT, DTS and E-Plus, while Telefonica in the UK is treated as a discontinued operation. In March 2015, Telefonica signed an agreement for the sale of O2 to Hutchison Whampoa.