Tuesday, November 28

Israel’s Bezeq Telecom raises 2022 net profit estimate

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JERUSALEM — Bezeq Israel Telecom on Monday raised its estimate for adjusted 2022 net profit to 1.1-1.2 billion shekels ($325-$354 million) from a prior forecast of 1.0-1.1 billion, as it expects to reach more homes with its fiber optics network.

Bezeq, Israel’s largest telecoms group, projects reaching 1.5 million homes with its fiber network in 2022, up from 1.4 million previously, it said in a regulatory filing in Tel Aviv.

Previously a government monopoly, Bezeq had been locked in a long battle with the industry regulator over the terms of its fiber deployment. It eventually reached a deal where it did not have to cover 100% of the country and it began to deploy its network in March of 2021.

Bezeq also raised its estimate for adjusted EBITDA to 3.65-3.75 billion shekels from 3.6-3.7 billion, while maintaining a forecast of 1.7-1.8 billion for capital expenses.

“The forecasts are based, among other things, on the group’s estimates regarding the structure of the competition in the communications market and the regulation of the sector, on the current economic situation in Israel, and accordingly – on the Group’s ability to continue to implement its plans for 2022,” it said.

($1 = 3.3857 shekels) (Reporting by Steven Scheer. Editing by Jane Merriman)