Orange expects to return to core profit growth this year

Telecom operator Orange SA (ORAN) said earlier this week it expected to return to core profit growth in 2022, after last year’s results were affected by lower returns from co-financing deals and intense competition in the Spanish market.

France’s Orange forecasts earnings before interest, tax, depreciation and amortization after leases (EBITDAaL) to increase by between 2.5% and 3% this year, following a 0.5% decrease in 2021.

The company also forecasts cash flow from telecoms activities to exceed EUR 2.9 billion in 2022, compared with a cash flow of EUR 2.4 billion in 2021.

Orange’s total revenue went up 0.8% year-on-year to EUR 42.5 billion in 2021.

As of 10:37 GMT on Friday the shares of Orange SA were gaining 0.46% (EUR 0.05), while extending a gain from the previous session, to trade at EUR 10.98 in Paris.