Telecommunications company Swisscom AG (SCMN.VX) Wednesday said it expects slightly lower full year revenue of 11.3 billion Swiss francs as it reported a 3.5% dip in second quarter net profit.

MAIN FACTS:

- 2Q Net profit fell 3.5% to CHF468 million from CHF485 million a year earlier.

- Analysts expected net profit of CHF461 million.

- 2Q Revenue fell 1.4% to CHF2.82 billion from CHF 2.86 billion in 2Q 2011.

- Revenue had been expected at CHF2.83 billion.

- In the first half of 2012, Swisscom's net revenue declined by 1.8% to CHF 5,621 million and operating income (EBITDA) was down 1.5% to CHF 2,236 million.

- The company was able to make up for the price erosion in its Swiss core business of some CHF 170 million through growth in customers and volume.

- Capital expenditure on infrastructure in Switzerland was up by 12.6% to CHF 740 million.

- Excluding wholesale revenues from interconnection services (hubbing), Fastweb posted a slight growth in revenue, with 78,000 new customers in the first half-year, and an increase in operating profit (EBITDA) of 1.3% to EUR 233 million despite higher subscriber acquisition costs.

- Due to currency developments Swisscom expects slightly lower net revenue of CHF 11.3 billion for full-year 2012, while other financial guidance remained unchanged.

- Swisscom has lowered the exchange rate underlying its financial outlook for 2012 from CHF 1.23 to CHF 1.20 per euro.

-Zurich Bureau, Dow Jones Newswires, +41 43 443 80 47; zurichdjnews@dowjones.com

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