Telecom Italia's guidance unchanged after Q1 earnings meet forecast

MILAN, May 19 (Reuters) - Telecom Italia (TIM) on Wednesday said its financial targets were unchanged after earnings for the first three months met expectations, pointing to a stabilisation in revenues after the hit from the pandemic.

Organic earnings before interest, tax, depreciation and amortisation (EBITDA) after lease costs fell 1.7% to 1.38 billion euros ($1.68 billion) in the January-March period, a touch above an analyst consensus provided by the company of 1.37 billion euros.

“In the first quarter ... the process of stabilising revenues and operating indicators continued, in addition to cash generation and debt reduction,” TIM said in a statement.

Revenues in the quarter totalled 3.75 billion euros, unchanged from the previous year on a comparable basis. ($1 = 0.8193 euros) (Reporting by Elvira Pollina; editing by Valentina Za)