Esat Telecom has posted a sharp increase in revenues for the three months to the end of June, but losses have also risen compared to the same period last year. The results show that Esat Digifone, of which the company owns 49.5 per cent, is performing extremely well and has made a small profit for the first time.

Esat's second-quarter results show the company's turnover increased to £15.87 million (€20.15 million), compared to £8.1 million (€10.28 million) in the same period last year. It made net losses of £28.3 million, compared to £9.3 million last year.

Esat Digifone, the mobile operator made £356,000 profit just two years after its establishment. It now has around 370,000 customers, with pre-paid customers accounting for most of the recent growth.

Esat, which is the Republic's second largest phone company, attributed its losses to continued investment in developing new products and services, expanding its customer base and telecommunications infrastructure. Page 2