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UPDATE 1-Kabel Deutschland trims FY revenue, net profit outlook

Wed, 09th Oct 2013 18:23

* Sees FY revenue growth at 5-6 pct vs 8 pct previously

* Sees Vodafone takeover hitting FY net profit by 205 mlneuro

* Q2 revenue up 4 pct, helped by premium TV, Internet, phone

FRANKFURT, Oct 9 (Reuters) - Kabel Deutschland onWednesday trimmed its revenue forecast for the current fiscalyear and said the pending takeover of the company by Britain'sVodafone would hit full-year net income.

The cable company, releasing "selected" preliminary resultsfor the second quarter, said it now expected revenue growth of5-6 percent in the year ending March 31, 2014, against aprevious forecast of about 8 percent, after concluding it wasunlikely to make up for a revenue shortfall seen in the firstquarter.

In addition, the loss of deferred tax assets and othereffects prompted by the takeover by Vodafone would hurt KabelDeutschland's net income by about 205 million euros ($277million) in the current fiscal year, Kabel Deutschland added ina statement.

Analysts on average expect Kabel Deutschland to post netprofit of 263 million euros this year, data from Thomson ReutersI/B/E/S show.

The news may undercut hopes for an improved Vodafone offeramong Kabel Deutschland shareholders who have yet to tendertheir shares.

"In light of the takeover of more than 75 percent of sharesby Vodafone and the implied negative net income effect, KabelDeutschland can currently give no guidance on the shareholderreturn for FY 2013/14," the statement said.

Some hedge funds that had built up stakes in KabelDeutschland plan to contest the deal in court to attain a betterprice, sources told Reuters last month.

Kabel Deutschland said revenue rose 4 percent to 471 millioneuros in the second quarter from a year ago, helped by arecovery in premium TV as well as strength in the Internet andphone business.

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