Velcom has not yet recovered from the devaluation

Telekom Austria AG has reported a decrease its revenue for the I half of 2012 compared to the I half of 2011 by 4.9% to 2118.3 million euros and EBITDA by 6.6% to 726.2 million euros.

The main reason of it is the devaluation of the Belarusian ruble in 2011.

The Austrian telecommunication company cut its 2012 guidance as price competition in most of its markets led to margin erosion and revenue declines in three of the company's core markets of Austria, Bulgaria and Croatia.

It now expects revenue to reach 4.2 billion euros ($5.2 billion), down from its former forecast of approximately EUR4.4 billion.

The new outlook assumes stable foreign exchange rates. There is uncertainty around currency developments in Belarus and Serbia.

Telekom Austria has been hit by the hyperinflation in Belarus and the devaluation of the Belarusian ruble. The company said revenue in the country were reduced by 16% to EUR136.9 million and that earnings before interest taxes, depreciation and amortization in Belarus were reduced by 27% to EUR55.3 million.