Eircom saw revenues fall by 8.5 per cent, from €1.99 billion to €1.82 billion, over the twelve months to the end of June.
The group said fourth quarter revenues were down by 8.1 per cent from €479 million to €440 million.
Full-year adjusted earnings before interest, tax, depreciation and amortisation (Ebitda) totalled €669 million, down 3.3 per cent,
Full-year operating costs declined by 11.2 per cent.
Eircom said it generated strong cashflows of €136 million in the year, resulting in a cash balance of almost €400 million at the end of June. However, it said net debt "remains very high and in the absence of action the associated financial covenants may be breached within the coming 12-18 months."
"We are actively reviewing our options to address this issue," it added.
The company said it lost 70,000 landline customers in the year to the end of June but added the number of broadband and mobile subscribers it has continued to grow.
THe telecoms firm said it had reduced costs by over 12 per cent in the fourth quarter and that its restructuring programme had led to 1,500 staff members leaving the company since March.
It said that further cost savings must be found and we aim to reduce annual labour costs by a further €90 million over the next three years.
“Today’s results highlight the work underway and the challenges that remain to return eircom group to profitable growth. The results for the quarter and the year show sustained progress in cost reduction," said chief executive Paul Donovan.
"Together with the introduction of STT as a new shareholder, the remediation of our pension scheme and the reorganisation of the group’s activities under a new management team, we have made important advances on a number of strategic fronts. But much more needs be done as revenue pressures continue in a very challenging trading environment," he added.
