Telefonica Czech Republic AS (BAATELEC.PR), a unit of Spain's Telefonica SA (TEF), Thursday reported a 63% annual fall in third-quarter net profit, in line with expectations, due to a significant impairment in the period. The company also confirmed 2011 guidance.

MAIN POINTS:

- Third-quarter net profit fell to CZK2.21 billion ($117.2 million), while net profit in the Jan-Sept period was CZK5.82 billion.

- The company took a CZK4.34 billion impairment charge in the third quarter.

- Czech Telefonica said that without the impairment charge net profit in the quarter would be down by 9.7% annually.

- Revenues in the third quarter fell 5.4% on year to CZK13.08 billion

- Operating income before depreciation and amortization, or OIBDA, fell 4.8% on year in the quarter to CZK5.97 billion, while in the first nine months OIBDA fell 6.1% on year to CZK16.82 billion.

- Czech Telefonica reiterated its outlook for full year operating income before depreciation and amortization to decline between 1% and 5% excluding the impairment.

-By Sean Carney, Dow Jones Newswires; +420 222 315 290; sean.carney@dowjones.com