Telefonica Expects 150mn Clients in LatAm by End-2009

Spanish telecoms giant Telefonica expects its client base to hit 150mn in Latin America in 2009, the company said in a statement.

To reach this figure, the company expects to add 35mn new clients within the next three years, the company's general director Jose Maria Alvarez-Pallete said during a telecommunications conference in Santander, Spain.

The executive expects Latin America to be the company's highest growth region until the end of 2009. The growth in the sector will be mainly boosted by the mobile telephony and broadband business, according to the statement.

The telecoms sector in Latin America is growing at annual average rates of 8% compared to 6% in Africa and Asia, and 2% in Europe and North America.

Telefonica expects Latin America will end 2009 with a mobile telephony penetration of 74% while 14% of homes across the region will have broadband connections.

The company saw global net profits of 3.83bn euros (US$5.24bn) in the first half of 2007, up 66.4% compared to 2.30bn euros in the same period a year ago.

Revenues were 27.8bn euros in 1H07, an increase of 10.6% from 25.2bn euros in 1H06.

Telefonica's fixed line, broadband and television operations in Latin America reported sales of 9.63bn euros in H1, up 10.6% from 8.71bn euros in the same period last year. Latin America represented 35% of the company's global revenues in 1H07.

Posted to the site on 7th September 2007