America Movil Profits Fall on Lower Revenues
Published on: 13th Feb 2013
Note -- this news article is more than a year old.
By: Ian Mansfield
Latin America based America Movil has announced that its fourth quarter revenues fell by 1.1 percent to MXN198 billion (USD15.5 billion) due to currency changes against the Mexican peso.
At constant exchange rates, service revenues were up 5.2% year-on-year and total revenues 5.8%. As regards the main business lines, mobile data and PayTV were the drivers of revenue growth.
Net profit was down though, by 8.2 percent to MXN15 billion (US$1.17 billion).
América Móvil added 5.6 million wireless and 1.3 million other customers in the fourth quarter to finish December with 325.7 million customers across its markets, 8.7% more than in 2011.
This includes 261.6 million wireless subscribers, 30.5 million land- lines, 17.2 million broadband accesses and 16.4 million PayTV units. The fixed-line division grew 10.8% year-on-year while the wireless subscriber base was up 8.2%.
The Group gained 1.8 million new wireless subscribers in Brazil, 1.2 million in Mexico, 753 thousand in the USA and 409 thousand in Colombia. The fastest growing operations, in relative terms, were the Central American block, Peru and TracFone in the USA.
Net debt ended the year at MXN 372.2 billion pesos, up from 332.1 billion at the close of 2011. Net borrowings helped fund the acquisition of ownership interests in various entities, including KPN and Telekom Austria, which totaled MXN84.9 billion.