Brazil's Telefonica posts 13% increase in third-quarter net profit
Adds details of the earnings report
SAO PAULO, Nov 5 (Reuters) -Brazil's Telefonica VIVT3.SA reported on Tuesday a 13% increase in net profit for the third quarter compared to the same period last year.
Telefonica Brasil reported a net profit of 1.67 billion reais ($290.4 million), versus analysts' expectations of a 1.57 billion real profit.
WHY IT'S IMPORTANT
The firm, which is controlled by Spain's Telefonica TEF.MC, is the largest mobile-phone service provider in Brazil by total phone lines, according to data from local telecom regulator Anatel.
BY THE NUMBERS
Net operational revenue increased some 7% in the quarter to 14 billion reais, with revenues from its primary mobile unit rising nearly 9% on growth in postpaid services.
Earnings before interest, taxes, depreciation and amortization (EBITDA) stood at 5.95 billion reais, up 7.4% year-on-year.
KEY QUOTES
The "strong performance" of Telefonica's postpaid business comes from an increase in clients - both due to new customers and migrating existing customers over from prepaid services - as well as annual price hikes, Telefonica Brasil said in the earnings report.
($1 = 5.7514 reais)
Reporting by Andre Romani in Sao Paulo; Editing by Kylie Madry and Lincoln Feast.
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
