3Q09 Earnings Release
2009年10月21日 - 8:01PM
PRニュース・ワイアー (英語)
SAO PAULO, Oct. 21 /PRNewswire-FirstCall/ -- Net Servicos de
Comunicacao S.A. (BM&FBovespa: NETC3 and NETC4; Nasdaq: NETC;
and Latibex: XNET), the largest cable company in Brazil and one of
the largest in Latin America with integrated services that include
Pay TV ("NET"), Digital Video ("NET Digital"), High Definition
Digital Video ("NET Digital HD"), bidirectional broadband internet
access ("NET Virtua") and voice ("NET Fone via Embratel"), today
announces its results for the third quarter of 2009 (3Q09). NET has
been following a conservative cash policy to ensure the execution
of its sustained growth strategy, so that its organic growth does
not depend on the capital market conditions but is driven by strong
operational cash flows. In line with this policy, NET has also been
extending its debt profile, which minimizes refinancing risks.
Driven by the belief there is still room to continue its
accelerated growth strategy, the Company negotiated with investors
and creditors to postpone the maturity for payment of the principal
amount of the 6th Debenture Issue and CCB. This negotiation enabled
it to maintain its current debt and improve the debt profile, whose
amortization schedule now involves no payment of principal till
2012. With this, the Company extended the period during which its
operational cash flow will be invested to sustain the Company's
growth. Moreover, in recognition of this initiative and the
consistency with which it has executed its plan, NET's credit risk
ratings were raised by Standard & Poor's Ratings Services (BB+)
and Moody's Investors Service (Ba1). The Company maintained its
growth pace across all its products. The Pay TV client base totaled
3,645,000 in the quarter, 25% higher than the 2,923,000 in 3Q08.
The Broadband base totaled 2,790,000 clients in 3Q09, 35% up on the
2,059,000 in 3Q08. The number of Fixed Telephone Lines in Service
increased by 63%, from 1,532,000 lines in 3Q08 to 2,489,000 in
3Q09. The financial performance remained consistent and in line
with operational growth. Net Revenue increased by 26% in the
quarter, from R$ 948.0 million in 3Q08 to R$ 1,195.3 million in
3Q09, thanks to the growth in the subscriber base. In 3Q09,
Operating Costs stood at R$ 591.1 million, 28% higher than the R$
460.3 million in 3Q08. As a percentage of net revenue, these costs
climbed up from 48.6 % to 49.4%. The key factors behind the
increase were the contracting of link for internet access, call
center, payroll and benefits. Selling, General and Administrative
Expenses totaled R$ 278.9 million in 3Q09, 20% up on the R$ 230.6
million recorded in 3Q08, but as a percentage of net revenue, fell
from 24.4% to 23.3%. General and Administrative Expenses rose by
25%, mainly due to the increase in maintenance expenses for number
portability systems and the higher payroll expenses. As a
percentage of net revenue, General and Administrative expenses
remained practically stable at 11.2%. Selling expenses increased 1%
as a result of increased payroll expenses, taxes and benefits, and
as a percentage of net revenue, declined from 13.1% in 3Q08 to
10.5% in 3Q09. EBITDA before Selling Expenses was R$ 447.3 million
in 3Q09, 20% higher than the R$ 371.4 million in 3Q08. EBITDA
totaled R$ 322.2 million in the quarter, up by 30% on the R$ 247.5
million in 3Q08. Capex totaled R$ 238.5 million, an 8% reduction
year-on-year, due to the appreciation of the Real against the U.S.
Dollar, which reduced the cost of equipment. Note that Capex
remains consistent with the Company's additions, underlining the
business model whereby the major portion of investments is related
to growth. Of the total investments, the variable portion
represented 81% and was allocated to purchase equipment and
residential installations, both related to subscriber acquisition
and infrastructural adjustments, such as node breakings. The fixed
portion represented 19% and was allocated mainly to improve network
quality. Upcoming Events 1. Conference Call - 3rd Quarter 2009
Earnings Release Date: October 21, 2009 BR GAAP (in Portuguese):
08:00 a.m. (NY Time) Phone: +55 (11) 4688-6361 Code: Net Servicos
Replay till October 27, 2009: +55 (11) 4688-6312 Replay Code:275 BR
GAAP (In English): 10:00 a.m. (NY Time) Phone: +1 (412) 858-4600
Code: Net Servicos Replay till October 29, 2009: +1 (412) 317-0088
Replay Code: 434261# Live webcast at: http://ir.netservicos.com.br/
2. Expected Dates for Upcoming Results 4th quarter 2009 >
February 10, 2010 DATASOURCE: Net Servicos de Comunicacao S.A.
CONTACT: IR Contact: Marcio Minoru, Capital Markets and IR Officer;
or Adriana Godinho, IR Manager; or Maria Siqueira, IR Analyst; or
Sandra Firmino Santos, IR Analyst, Phone: +55 (11) 2111-2721. Web
Site: http://ir.netservicos.com.br/
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