Telefonica Brasil Earnings Lag Y/Y - Analyst Blog
Brazilian telecom carrier,
Telefonica Brasil SA (VIV) reported first-quarter
2013 net income of R$810.2 million ($405.4 million), down 15.3%
year over year.
Revenues rose 2.9% year over year
to R$8,555.5 million ($4,282.0 million).
Consolidated EBITDA dropped 3.5%
year over year to R$2,747.6 million ($1,375.2 million) in the first
quarter, with EBITDA margin standing at 32.1% was down 210 basis
points (bps). The year-over-year decline was mainly due to
restructuring of the organization that took place in the first
quarter of the year. Operating expenses rose 6.3% year over year to
R$5,807.9 million ($2,906.9 million).
Revenue
Segments
Mobile
Business revenues climbed 10.4% year over year to
R$5,636.3 million ($2,820.9 million) in the reported quarter,
primarily driven by data and value added services (VAS), and access
and usage revenues.
Average revenue per user (ARPU)
grew 3.4% to R$23.1 ($11.6), driven by 14.8% rise in Data ARPU.
Customer churn rose to 3.6% from 2.1% recorded in the first quarter
of 2011.
As of Mar 31, 2013, the total
subscriber base was 75.99 million (up 1.6% year over year).
Post-paid subscribers grew 17.4% year over year to 19.518 million,
while prepaid decreased 2.9% year over year to 56.47 million
customers.
Fixed Line
Business revenues fell 8.9% year over year to
R$2,919.2 million ($1,461.1 million). Pay-TV performed the worst
with a 23.1% decline in revenues followed by a 13.4% reduction in
fixed voice and access. Interconnection revenues also registered a
decline of 9.2%.
At the end of the first quarter,
the total fixed access lines reached 14.87 million, reflecting a
2.5% year-over-year decrease. Fixed Broadband customers stood at
3.75 million compared with 3.69 million a year ago. The
Pay-TV subscriber base dropped 17.2% year over year to 566,000
customers, while subscriber base at fixed voice segment was 10.55
million, down 3.0% year over year.
Liquidity
Telefonica Brasil – a subsidiary of
Telefonica SA (TEF) – exited the quarter with cash
and cash equivalents of R$6,751.1 million ($3,378.9 million)
compared with R$2,889.5 million ($1,639.2 million) in the year-ago
quarter. Net debt decreased to R$655.2 million ($327.9 million)
from R$2,657.7 million ($1,507.7 million) in the corresponding
year-ago period. The net debt-to-EBITDA ratio improved to 0.05
times from 0.22 times in the year-ago quarter.
Our Take
We believe that Telefonica Brasil
displays long-term opportunities for both fixed-line and mobile
businesses, leading to better revenues in the coming quarters.
Broadening the subscriber base along with investments in improving
the network activity will also aid the company’s profitability.
Telefonica Brasil, which operates
with other Latin American telecom service providers like
America Movil S.A.B. de C.V. (AMX) and
Hawaiian Telcom Holdco Inc. (HCOM) currently holds
a Zacks Rank #3 (Hold).
AMER MOVIL-ADR (AMX): Free Stock Analysis Report
HAWAIIAN TELCOM (HCOM): Free Stock Analysis Report
TELEFONICA S.A. (TEF): Free Stock Analysis Report
TELEF BRASIL SA (VIV): Free Stock Analysis Report
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Hawaiian Telcom Holdco, Inc. (delisted) (NASDAQ:HCOM)
過去 株価チャート
から 6 2024 まで 7 2024
Hawaiian Telcom Holdco, Inc. (delisted) (NASDAQ:HCOM)
過去 株価チャート
から 7 2023 まで 7 2024