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'SAMENA Daily' - News

América Móvil sees pay-TV growth, but profits fall

With over 360 million accesses to its different services throughout the globe by the end of September, América Móvil has seen revenue and subscriber growth during Q3 thanks to its pay-TV and broadband operations in LATAM and the consolidation in Europe of the Telekom Austria business.
 
According to the telco, it added 1.4 million accesses in the third quarter, reaching 286.8 million wireless subs, 34 million landlines, 22.2 million broadband accesses and 21.4 million pay-TV units.

The company's Pay-TV operations in the region grew 12.5% compared to the same period last year, contributing to a revenue increase to $16.3 billion (4% up on 2013). Pay-TV units both in Latin America and Europe experienced a 14.7% increase during the third quarter, only surpassed by mobile data services (up 15.2%) as América Móvil's most profitable service.

Although the telco saw growth in revenue it also saw a rise in costs of services and equipment and general expenses, leading to a fall in profits for the quarter. Due to various tax regulations and exchange rates, América Móvil's net income is nearly $450 million lower than in Q3 2013.

The quarter's figures were also affected by the consolidation of Telekom Austria's operations, which have been included in the telco's general financial statements since 1 July. The Central European telco added 24.3 million accesses to América Móvil's subscriber base.

Most of the telco's business is still in Latin America, namely in Mexico and Brazil. With the company working in almost every market in the region, 46% of the fixed revenue generating units (RGU) are in Brazilian telecoms, with 35.5 million units.

 



Source: http://www.rapidtvnews.com/2014102435793/america-movil-sees-pay-tv-growth-but-profits-fall.html#axzz3H4KbYC23

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