América Móvil releases strong results for Q1 2005

27 Apr 2005

Mexican mobile operator América Móvil has announced a year-on-year 33% increase in revenues to MXN38.8 billion (USD3.5 billion) for the first quarter of 2005. Net profits, however, rose only 2% to MXN4.5 billion after higher interest rates led to a hike in financial expenses. After gaining 2.9 million subscribers in the first quarter of 2004, the company gained 5.2 million subscribers during the same period of 2005, taking the total to 68.3 million. Of those, 66.3 million are mobile subscribers with 1.9 million fixed line subscribers. The two markets contributing the largest subscriber growth were Mexico (adding 1.8 million users) and Colombia (1.2 million). After reporting the figures the company forecast subscriber numbers to increase by 17.5 million in 2005. Shares in the company rose 2.3%, the fourth consecutive rise in as many days.

Mexico, America Movil (AM)