Mexican telco Axtel says it will spend USD150 million on expanding its services to five new cities in 2006, according to BNamericas quoting local daily Milenio. The new regions will be Chihuahua and Torreón in the north, and Irapuato, Celaya and the port of Veracruz in central Mexico. Axtel currently covers Guadalajara, Puebla, León, Toluca, Querétaro, San Luis Potosí, Aguascalientes, Saltillo, Tijuana, Monterrey and Ciudad Juárez.
Last week Axtel reported a 25% rise in revenues for 2005, on the back of a 34% increase in its lines in service. The telco ended 2005 with 605,904 lines, up from 453,519 the year before, pushing annual revenues up to MXN4.967 billion (USD468.8 million). Local services accounted for MXN3.567 billion of total turnover, whilst long-distance revenues contributed MXN451.9 million. Operating income reached MXN598.6 million, up from 260.7 million in 2004.