Cablemás 1Q profits fall but broadband offers hope for the future

3 May 2006

Mexico’s second-largest CATV operator Cablemás has posted a 29.8% fall in net profit for the first quarter of 2006, but reported strong growth in its broadband business. For the three months ended 31 March net profit was MXN49.6 million (USD4.52 million) on revenues of MXN525.8 million, up 27.7% year-on-year. The number of high speed internet connections increased by 76% year-on-year to 133,962, compared to 76,135 a year earlier. In May 2005 Cablemás signed a deal with long-distance telco and broadband provider Axtel to market triple-play TV, telephony and internet services in the cities where the two companies’ networks overlap; by the end of March the venture had yielded Cablemás 9,936 VoIP customers.