Amazônia Celular to post net profit in 2006

7 Jul 2006

The chief executive of Brazilian mobile operator Tele Norte Celular Participações Ricardo Sacramento says he expects to post a net profit in 2006. In an interview with BNamericas, Sacramento said it was imperative for his company, which trades under the brand name Amazônia Celular, ‘to break even this year and to generate a positive net result.’ Amazônia Celular has stressed the need for positive EBITDA growth and a strong bottom line, although industry watchers say it could face an uphill task. In Q1 2006 the operator reported an EBITDA margin of 21.8%, compared with 32.6% a year earlier. Net losses in the three-month period also reached BRL8 million (USD3.6 million), compared to a BRL1.9 million loss previously.