Telemig reports 8.1% rise in Q3 profit

9 Nov 2007

Brazilian mobile operator Telemig Celular Participacoes (Telemig) yesterday reported net profits of BRL38.2 million (USD22 million) for the three-month period ended 30 September 2007, up 8.1% compared to BRL35.3 million in the corresponding period of 2006. Third-quarter revenues rose 11.8% to BRL343 million compared to BRL306 million in Q306, of which data revenues accounted for 6% of the total, or BRL21.2 million, down from BRL21.7 million previously. EBITDA was BRL112 million, compared with BRL91.3 million a year earlier, while the EBITDA margin climbed to 34.8% from 32%. CAPEX was BRL39.9 million, down 50.7% year-on-year.

At the end of September Telemig had 3.61 million subscribers, up from 3.42 million in Q306, thanks to the net addition of 70,037 new users in the third quarter. The company is the leading mobile operator by subscribers in Minas Gerais and believes it is well-positioned to fend off competition from new operators. Telemig’s monthly average revenue per user (ARPU) was BRL79.7 in July-September 2007, up 9.7% from BRL72.6 in the same period last year.

Brazil, Telemig Celular