Telesp Q1 profits dips to USD293 million

29 Apr 2008

Brazilian fixed line group Telesp, a unit of Spanish heavyweight Telefonica, posted net profit of BRL490 million (USD293 million) for the three months ended March, down 17.3% from BRL593 million in 1Q07, writes BNamericas citing a company statement. The group’s net operating revenues rose 2.1% year-on-year from BRL3.55 billion to BRL3.62 billion as it made gains from broadband and new business services. By the start of April Telesp had 2.1 million broadband users taking ADSL and MMDS services under the Speedy and Ajato brands, up 28.2% y-o-y.

Telesp also had 11.9 million main phone lines in service at the end of March, down 0.9% compared to 1Q07, of which 74% were residential users, 14% non-residential users, 6% corporate accounts and the remainder public telephony lines and Telesp lines. CAPEX for the first quarter of this year was BRL413 million, up 17.6% year-on-year.

Brazil, Telefonica Brasil (Vivo)