Telecom Argentina’s nine-month profit jumps 35%

7 Nov 2008

Telecom Argentina has announced that its consolidated net income for the nine-month period ended 30 September 2008 rose by 35% year-on-year to ARS831 million (USD251.5 million), taking into account ARS102 million from discontinued operations. Revenues in the first three-quarters increased by ARS1.274 billion to ARS7.789 billion compared to the previous year, with turnover generated by cellular services growing by 25% and internet/data sales increasing by 36%. Operating profit before depreciation and amortisation (OPBDA) reached ARS2.502 billion, up 11% versus 9M07, equivalent to 32% of net revenues, mainly fuelled by the growth in cellular services. Fixed line telephony profitability continued to weaken due to frozen tariffs of regulated services and inflationary effects. Consolidated mobile subscribers totaled 13.7 million at the end of September 2008 (18% year-on-year), while broadband subscribers reached 976,000 (44%). Fixed lines in service also increased by 3% y-o-y to 4.3 million. As of the end of September, Telecom Personal’s mobile subscriber base in Argentina reached 11.9 million, up by 1.7 million or 18% from the same date last year; in 3Q08 its subscribers increased by 600,000.