Net Servicos Q1 profit doubles on subscriber gains

29 Apr 2009

Brazil’s largest cable services provider by subscribers Net Servicos said its first-quarter net income more than doubled on the back of a surge in demand for its pay-TV and broadband internet services. The firm posted net income of BRL81.54 million (USD36.8 million) in the first three months of this year, compared to BRL33.94 million reais in the first quarter of 2008. The number of cable TV subscribers climbed 31% to 3.34 million, while broadband connections soared 54% to 2.45 million, the company said in a filing to the securities exchange. Net Servicos’ total client base – comprising basic TV, internet and voice users – jumped to 8.81 million at 31 March 2009, from 5.61 million a year earlier, helping push net sales up 30% to BRL1.08 billion. EBITDA rose to BRL283.6 million from BRL225.1 million previously.