Forex gains lead to Embratel’s 3Q profit tripling

29 Oct 2009

Brazilian telco Embratel has posted net income for the third quarter of 2009 which more than tripled year-on-year to BRL346 million (USD199 million), on revenues that rose 7.6% to BRL2.69 billion. The company attributed the net profit hike to foreign exchange gains. Embratel’s EBITDA increased by 11.8% to BRL728 million in July-September 2009, giving an EBITDA margin of 27% compared to 26% in the same quarter of 2008. The company has reduced its dependency on long-distance call services; 54.3% of Embratel’s total 3Q revenues came from local access, data, television and other services.