H1 net profit soars for Telecom Argentina as mobile and internet subs increase

3 Aug 2011

Telecom Argentina, one of two operadores historicos (incumbent operators), and the former monopoly provider of fixed line services in the north of the country, has released its financial results for the first six months of 2011, with the telco revaling a 41% year-on-year increase in net income on the back of increased revenues from mobile phone and internet services. For the six months ended 30 June 2011 Telecom Argentina posted net profits of ARS1.216 billion (USD286 million), up from ARS865 million in the same period a year earlier, while consolidated turnover for the six month period stood at ARS8.616 billion, representing 28% growth compared to ARS6.717 billion in H1 2010. Mobile revenues accounted for the bulk of total turnover, ARS6.051 billion, or 70.2%. Operating profit before depreciation and amortisation for the first six months of 2011 meanwhile was ARS2.702 billion, compared with ARS2.164 a year earlier.

In operational terms, at the end of June 2011 Telecom Argentina reported a total of 4.119 million fixed lines in service, up 1% y-o-y, while the number of broadband accesses rose by 14% to 1.457 million. Mobile voice subscribers at the end of the first half of the year totalled 19.375 million, up 13% against H1 2011, of which 1.983 million were attributed to the company’s Paraguayan unit.

Argentina, Telecom Argentina (incl. Cablevision)