UPDATE 1-Mexico's Televisa Q2 profit jumps as pay-TV, Internet sales climb

Tue Jul 8, 2014 12:25am EDT

* Q2 net profit jumps 21 pct to 2.21 bln pesos

* Revenue up 7 pct overall; cable and Internet sales up 15 pct

* Congress set to debate new telecoms legislation on Tuesday (Adds details on revenues, background)

MEXICO CITY, July 7 (Reuters) - Mexican broadcaster Grupo Televisa, the world's biggest provider of Spanish-language content, said on Monday its net profit rose 21 percent in the second quarter, driven by higher pay-TV, Internet and phone sales.

The company reported a profit of 2.21 billion pesos ($170 million), compared with 1.83 billion pesos a year ago.

Revenue rose 7 percent to 19.34 billion pesos, helped by a near 15 percent increase in income from its cable, phone and Internet businesses while satellite TV sales climbed 8.3 percent.

Televisa said sales of its TV channels fell nearly 24 percent to $672 million pesos due to so-called "must offer" rules imposed on it by a regulatory overhaul that aims to curb the company's hold on the country's television market.

Mexico's lower house of Congress is set to debate legislation on Tuesday needed to flesh out reforms last year that seek to rein in the power of tycoon Carlos Slim's telecommunications firms and Televisa.

Critics of the planned legislation say it is not tough enough on Televisa and would allow the company to continue to gain market share in the pay-TV market without facing regulation.

Before the results were published, Televisa shares closed up 0.4 percent on Monday at 92.32 pesos, just below a record high set last week.

($1 = 12.9865 pesos) (Reporting by Michael O'Boyle; Editing by Kenneth Maxwell and Edwina Gibbs)