MEXICO CITY, April 26 America Movil, the biggest
cellphone company in Latin America, posted a
better-than-expected jump in first-quarter net profit, helped by
the addition of Brazilian cable television company Net Servicos
and favorable foreign exchange rates.
The company, owned by Mexican tycoon Carlos Slim, earned
32.641 billion pesos ($2.5 billion) in the January-March period,
up 37.5 percent from 23.744 billion pesos in the same quarter of
Analysts in a Reuters poll were expecting a net profit of
27.768 billion pesos in the period.
Revenue climbed 12.4 percent to 192.498 billion pesos.
America Movil , which added 4.2 million
mobile subscribers in the quarter, absorbed Net Servicos earlier
Favorable currency trends also boosted the bottom line, the
company said, as "the appreciation of various currencies
relative to the U.S. dollar led to a foreign exchange gain."
Fixed-line revenues grew 7.1 percent compared with the
year-ago quarter, with wireless revenues 15.8 percent higher in
Mexican peso terms. Revenue from wireless customers accounted
for 62.5 percent of the total for the quarter, the company said.
America Movil acquired Mexico fixed-line giant Telmex last
year as the companies controlled by Slim continued to shed home
phone customers in Mexico, with 2 percent fewer fixed-lines than
in the year-ago quarter.
Regulators in Mexico, where Slim founded his telecom empire,
have been pushing down mobile phone costs, and America Movil saw
a sharp drop in cellphone income in the first three months of
Voice revenues plummeted 9.8 percent because of a 41.6
percent reduction in revenues linked to calls between fixed home
phone lines and cellphones, the company said on Thursday.
The company's shares closed up 0.12 percent at 16.60 pesos
in local trading.