America Movil has announced its third-quarter results for 2024, showcasing robust subscriber growth and increased capital expenditure. The telecom giant added a total of 1.8 million subscribers during the quarter, with a significant 1.4 million of those being postpaid customers.
Brazil led the growth in postpaid subscriptions, contributing 291,000 new users, followed by Colombia with 159,000 and Mexico with 108,000. The prepaid segment also saw an increase, with net additions of 468,000 subscribers, predominantly from Colombia (251,000), Eastern Europe (213,000), and Argentina (200,000). However, the company faced challenges, recording disconnections of 343,000 in Brazil and 136,000 in Mexico.
As of September 2024, America Movil’s total wireless subscriber base reached 315.8 million, of which 126 million are postpaid clients. The postpaid base grew by 5.9 percent year-on-year, while the prepaid segment saw a modest increase of 1.4 percent.
In the fixed-line segment, the company connected 327,000 new broadband accesses—116,000 in Mexico, 59,000 in Brazil, and 44,000 in Argentina. Despite this growth, America Movil disconnected 83,000 voice lines and 30,000 PayTV units. The total revenue-generating units (RGUs) at the end of the quarter stood at 74.6 million, comprising 33.2 million broadband accesses, 12.8 million PayTV clients, and 28.5 million landlines, marking a 5.2 percent increase in fixed-broadband accesses.
The company’s revenue for the third quarter totaled 223 billion pesos, with service revenue expanding by 11.3 percent year-on-year in Mexican peso terms. This growth was partly attributed to the depreciation of the Mexican peso against most regional currencies, except for the Brazilian real. At constant exchange rates, service revenue rose by 5.5 percent, an improvement from the 4.7 percent rate posted in the previous quarter.
Mobile service revenue showed its best performance in over a year, with annual growth rates of 5.2 percent and postpaid revenue growth at 6.3 percent when adjusted for constant exchange rates. Fixed-line service revenue also increased by 5.9 percent at constant exchange rates, with corporate networks and broadband revenue rising by 10.1 percent and 7.4 percent, respectively, due to improved network capabilities and commercial strategies.
America Movil’s EBITDA increased by 11.9 percent in Mexican peso terms and 6.3 percent at constant exchange rates, with adjusted EBITDA (excluding one-off items) rising by 7.3 percent, reflecting operational leverage from revenue expansion. The company reported a net profit of 6.4 billion pesos for the quarter, bolstered by a 14.2 percent increase in operating profit and a 4.8 percent reduction in comprehensive financing costs.
For the nine months through September, capital expenditures reached 86.7 billion pesos, as America Movil continues to invest in expanding its network and service capabilities.
