America Movil, the Mexican telecommunications giant, has unveiled its financial and operating results for the fourth quarter of 2023, showcasing impressive growth and solid performance across its operations.
In the latest quarter, America Movil witnessed a substantial increase in its wireless subscriber base, adding a total of 3.9 million new subscribers. Notably, 2.7 million of these were postpaid clients, contributing to a yearly net addition of 10.3 million subscribers. Brazil emerged as a key contributor, accounting for 1.8 million new contract clients, followed by significant additions from Austria, Argentina, and Mexico.
The prepaid platform also recorded significant growth, with a net addition of 1.3 million clients, fueled by strong performances in Colombia, Mexico, Argentina, and Central America. Additionally, America Movil added 386 thousand broadband accesses during the quarter, with Mexico leading the way followed by Brazil and Argentina.
Despite a slight decrease in voice access lines and Pay TV units, America Movil witnessed a notable increase in its postpaid base, up by 7.0 percent year-on-year, and fixed-broadband accesses, up by 4.1 percent year-on-year. At the end of December, the company boasted 310 million wireless subscribers, including 122 million postpaid clients, and 74 million fixed-line RGUs.
REVENUE
In terms of financial performance, America Movil reported a 31.7 percent increase in its fourth-quarter net profit, reaching 18.062 billion pesos ($1.065 billion). However, quarterly revenue saw a slight decline of 7.1 percent compared to the previous year, attributed to the strengthened Mexican peso.
Despite the revenue decline, mobile service revenue experienced a 4.2 percent year-on-year growth, with stable performance in Mexico and accelerated growth in Central America. Fixed-line service revenue also saw a positive trajectory, increasing by 3.0 percent year-on-year, particularly driven by robust growth in Mexico and Colombia.
America Movil said its ARPU (in their respective local currency) has touched 176 in Mexico, 24 in Brazil, 14,977 in Columbia, 25 in Peru, 7 in Ecuador, 1,582 in Argentina, and 18 in Austria.
Furthermore, America Movil’s capital expenditures amounted to 156.3 billion pesos, reflecting the company’s ongoing investments in network infrastructure and technological advancements to support its expanding subscriber base and enhance service offerings.
In Columbia, America Movil received 80MHz of spectrum in the 3.5GHz frequency that will assist Claro to deploy 5G technology in the country. In addition, America Movil has received an extra 10MHz in the 2.5GHz band that will benefit the quality of 4.5G service.
In Argentina, America Movil received 100MHz of spectrum in the 3300-3400MHz frequency to deploy 5G networks in the country.
