Telecom service provider America Movil on Thursday said its capital expenditures (Capex) touched $6.04 billion or 82 billion pesos in Q3 2014.
Mexico’s America Movil invested mainly in mobile data networks. The mobile operator did not share specific investment details.
Third quarter revenue of America Movil has increased 14 percent to 220.884 billion pesos, principally due to the consolidation of Telekom Austria. America Movil now owns almost 60 percent of Telekom Austria.
The revenue growth was supported by two important revenue areas: Mobile data revenue grew 15 percent, while fixed data income rose 11.5 percent.
America Movil generated 34.7 percent of total revenue from wireless voice, 27 percent from wireless data, 16 percent from wireline voice, 13.3 percent from wireline data and 9 percent from payTV.
American Movil has 364.4 million telecom subscribers including 286.8 million wireless, 34 million landline, 22.2 million broadband and 21.4 million payTV users.
America Movil data revenue rose 43 percent in Argentina, Paraguay and Uruguay, 22 percent in Brazil, stable growth in Mexico, 23 percent in Chile, 5.3 percent in Colombia, 9 percent in Ecuador, 16 percent in Peru, 6 percent in Panamá, Costa Rica and the Caribbean Islands, 18 percent in the U.S..
Its third-quarter net profit fell 38 percent to 10.12 billion pesos ($754 million) from 16.38 billion pesos a year earlier as taxes rose and the cost of sales jumped.
America Movil’s tax burden rose by 4.43 billion pesos versus the same quarter last year, while the cost of sales rose 16.157 billion pesos.
The company, which is controlled by the family of billionaire Carlos Slim, is in the midst of a regulatory crackdown in its home market Mexico. In response, in July the company said it would sell a chunk of assets to reach a market share below the 50 percent threshold defined by the regulator.
Baburajan K
editor@telecomlead.com
