America Movil delivered strong fourth-quarter and full-year 2025 results, supported by rising service revenues, expanding 5G and fiber networks, and a sharp jump in net profit fueled by foreign exchange gains. The Latin American telecom giant outlined a disciplined capital strategy and signaled readiness for regional consolidation.
Revenue and EBITDA Show Solid Momentum
America Movil reported Q4 2025 revenue of Mex$244.9 billion, representing a 3.4 percent year-over-year increase. Service revenue grew at 5.3 percent, reflecting strong demand across mobile, broadband, and enterprise segments.
EBITDA reached Mex$94.9 billion, rising 4.2 percent year-over-year. The company maintained a strong EBITDA margin of 38.8 percent as earnings grew faster than revenue, highlighting operating efficiency and cost control initiatives.
Net Profit Jumps Nearly Fivefold
Net profit surged to Mex$19.13 billion, up 350 percent compared with Q4 2024. The increase was largely driven by foreign exchange gains that cut financing costs by nearly half, significantly boosting bottom-line performance.
The company continued to emphasize financial discipline, targeting a net debt-to-EBITDA ratio between 1.3x and 1.5x while returning capital to shareholders.
Subscriber Growth Driven by Postpaid and Broadband
Total accesses exceeded 410 million at the end of 2025, including 331.2 million wireless subscribers and 79.4 million fixed-line revenue generating units.
Mobile growth remained strong:
Added 2.5 million wireless subscribers in Q4
Postpaid additions reached 2.8 million, up 8.4 percent year-over-year
Prepaid base declined by 300,000 users as customers shifted toward higher-value plans
Fixed-line services also expanded, with 524,000 new broadband connections added in the quarter, marking 5.6 percent annual growth.
The company’s strategy of migrating users to 5G and fiber continued to boost revenue quality:
Mobile service revenue grew 6.2 percent
Broadband revenue accelerated to 9.8 percent growth
Capex Focused on 5G and Fiber Expansion
America Movil invested Mex$131 billion in 2025 capital expenditures, equivalent to approximately $7.6 billion. Most of the spending supported 5G deployment and fiber-to-the-home expansion across key markets.
For 2026 and the coming years, management expects capital spending to normalize to 14 percent to 15 percent of revenue, or roughly $6.8 billion to $7.0 billion annually.
Operating expenses increased modestly by 2.8 percent year-over-year to Mex$149.97 billion. The company is using AI and digitalization to streamline operations and maintain EBITDA margins above 38 percent.
Enterprise and Cloud Services Accelerate
America Movil is expanding beyond consumer connectivity into enterprise services. Corporate networks and cloud offerings delivered revenue growth of 12.3 percent in Q4, becoming a key strategic pillar.
This shift reflects growing demand from businesses for managed connectivity, cloud infrastructure, and digital transformation services across Latin America.
Preparing for Telecom Consolidation in Latin America
CEO Daniel Hajj confirmed the company is ready to pursue mergers and acquisitions, particularly among smaller fiber providers. America Movil is reallocating funds originally earmarked for a Chile acquisition toward debt reduction and future deals.
Management expects telecom consolidation to accelerate across the region and aims to be financially prepared to scale through strategic acquisitions.
Outlook: Growth Anchored in 5G, Fiber and Financial Discipline
America Movil enters 2026 with a clear strategy centered on:
Expanding 5G coverage in Mexico, Brazil, and Colombia
Accelerating fiber-to-the-home migration
Growing enterprise and cloud services
Maintaining strong balance sheet discipline
Positioning for regional consolidation opportunities
With rising service revenues, improving margins, and a stronger balance sheet, America Movil is positioning itself to strengthen leadership across Latin America’s evolving telecom and digital services market.
BABURAJAN KIZHAKEDATH