TIM Brasil today said its Capex (capital spending) rose 3 percent to R$3.9 billion in 2013.
Out of this, 90 percent was allocated to telecom infrastructure. Fiber-To-The-Site (FTTS) advances: 95 percent of phase 1 and 2 completed for 35 cities;
TIM Brasil, Brazil’s second-largest wireless phone company, posted a larger-than-expected profit on Thursday as investments in fiber optic lines helped bring down network rental costs.
Fourth-quarter profit at the Brazilian unit of Telecom Italia rose 8 percent from a year earlier to 499 million reais ($207 million.
Still, revenue rose less than expected, advancing largely on sales of loss-leading smartphones in a trend underscoring the competitive pressures and economic headwinds in Brazil.
Net revenue rose 3 percent from a year earlier. Service revenue increased less than 1 percent, while handset sales jumped 19 percent.
TIM managed to hold back operating costs in spite of swelling payrolls and administrative overhead, thanks to recent investments in the backbone of its high-speed data network by the TIM Fiber division. As a result, network and interconnection costs, the largest category of operating expenses, fell 7 percent from a year ago.
Earnings before interest, taxes, depreciation and amortization, a gauge of operating profit known as EBITDA, rose 5 percent to 1.499 billion reais.
TIM Brasil said its postpaid customer base grew 14.6 percent, while voice postpaid grew 20.7 percent.
Voice MOU closed the year with an average of 148, registering an increase of 8.8 percent.
Total Net Revenues grew 6.2 percent to R$19.9 billion, while Net Mobile Service Revenues were up by 3.5 percent.
Gross Data Revenues grew 21.5 percent to R$5.4 billion, supported by increasing smart/webphone penetration, accounting for around 55 percent of total base.
Handset Net Revenues rose 37.4 percent to R$3.2 billion.
Net income rose 4 percent to R$1.5 billion in 2013.
Live TIM customer base reached 60k users, adding 17.7k clients in the 4th quarter. Addressable Households reached above 1 million.
