Brazil's Telefonica posts 13% increase in third-quarter net profit (updated)

Telefonica Brasil, SA

05/11/2024 22:40

(Adds details of the earnings report)
       SAO PAULO, Nov 5 (Reuters) - Brazil's Telefonica
 VIVT3.SA  reported on Tuesday a 13% increase in net profit for
the third quarter compared to the same period last year.
    Telefonica Brasil reported a net profit of 1.67 billion
reais ($290.4 million), versus analysts' expectations of a 1.57
billion real profit.
    
    WHY IT'S IMPORTANT
    The firm, which is controlled by Spain's Telefonica
 TEF.MC , is the largest mobile-phone service provider in Brazil
by total phone lines, according to data from local telecom
regulator Anatel.
        
  
        BY THE NUMBERS
    Net operational revenue increased some 7% in the quarter to
14 billion reais, with revenues from its primary mobile unit
rising nearly 9% on growth in postpaid services.
    Earnings before interest, taxes, depreciation and
amortization (EBITDA) stood at 5.95 billion reais, up 7.4%
year-on-year.

    KEY QUOTES
    The "strong performance" of Telefonica's postpaid business
comes from an increase in clients - both due to new customers
and migrating existing customers over from prepaid services - as
well as annual price hikes, Telefonica Brasil said in the
earnings report.        
($1 = 5.7514 reais)

 (Reporting by Andre Romani in Sao Paulo; Editing by Kylie Madry
and Lincoln Feast.)
 ((Andre.Romani@thomsonreuters.com; 11 991314109;11 56447500;))