amxpr3q15_6k.htm - Generated by SEC Publisher for SEC Filing

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549


FORM 6-K

Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of the
Securities Exchange Act of 1934
 
For the month of October, 2015

Commission File Number: 1-16269
 

AMÉRICA MÓVIL, S.A.B. DE C.V.
(Exact name of registrant as specified in its charter)
America Mobile
(Translation of Registrant´s name into English)
 
Lago Zurich 245
Plaza Carso / Edificio Telcel
Colonia Granada Ampliación 
11529 Mexico, D.F., Mexico
(Address of principal executive office)
 

Indicate by check mark whether the registrant files or will file annual reports
under cover Form 20-F or Form 40-F. 
Form 20-F ___X___ Form 40-F _______

Indicate by check mark if the Registrant is submitting this Form 6-K in paper as
permitted by Regulation S-T Rule 101(b)(1):
Yes _______ No ___X____

Indicate by check mark if the Registrant is submitting this Form 6-K in paper as
permitted by Regulation S-T Rule 101(b)(7):
Yes _______ No ___X____

Indicate by check mark whether the registrant by furnishing the information contained in this Form 6-K is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes _______ No ___X____


 

 

 

América Móvil’s third quarter of
2015 financial and operating report

 

Mexico City, October 19, 2015 - América Móvil, S.A.B. de C.V. (“América Móvil”) [BMV: AMX] [NYSE: AMX] [NASDAQ: AMOV] [LATIBEX: XAMXL], announced today its financial and operating results for the third quarter of 2015.

 

We ended September with 368.2 million access lines, 1.0% more than a year before. This figure includes 288.4 million wireless subscribers, 34.9 million landlines, 23.4 million broadband accesses and 21.6 million PayTV units.

 

Our wireless postpaid base was up 5.1% year-on-year to 61.5 million subscribers. Postpaid net additions were 836 thousand, the majority came from Mexico, Brazil and our European operations.

 

Third quarter revenues were up 1.2% from the prior year to 223.6 billion pesos, bringing the total through September to 663.6 billion pesos. Year to date, EBITDA totaled 203 billion pesos, 5.5% less than a year before in Mexican peso terms.

 

After depreciation and amortization charges that were equivalent to 16% of service revenues—4.9% higher than in the prior year—we obtained an operating profit of 35.2 billion pesos, which was down 17.5% in Mexican peso terms.

 

Our comprehensive financing costs grew to 38.9 billion pesos, mostly reflecting the sharp depreciation that took place in the quarter of the Mexican peso and the Brazilian real relative to the U.S. dollar. Net interest expenses came down by 2.4% year on year and by 10.1% year to date.

 

Our net debt increased by 61.3 billion pesos since December allowing for the reclassification of our stake in KPN from a long term investment valued at cost to an available for sale asset valued at market prices. Our net debt represented 1.8 times LTM EBITDA. It must be noted that upon the spin-off of Telesites our net debt is to be reduced by 21 billion pesos.

 

Through September we funded capital expenditures in the amount of 105.7 billion pesos and shareholder distributions totaling 59.5 billion pesos, including both dividends and share buybacks.

 

América Móvil Fundamentals (IFRS)

 

3Q15

3Q14

EPS (Mex$) (1)

-0.04

0.18

Earning per ADR (US$) (2)

-0.05

0.28

Net Income (millions of Mex$)

-2,884

12,619

Average Shares Outstanding (billion) (3)

66.45

69.10

(1) Net Income / Average Shares outstanding

(2) 20 shares per ADR

(3) All figures in the table reflect retroactively the 2:1 split that became effective on June 29th, 2011

 

 

 

 


 
 

 

Relevant Events

 

On August 25th, our subsidiary Telmex, was notified of the initial phase of certain proceedings initiated by the Federal Telecommunications Institute (“IFT”), to determine alleged violations to its concession and the must-offer rules. The proceedings initiated by the IFT are related to the commercial agreements Telmex has with Dish México and to the internet content provider known as “Uno TV”. Telmex has provided response to the IFT disputing the alleged violations. AMX strongly believes that Telmex is in full compliance with the terms of its concessions.

 

We issued a mandatory exchangeable bond in the amount of 750 million euros on September 9th. The transaction has a 3 year tenor and carries a coupon of 5.5%.  Upon maturity the bond will be exchanged for KPN shares at a price of 3.34 euros per share. America Movil will get the full benefit of any price increase up to 27.5% of the above-mentioned price (4.26 euros per share). 

 

Access Lines

 

We ended September with 368.2 million access lines, 1.0% more than a year before. This figure includes 288.4 million wireless subscribers, 34.9 million landlines, 23.4 million broadband accesses and 21.6 million PayTV units.

 

We registered net disconnections of 401 thousand wireless subscribers in the third quarter resulting in a 0.4% decline of our subscriber base relative to 2014. Our fixed RGUs have increased 1.8% driven by the growth of broadband accesses, which expanded 3.6% relative to December of last year.

 

Brazil and Mexico make up almost 55% of the total base; the former reached 107.1 million access lines while the latter had 94.7 million access lines at the end of September.

 

América Móvil’s Subsidiaries as of September 2015

 

Country

Brand

Business

Equity

Participation

Consolidation Method

Mexico

Telcel

wireless

100.0%

Global Consolidation Method

 

Telmex

wireline

98.7%

Global Consolidation Method

 

Sección Amarilla (1)

other

98.4%

Global Consolidation Method

 

Telvista

other

89.4%

Global Consolidation Method

Argentina

Claro

wireless

100.0%

Global Consolidation Method

 

Telmex

wireline

99.7%

Global Consolidation Method

Brazil

Claro

wireless/wireline

96.1%

Global Consolidation Method

Chile

Claro

wireless

100.0%

Global Consolidation Method

 

Telmex(1)

wireline

100.0%

Global Consolidation Method

Colombia

Claro

wireless

99.4%

Global Consolidation Method

 

Telmex

wireline

99.3%

Global Consolidation Method

Costa Rica

Claro

wireless

100.0%

Global Consolidation Method

Dominicana

Claro

wireless/wireline

100.0%

Global Consolidation Method

Ecuador

Claro

wireless

100.0%

Global Consolidation Method

 

Telmex(1)

wireline

98.4%

Global Consolidation Method

El Salvador

Claro

wireless/wireline

95.8%

Global Consolidation Method

Guatemala

Claro

wireless/wireline

99.3%

Global Consolidation Method

Honduras

Claro

wireless/wireline

100.0%

Global Consolidation Method

Nicaragua

Claro

wireless/wireline

99.6%

Global Consolidation Method

Panama

Claro

wireless/wireline

100.0%

Global Consolidation Method

Paraguay

Claro

wireless/wireline

100.0%

Global Consolidation Method

Peru

Claro

wireless/wireline

100.0%

Global Consolidation Method

Puerto Rico

Claro

wireless/wireline

100.0%

Global Consolidation Method

Uruguay

Claro

wireless/wireline

100.0%

Global Consolidation Method

USA

Tracfone

wireless

98.2%

Global Consolidation Method

Netherlands

KPN

wireless/wireline

21.1%

None (2)

Austria

Telekom Austria

wireless/wireline

59.7%

Global Consolidation Method

(1) Equity Participation of Telmex Internacional of which América Móvil owns 97.82%.

(2) Since May, it is deemed to be available for sale, there is no proportional consolidation.

 


 
 

 

Wireless Subscribers

 

We finished September with 288.4 million subscribers after net disconnections of 401 thousand clients in the quarter, having disconnected 849 thousand prepaid subscribers in Brazil—partly as a result of the economic downturn—, 650 thousand in Ecuador and 439 thousand in Colombia that were not generating traffic. Net additions came in at 399 thousand in Central America, 361 thousand in Mexico, 413 thousand in Argentina and 147 thousand in Chile.

 

Our wireless postpaid base was up 5.1% year-on-year to 61.5 million subscribers. Postpaid net additions were 836 thousand—17.9% more than a year before— of which 344 thousand came from Mexico and 181 thousand from Brazil.

 

Chile was our fastest growing operation in relative terms with an 8.4% annual growth rate followed by Central America, which increased 5.7%, and Mexico with 3.6%.

 

Wireless Subscribers as of September 2015

 

Total(1) (Thousands)

Country

Sep'15

Jun'15

Var.%

Sep'14

Var.%

Argentina, Paraguay and Uruguay

22,075

21,661

1.9%

22,004

0.3%

Austria & CEE

20,192

20,005

0.9%

19,903

1.4%

Brazil

70,353

71,202

-1.2%

69,636

1.0%

Central America*

15,120

14,720

2.7%

14,309

5.7%

Caribbean

5,225

5,193

0.6%

5,018

4.1%

Chile

6,152

6,005

2.5%

5,677

8.4%

Colombia

28,931

29,370

-1.5%

29,291

-1.2%

Ecuador

9,273

9,923

-6.6%

12,280

-24.5%

Mexico

72,994

72,633

0.5%

70,474

3.6%

Peru

12,354

12,370

-0.1%

12,338

0.1%

USA

25,726

25,713

0.1%

25,904

-0.7%

Total Wireless Lines

288,395

288,796

-0.1%

286,834

0.5%

(1) Includes total subscribers of all companies in which América Móvil holds an economic interest; does not consider the date in which the companies started being consolidated. *Central America includes Panama and Costa Rica in every table.

 

 

 

 

 


 
 

 

Fixed Revenue Generating Units

 

We had 79.8 million RGUs, 2.9% more than in the same period of last year after net additions of 945 thousand net RGUs in the quarter, which include 591 thousand broadband accesses and 262 thousand fixed lines. The fixed broadband base increased 5.4% over the year and the number of fixed lines rose 2.4%.  PayTV was up 1.0% in annual terms after adding 92 thousand new units in the period.

 

Altogether, our operations in South America posted an annual growth of 4.3%, with Colombia growing 10.2% and Ecuador and Peru rising 11.4% and 12.0% respectively, although from a small base.

 

Brazil concentrates nearly half of our fixed RGUs, 46%, Mexico accounts for 27%, Colombia 7%, and both Central America and Europe approximately 6%.

 

Fixed-Line and Other Accesses (RGUs) as of September 2015

 

Total (Thousands)

Country

Sep'15

Jun'15

Var.%

Sep'14

Var.%

Argentina, Paraguay and Uruguay

579

581

-0.3%

593

-2.4%

Austria & CEE

4,769

4,509

5.8%

4,369

9.2%

Brazil

36,766

36,516

0.7%

35,564

3.4%

Central America

4,851

4,763

1.9%

4,528

7.1%

Caribbean

2,471

2,431

1.6%

2,317

6.7%

Chile

1,232

1,229

0.3%

1,236

-0.3%

Colombia

5,719

5,583

2.4%

5,188

10.2%

Ecuador

374

368

1.6%

336

11.4%

Mexico

21,709

21,606

0.5%

22,242

-2.4%

Peru

1,343

1,289

4.2%

1,199

12.0%

Total RGUs

79,815

78,875

1.2%

77,572

2.9%

*Fixed Line, Broadband and Television (Cable & DTH)

 

 

 

 


 
 

 

América Móvil Consolidated Results

 

The expectation throughout much of the third quarter that the Fed would lift interest rates before the end of September brought about renewed volatility in the capital markets. The fear that such move would lead to more capital flowing back to the U.S. from emerging markets caused a new wave of currency depreciations in the region and partly curtailed the access that emerging markets issuers had to the debt capital markets in the U.S. Signs of renewed economic weakness in China, while dispensing with some of the fears regarding an interest rate increase by the Fed, spooked markets further, particularly when China decided to depreciate slightly its currency.

 

Against this backdrop, third quarter revenues were up 1.2% from the prior year to 223.6 billion pesos, bringing the total through September to 663.6 billion pesos. At constant exchange rates service revenues were down 0.6% from the year-earlier quarter, a figure that was almost identical to the one observed in the second quarter. Voice revenues—both mobile and fixed—continued to decline in relation to service revenues. Data revenue growth accelerated in the third quarter in relation to the precedent one: it was 10.7% and 7.0% in the mobile and fixed platforms, respectively.

 

EBITDA amounted to 66.7 billion pesos in the quarter; it was down 8.2% year-on-year in Mexican peso terms, which partly reflects the depreciation of certain currencies, including the Brazilian real and the Colombian peso, in relation to the Mexican peso. Year to date, EBITDA totaled 203 billion pesos, 5.5% less than a year before in Mexican peso terms. Part of the reduction in EBITDA was due to certain extraordinary items in Puerto Rico and Ecuador and the fact that the prior year Austria had booked an extraordinary revenue.

 

Central America has emerged as the fastest growing region followed by the South American block and has actually increased its rate of growth over the last few quarters in contrast to the experience of South America, that has seen a declining one on account of the economic slowdown and the fall of commodity prices.

 

América Móvil’s Income Statement (IFRS) Pro-forma* Millions of Mexican pesos

 

 

 

 

3Q15

3Q14

Var.%

Jan-Sep 15

Jan-Sep 14

Var.%

Service Revenues

196,593

198,641

-1.0%

584,156

588,234

-0.7%

Equipment Revenues

27,011

22,243

21.4%

79,483

66,294

19.9%

Total Revenues

223,604

220,884

1.2%

663,639

654,528

1.4%

Cost of Service

68,697

67,674

1.5%

202,201

197,746

2.3%

Cost of Equipment

35,567

29,535

20.4%

103,911

93,829

10.7%

Selling, General & Administrative Expenses

50,367

48,247

4.4%

148,440

141,025

5.3%

Others

2,240

2,701

-17.1%

5,773

6,843

-15.6%

Total Costs and Expenses

156,870

148,157

5.9%

460,324

439,444

4.8%

EBITDA

66,734

72,727

-8.2%

203,315

215,084

-5.5%

% of Total Revenues

29.8%

32.9%

 

30.6%

32.9%

 

Depreciation & Amortization

31,566

30,100

4.9%

94,087

96,489

-2.5%

EBIT

35,168

42,627

-17.5%

109,228

118,595

-7.9%

% of Total Revenues

15.7%

19.3%

 

16.5%

18.1%

 

Net Interest Expense

6,924

7,096

-2.4%

18,864

20,993

-10.1%

Other Financial Expenses

-13,148

-5,766

-128.0%

-20,631

7,179

-387.4%

Foreign Exchange Loss

45,105

8,970

n.m.

75,873

5,771

n.m.

Comprehensive Financing Cost (Income)

38,881

10,300

277.5%

74,105

33,943

118.3%

Income & Deferred Taxes

-1,618

15,167

-110.7%

12,887

37,382

-65.5%

Net Income before Minority

Interest and Equity Participation in Results of Affiliates

-2,094

17,160

-112.2%

22,236

47,270

-53.0%

Equity Participation in Results of Affiliates**

-22

-3,484

99.4%

-1,410

-4,347

67.6%

Minority Interest

-768

-1,057

27.4%

-1,434

633

-326.7%

Net Income

-2,884

12,619

-122.9%

19,392

43,555

-55.5%

* All periods include Telekom Austria

Group results pro-forma

** Includes KPN

n.m. Not meaningful

 

 

 

 

 

 

 


 
 

 

After depreciation and amortization charges that were equivalent to 16% of service revenues—slightly higher than in the prior year—we obtained an operating profit of 35.2 billion pesos. Our comprehensive financing costs grew to 38.9 billion pesos, mostly reflecting the sharp depreciation that took place in the quarter of the Mexican peso and the Brazilian real relative to the U.S. dollar. Net interest expenses came down by 2.4% year on year and by 10.1% year to date.

 

Notwithstanding the negative income tax provision in the quarter of 1.6 billion pesos we posted a net loss of 2.9 billion pesos.

 

The foreign exchange losses incurred have not had an impact on cash flows. They partly originate in intercompany financing positions. In relation to the debt of the company, it is to be said that it has a long term profile with an average life of more than ten years. It poses limited refinancing requirements.

 

Balance Sheet (in accordance with IFRS) - América Móvil Consolidated Millions of Mexican Pesos

 

Sep '15

Dec '14

Var.%

 

Sep '15

Dec '14

Var%

Current Assets

 

 

 

 

Current Liabilities

 

 

 

Cash & Securities

71,417

61,584

16.0%

 

Short Term Debt**

124,041

57,806

114.6%

Other Short Term Investments

53,506

4,890

n.m.

 

Accounts Payable

239,602

254,000

-5.7%

Accounts Receivable

187,135

168,120

11.3%

 

Other Current
Liabilities

59,496

67,106

-11.3%

Other Current Assets

20,212

17,884

13.0%

 

 

423,138

378,912

11.7%

Inventories

34,593

35,930

-3.7%

 

 

 

 

 

 

366,864

288,408

27.2%

 

 

 

 

 

Non Current Assets

 

 

 

 

Non Current Liabilities

 

 

 

Plant & Equipment

558,722

595,596

-6.2%

 

Long Term Debt

599,424

545,949

9.8%

Investments in Affiliates

3,796

49,263

-92.3%

 

Other Liabilities

119,625

118,857

0.6%

 

 

 

 

 

 

719,049

664,806

8.2%

Deferred Assets

 

 

 

 

 

 

 

 

Goodwill (Net)

136,348

140,903

-3.2%

 

 

 

 

 

Intangible Assets

100,591

95,009

5.9%

 

Shareholder's Equity

152,852

234,639

-34.9%

Deferred Assets

128,719

109,177

17.9%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Assets

1,295,040

1,278,357

1.3%

 

Total Liabilities

and Equity

1,295,040

1,278,357

1.3%

* Results include Telekom Austria Pro-forma.
** Includes current portion of Long Term Debt.
n.m. Not meaningful

 

 

 


 
 

 

 

 

Our net debt increased by 61.3 billion pesos since December allowing for the reclassification of our stake in KPN from a long term investment valued at cost to an available for sale asset valued at market prices. Our net debt represented 1.8 times LTM EBITDA. It must be noted that upon the spin-off of Telesites our net debt is to be reduced by 21 billion pesos. At the end of September we had already deducted 14.2 billion pesos from the “other short term investments” line item on account of the sale of KPN shares that took place through the mandatory bond placed in September.

 

Through September we funded capital expenditures in the amount of 105.7 billion pesos and shareholder distributions totaling 59.5 billion pesos, including both dividends and share buybacks.

 

Financial Debt of América Móvil* Millions of U.S. dollars equivalent

 

Dec-14

Sep-15

Peso - denominated debt

5,783

7,070

Bonds and other securities

5,762

6,024

Banks and others

21

1,046

U.S. Dollar - denominated debt

16,026

14,693

Bonds and other securities

15,727

12,670

Banks and others

299

2,023

Debt denominated in other currencies

18,712

20,413

Bonds and other securities

17,657

19,562

Banks and others

1,055

851

Total Debt**

40,521

42,176

*This chart does not include the effect of forwards and derivatives used to hedge the foreign exchange exposure.

*It includes full face value of the 3 hybrid securities issued by AMX. Rating agencies only consider 50% of the face value of these hybrids as debt.

**Pro-forma for the spin-off of Telesites the total debt would be 40,903 million dollars.

 

 

 

 


 
 

 

 

Mexico

 

Our Mexican operations ended the quarter with 73 million wireless subscribers and 21.7 million fixed-RGUs. We gained 361 thousand new wireless subscribers in the quarter, substantially all of which were postpaid subs, and added 103 thousand RGUs on the fixed-line platform on the back of an 122 thousand increase in the number of broadband accesses. Our postpaid subscriber base was up 10.9% from the year before to 10.9 million subs.

 

Third quarter revenues from our Mexican operation came in at 68.1 billion pesos. Although service revenues were down 5.7% from the year-earlier quarter, the rate of decline was smaller than in the prior quarter (-7.5%). The acceleration of mobile data revenues was key in the stabilization of Mexico’s service revenues and is being driven by an increase in smartphone penetration. The expansion of data revenues on both the fixed and mobile platforms has brought about a lower share of voice revenues in our service revenues: it stands now at approximately 46%.

 

EBITDA was down 9.5% to 27.4 billion pesos, with the EBITDA margin falling to 40.3% from 44.8% a year before. We remain focused on cost contention and reduction.

 

The Mexican telecommunications market has undergone significant change as a consequence of the Telecommunications Reform. A major one has to do with the competitive landscape, with two major international players—AT&T, the largest in the world, and Telefónica, the largest in Iberoamérica—drumming up their investment efforts and presence in the market. There is more intense and effective competition in the Mexican market, as our competitors themselves have asserted.  On this account America Movil should not be in a position to subsidise our competitors by way of asymmetric interconnection rates and other regulatory asymmetries.  In addition it is of the essence that AMX be granted the concession to offer PayTV services to continue to increase competitiveness in the market.

 

We have upgraded significant parts of our network to the newest technologies, and have continued to expand our 4G LTE footprint and fiber-optic networks throughout the country. We have today more than 213 thousand kilometers of fiber across Mexico. Our fiber-optic network is closer to the home and to the nodes to ensure higher data speeds and a greater variety of services. 

 

We have introduced new commercial plans that address our client’s needs for connectivity.  It is the case, among others, of our our Sin Fronteras plan introduced in July that enables Telcel’s clients to call the US with no long distance fees and to use their mobile phone while in the US as if they were in Mexico, without roaming charges and long distance tariffs. The market has followed our lead and this type of plan is becoming widely used by Mexican consumers.

 

INCOME STATEMENT (IFRS) - Mexico Millions of MxP

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

68,138

67,658

0.7%

202,759

205,200

-1.2%

Total Service Revenues

55,344

58,701

-5.7%

166,190

177,581

-6.4%

Wireless Revenues

44,443

42,960

3.5%

132,464

132,181

0.2%

Service Revenues

33,162

34,279

-3.3%

100,426

105,017

-4.4%

Equipment Revenues

11,131

7,472

49.0%

31,720

23,183

36.8%

Fixed Line and Other Revenues

25,369

26,579

-4.6%

75,028

79,090

-5.1%

EBITDA

27,442

30,325

-9.5%

83,409

90,819

-8.2%

% total revenues

40.3%

44.8%

 

41.1%

44.3%

 

EBIT

20,975

23,982

-12.5%

64,040

71,977

-11.0%

%

30.8%

35.4%

 

31.6%

35.1%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

 

Mexico Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

72,994

70,474

3.6%

Postpaid

10,866

9,795

10.9%

Prepaid

62,128

60,679

2.4%

MOU

263

265

-1.0%

ARPU (MxP)

152

166

-8.6%

Churn (%)

3.9%

4.2%

(0.3)

Revenue Generating Units (RGUs) *

21,709

22,242

-2.4%

* Fixed Line and Broadband

 


 
 

 

Argentina, Paraguay and Uruguay

 

After adding 413 thousand clients in the third quarter we ended September with 22.1 million wireless subscribers. On the fixed line platform we had 579 thousand fixed RGUs.

 

Third quarter revenues, 7.2 billion Argentinean pesos, were 12.9% higher than in the prior year. Wireless service revenues rose 22.5% and equipment revenues declined 9.9%. Smartphone sales and data plans continued to drive mobile data revenues, up 33.5% year-on-year; they now account for 50.2% of our service revenues. Fixed line revenues of 440 million Argentinean pesos were up 5.2%.

 

EBITDA rose by 21.7% to 2.6 billion Argentinean pesos. The EBITDA margin stood at 35.3% of revenues, 2.5 percentage points more than a year before on the back of operational efficiencies.

 

We continued with the rollout of our 4G LTE network in the main cities to provide higher data speeds and a better connectivity experience for our clients.

 

INCOME STATEMENT (IFRS) - Argentina, Paraguay & Uruguay Millions of ARP

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

7,238

6,409

12.9%

20,703

17,380

19.1%

Total Service Revenues

5,790

4,802

20.6%

16,305

13,342

22.2%

Wireless Revenues

6,835

6,024

13.5%

19,517

16,295

19.8%

Service Revenues

5,382

4,395

22.5%

15,129

12,244

23.6%

Equipment Revenues

1,450

1,610

-9.9%

4,385

4,026

8.9%

Fixed Line and Other Revenues

440

418

5.2%

1,294

1,195

8.3%

EBITDA

2,555

2,099

21.7%

7,166

5,634

27.2%

% total revenues

35.3%

32.8%

 

34.6%

32.4%

 

EBIT

2,022

1,757

15.1%

5,718

4,658

22.8%

%

27.9%

27.4%

 

27.6%

26.8%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

 

 

Argentina, Paraguay & Uruguay Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

22,075

22,004

0.3%

Postpaid

2,668

2,838

-6.0%

Prepaid

19,407

19,167

1.3%

MOU

116

139

-16.7%

ARPU (ARP)

82

67

23.2%

Churn (%)

1.7%

2.2%

(0.4)

Revenue Generating Units (RGUs) *

579

593

-2.4%

* Fixed Line, Broadband and PayTV.

 

 


 
 

 

Brazil

 

We added 181 thousand postpaid subscribers and disconnected 1.0 million prepaid subscribers in the third quarter to finish the period with 70.3 million subscribers, 16.1 million of which are postpaid clients.  Our postpaid subscriber base was up 6.0% year-on-year. On the fixed-line platform we increased our RGUs by 250 thousand clients to 36.8 million, 3.4% more than a year before.

 

Our revenues totaled 9.1 billion reais, with service revenues rising 1.7% year-on-year. The rate of growth of service revenues has exhibited a declining trend over the last quarter very much driven by the economic downturn in the country. Service revenue growth continued to be led by mobile data services, at 24%, with fixed-broadband revenues expanding 8.9% and PayTV revenues climbing 8.1% from the prior year. Voice revenues (fixed and mobile) stabilized in relation to service revenues, at approximately 34%.

 

Supported by a 2.6 point margin expansion, EBITDA rose 12.4%, as the EBITDA margin topped 27%. Year-to-date EBITDA totaled 7.3 billion reais; it was up 8.9% year-on-year. Several initiatives on cost reduction, the integration of the three entities operating in Brazil and the completion of several of the investment works that had been in process for some time are behind many of the EBITDA gains.

 

INCOME STATEMENT (IFRS) - Brazil Millions of BrL

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

9,064

8,947

1.3%

27,172

26,413

2.9%

Total Service Revenues

8,809

8,658

1.7%

26,253

25,425

3.3%

Wireless Revenues

2,930

3,030

-3.3%

9,022

9,188

-1.8%

Service Revenues

2,681

2,754

-2.6%

8,126

8,224

-1.2%

Equipment Revenues

249

278

-10.2%

896

955

-6.2%

Fixed Line and Other Revenues

6,134

5,917

3.7%

18,150

17,225

5.4%

EBITDA

2,461

2,190

12.4%

7,282

6,686

8.9%

% total revenues

27.1%

24.5%

 

26.8%

25.3%

 

EBIT

450

326

38.0%

1,351

1,286

5.1%

%

5.0%

3.6%

 

5.0%

4.9%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

 

 

Brazil Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

70,353

69,636

1.0%

Postpaid

16,137

15,221

6.0%

Prepaid

54,216

54,415

-0.4%

MOU

97

122

-20.2%

ARPU (BrL)

13

15

-14.6%

Churn (%)

3.5%

3.3%

0.2

Revenue Generating Units (RGUs) *

36,766

35,564

3.4%

* Fixed Line, Broadband and Television

 

 


 
 

 

Chile

 

After adding 147 thousand wireless subscribers in the third quarter, our base reached 6.2 million subs at the end of September, 8.4% more than in the prior year. On the fixed platform we had 1.2 million RGUs.

 

Total revenues remained practically unchanged at 185.5 billion Chilean pesos, with service revenues increasing 2.3% year-on-year on the back of fixed data revenues that expanded 28.7% and wireless data revenues, up 13.5%. Voice revenues fell on both platforms and now represent approximately 41% of service revenues, down from 50% 18 months before. It is noteworthy that the annual comparison of wireless revenues is affected by regulatory changes implemented in the last quarter of 2014 related to the way we account for voice and data revenues from postpaid contracts.

 

EBITDA declined 23.8% from the prior year to 11.2 billion Chilean pesos, and was equivalent to 6.0% of revenues.

 

In the third quarter we were handed 20MHz of spectrum in the 700MHz frequency that we won in an auction in February 2014 to continue with our 4G LTE rollout.

 

INCOME STATEMENT (IFRS) - Chile Millions of ChPL

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

185,461

185,430

0.0%

555,841

543,902

2.2%

Total Service Revenues

163,817

160,146

2.3%

483,038

480,193

0.6%

Wireless Revenues

122,797

126,952

-3.3%

370,767

369,675

0.3%

Service Revenues

101,136

101,761

-0.6%

298,206

306,297

-2.6%

Equipment Revenues

21,644

25,284

-14.4%

72,803

63,708

14.3%

Fixed Line and Other Revenues

68,041

62,391

9.1%

200,547

182,653

9.8%

EBITDA

11,197

14,701

-23.8%

32,304

39,489

-18.2%

% total revenues

6.0%

7.9%

 

5.8%

7.3%

 

EBIT

-41,346

-30,380

-36.1%

-122,395

-99,447

-23.1%

%

-22.3%

-16.4%

 

-22.0%

-18.3%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

 

 

Chile Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

6,152

5,677

8.4%

Postpaid

1,422

1,353

5.1%

Prepaid

4,730

4,323

9.4%

MOU

149

171

-12.8%

ARPU (ChP)

5,617

4,899

14.7%

Churn (%)

5.3%

5.6%

(0.4)

Revenue Generating Units (RGUs) *

1,232

1,236

-0.3%

* Fixed Line, Broadband and Television

 

 

 


 

 

Colombia

 

We finished the quarter with 28.9 million wireless subscribers after net disconnections of 439 thousand subs in the period, all of which were prepaid clients. In the contract segment we had a slight increase of our client base, which reached 5.8 million subs. On the fixed platform RGUs were up 10.2% year-on-year to 5.7 million, of which 1.9 million are broadband accesses, up 17.0% annually; 1.5 million are landlines, 14.5% more than a year before; and 2.2 million are PayTV units, 2.5% more than in 2014.

 

Total revenues of 2.8 billion Colombian pesos were 1.7% greater than in the year-earlier quarter, although service revenues declined 4.2%. Every business line other than wireless voice is posting double-digit revenue growth. On the fixed line platform data revenues rose 22.8% followed by PayTV revenues that expanded 15.8% and fixed-voice revenues that were up 12.8%. On the mobile platform data revenues rose 10.6% in a market with tight smartphone penetration but voice revenues fell as a result of more competition and as subscribers migrated to lower-priced plans in light of the economic downturn.

 

EBITDA was 2.7% lower than a year before at 1.1 trillion Colombian pesos. The EBITDA margin stood at 38.2% of revenues, slightly lower than in the precedent quarter but 1.7 percentage points lower than a year before.

 

INCOME STATEMENT (IFRS) - Colombia Billions of COP

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

2,810

2,763

1.7%

8,461

8,341

1.4%

Total Service Revenues

2,265

2,365

-4.2%

6,850

7,125

-3.8%

Wireless Revenues

2,143

2,171

-1.3%

6,524

6,604

-1.2%

Service Revenues

1,593

1,761

-9.5%

4,879

5,354

-8.9%

Equipment Revenues

540

398

35.5%

1,606

1,217

32.0%

Fixed Line and Other Revenues

686

596

15.2%

1,984

1,739

14.1%

EBITDA

1,073

1,103

-2.7%

3,275

3,367

-2.7%

% total revenues

38.2%

39.9%

 

38.7%

40.4%

 

EBIT

672

746

-10.0%

2,105

2,304

-8.7%

%

23.9%

27.0%

 

24.9%

27.6%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

 

 

Colombia Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers* (thousands)

28,931

29,291

-1.2%

Postpaid

5,827

5,815

0.2%

Prepaid

23,104

23,475

-1.6%

MOU

207

224

-7.3%

ARPU (COP)

18,087

20,038

-9.7%

Churn (%)

4.5%

3.8%

0.7

Revenue Generating Units (RGUs)**

5,719

5,188

10.2%

*Due to differences in the policy for accounting active subscribers, the figures in this report are different from those published by the Ministry of Communications of Colombia (MinTIC).** Fixed Line, Broadband and Television

** Fixed Line, Broadband and Television

 


 
 

 

Ecuador

 

Our subscriber base was down 24.5% over the year to 9.3 million subs following a clean-up of 650 thousand prepaid subscribers that were not generating traffic. Our postpaid base increased 3.9% relative to the prior year and reached 2.5 million contract lines. On the fixed platform we ended the quarter with 374 thousand RGUs, 11.4% more than a year before.

 

The quarter’s revenues were down 7.7% to 396 million dollars, with service revenues falling 9.0% relative to the year-earlier quarter. Wireless voice revenues came down 12.7% as a consequence of promotions that resulted in a sharp decline in voice prices of almost 30% in annual terms, as the economic downturn in the country has sharply curtailed consumer spending. Mobile data revenues fell 5.8% while fixed-line revenues were 0.8% lower as fixed data and PayTV revenues failed to compensate for the decline in fixed voice revenues.

 

The quarter’s EBITDA came in at 115 million dollars, a contraction of 43.4% year-on-year mostly to do with the booking of a new tax levied on wireless service revenues that amounted to 40 million dollars for the period February-August and was all booked in the quarter. (The tax rate is a function of market share and we are currently obliged to pay 5% of service revenues.) The EBITDA decline also reflected a more competitive environment in the midst of an economic recession that brought about revenue declines and also higher subscriber acquisition costs. The EBITDA margin was equivalent to 29.0% of revenues.

 

We launched a 4GLTE network in the main cities in Ecuador. The new platform will allow us to be much more competitive in terms of quality and speeds for data.

 

INCOME STATEMENT (IFRS) - Ecuador Millions of Dollars

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

396

429

-7.7%

1,212

1,289

-5.9%

Total Service Revenues

348

382

-9.0%

1,064

1,139

-6.5%

Wireless Revenues

383

416

-7.9%

1,172

1,249

-6.1%

Service Revenues

335

369

-9.3%

1,026

1,101

-6.7%

Equipment Revenues

48

47

3.4%

146

149

-1.7%

Fixed Line and Other Revenues

16

16

-0.8%

48

47

2.4%

EBITDA

115

203

-43.4%

463

594

-21.9%

% total revenues

29.0%

47.2%

 

38.2%

46.1%

 

EBIT

64

154

-58.6%

311

447

-30.5%

%

16.1%

35.9%

 

25.6%

34.7%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

 

 

Ecuador Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

9,273

12,280

-24.5%

Postpaid

2,513

2,418

3.9%

Prepaid

6,759

9,862

-31.5%

MOU

187

144

29.9%

ARPU (US$)

12

10

15.8%

Churn (%)

5.9%

2.6%

3.3

Revenue Generating Units (RGUs) *

374

336

11.4%

* Fixed Line, Broadband and Television

 

 

 


 
 

 

Peru

 

During the third quarter we had 72 thousand net disconnections on the prepaid platform and 56 thousand net additions in the postpaid one, ending the period with 12.4 million wireless subscribers. Our postpaid base was up 5.2% from the year-earlier quarter. In addition to our wireless clients we had 1.3 million fixed-RGUs, 12.0% more than a year before.

 

Third quarter revenues, up 0.4% year-on-year, totaled 1.3 billion soles with service revenues practically flat. Data revenues increased 17.6% on the wireless platform having accelerated from the prior two quarters, with fixed-data revenues expanding 19.5% (from a lower base) and PayTV revenues 9.9%. Wireless voice revenues fell 12.4%: aggressive airtime promotions and a 63% cut in termination rates effective April 1st brought down the average price per minute of voice by 22.0% year-on-year. Although they have declined somewhat, voice revenues (fixed and mobile) still represent approximately 55% of service revenues.

 

EBITDA came in at 353 million soles. It was down 26.9% relative to the prior year but up 7.5% sequentially. EBITDA has been hit by the mobile termination rate cut, by the competitive dynamics that led to higher subscriber acquisition and retention costs and by the depeciation of the peruvian sol versus the US dollar.

 

INCOME STATEMENT (IFRS) - Peru Millions of Soles

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

1,338

1,332

0.4%

3,992

3,887

2.7%

Total Service Revenues

1,146

1,147

-0.1%

3,479

3,384

2.8%

Wireless Revenues

1,138

1,152

-1.2%

3,408

3,368

1.2%

Service Revenues

938

961

-2.5%

2,877

2,853

0.8%

Equipment Revenues

190

183

4.0%

507

495

2.4%

Fixed Line and Other Revenues

200

180

10.9%

584

520

12.3%

EBITDA

353

483

-26.9%

1,081

1,457

-25.8%

% total revenues

26.4%

36.3%

 

27.1%

37.5%

 

EBIT

192

330

-41.7%

616

1,005

-38.7%

%

14.4%

24.8%

 

15.4%

25.8%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

 

 

Peru Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

12,354

12,338

0.1%

Postpaid

3,990

3,795

5.2%

Prepaid

8,363

8,543

-2.1%

MOU

163

145

12.3%

ARPU (Sol)

25

26

-3.3%

Churn (%)

4.6%

4.4%

0.2

Revenue Generating Units (RGUs) *

1,343

1,199

12.0%

* Fixed Line, Broadband and Television

 

 

 


 
 

 

Central America

 

Our operations in the Central American block ended the quarter with 15.1 million wireless subscribers after net additions of 400 thousand subs—a fifth of which were postpaid— that brought about an annual increase of 5.7% of our wireless base. On the fixed platform we had 4.9 million RGUs, 7.1% more than a year before, having added 89 thousand new fixed RGUs in the quarter including 70 thousand broadband accesses.

 

Total revenues were up 8.3% year-on-year to 548 million dollars. Wireless voice is the main driver of growth, with an annual increase of 15.2%, followed by wireless data at 5.9%, while PayTV and wireline data were up 5.4% and 5.3% respectively.

 

The quarter’s EBITDA, 182 million dollars continued with its double-digit growth increasing 14.1% on an annual basis, and the EBITDA margin was up 1.7 percentage points to 33.3%.

 

INCOME STATEMENT (IFRS) - Central America Millions of Dollars

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

548

506

8.3%

1,609

1,488

8.2%

Total Service Revenues

513

478

7.3%

1,512

1,405

7.6%

Wireless Revenues

368

326

12.8%

1,072

958

11.9%

Service Revenues

332

298

11.3%

972

875

11.2%

Equipment Revenues

35

27

26.8%

96

82

17.6%

Fixed Line and Other Revenues

182

182

0.4%

545

536

1.7%

EBITDA

182

160

14.1%

538

459

17.3%

% total revenues

33.3%

31.6%

 

33.4%

30.8%

 

EBIT

25

-5

n.m.

82

-19

n.m.

%

4.6%

-1.0%

 

5.1%

-1.3%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

n.m. Not meaningful

 

 

Central America Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

15,120

14,309

5.7%

Postpaid

2,144

1,843

16.3%

Prepaid

12,975

12,466

4.1%

MOU

187

186

0.3%

ARPU (US$)

8

7

6.8%

Churn (%)

5.7%

5.7%

(0.1)

Revenue Generating Units (RGUs) *

4,851

4,528

7.1%

* Fixed Line, Broadband and Television

 

 


 
 

 

Caribbean

 

We ended September with 5.2 million wireless subs, an increase of 4.1% compared to the prior year. Although from a small base, our postpaid segment increased 8.0% annually, while the prepaid one was up 2.5%. On the fixed platform, we had net additions of 45 thousand RGUs in the quarter, with PayTV representing almost half of them and growing 24.2% year over year.

 

Third quarter revenues of 464 million dollars were down 3.8% year-on-year. On the wireless segment, revenues decreased 6.5% mostly due to a lower consumption in the voice side, while increasing data consumption at a lower cost. Fixed line revenues remained almost flat compared to the year before, stood at 215 million dollars.

 

EBITDA was down 27.2% to 134 million dollars, due to one-offs in Puerto Rico, while the increase in Dominican Republic was not enough to offset the decline.

 

INCOME STATEMENT (IFRS) - Caribbean Millions of Dollars

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

464

482

-3.8%

1,401

1,454

-3.6%

Total Service Revenues

440

462

-4.7%

1,333

1,390

-4.1%

Wireless Revenues

249

266

-6.5%

763

802

-4.9%

Service Revenues

230

251

-8.2%

710

756

-6.2%

Equipment Revenues

19

16

21.2%

55

48

14.7%

Fixed Line and Other Revenues

215

216

-0.5%

638

651

-2.0%

EBITDA

134

183

-27.2%

436

537

-18.7%

% total revenues

28.8%

38.1%

 

31.1%

36.9%

 

EBIT

51

90

-44.0%

186

259

-28.3%

%

10.9%

18.7%

 

13.3%

17.8%

 

*Total Revenues reflect eliminations derived from both the overlap of fixed and mobile operations as well as international intercompany transactions; Wireless Revenues and Fixed Line and Other Revenues only exclude intercompany transactions with foreign subsidiaries. The sum of the parts will not equal Total Revenues.

 

 

Caribbean Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

5,225

5,018

4.1%

Postpaid

1,630

1,509

8.0%

Prepaid

3,596

3,509

2.5%

MOU

288

289

-0.3%

ARPU (US$)

15

15

-0.1%

Churn (%)

3.5%

8.2%

(0.6)

Revenue Generating Units (RGUs) *

2,471

2,317

6.7%

* Fixed Line, Broadband and Television

 

 


 
 

 

United States

 

Tracfone ended September with 25.7 million clients, slightly less, 0.7%, than a year before. Our brands StaightTalk, SafeLink and our new brand Total Wireless have shown solid growth whereas our legacy brands registered client disconnections.

 

The quarter’s revenues, 1.7 billion dollars were down 0.2% with service revenues practically flat year-on-year. Our EBITDA came in at 105 million dollars having dropped 33.1% relative to the year before as a result of higher subscriber acquisition and retention costs in what has been a more competitive environment.

 

INCOME STATEMENT (IFRS) - United States Millions of Dollars

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

1,722

1,726

-0.2%

5,228

5,096

2.6%

Service Revenues

1,566

1,567

-0.1%

4,720

4,609

2.4%

Equipment Revenues

156

158

-1.6%

508

487

4.2%

EBITDA

105

157

-33.1%

516

583

-11.5%

% total revenues

6.1%

9.1%

 

9.9%

11.4%

 

EBIT

94

149

-36.7%

482

558

-13.5%

%

5.5%

8.6%

 

9.2%

10.9%

 

 

United States Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

25,726

25,904

-0.7%

MOU

508

540

-6.1%

ARPU (US$)

20

20

-0.3%

Churn (%)

4.1%

4.0%

0.1

 


 
 

 

Telekom Austria Group

 

We finished September with 20.2 million wireless clients, an annual increase of 1.4% stemming from Bulgaria and Serbia. Our postpaid division expanded 2.7% in an annual basis to 14.3 million contract clients. As regards fixed line, we had 4.8 million RGUs, 9.2% more than a year before. This figure includes 68 thousand RGUs that were added with the acquisition of Amis in Slovenia. The organic growth rate of our fixed segment was 7.8% year on year showing solid growth in Austria, Bulgaria and Croatia.

 

The quarter’s revenues topped one billion euros; at constant exchange rates they were slightly lower, -0.2%, than in the precedent year. The decline in revenues is linked, for the most part, to stronger competition in Bulgaria and termination rate cuts in Croatia. On the other hand, in Austria, revenues increased 1.6% relative to last year’s quarter mostly on account of higher equipment sales.

 

EBITDA declined 2.6% year-on-year at constant exchange rates to 379 million euros. Moreover, excluding the effect of one-offs from the merger in Lichtenstein, EBITDA would have risen 4.1%. EBITDA from our Austrian operation was up 9.1% in annual terms as a result of revenue growth as well as strict cost controls. The EBITDA margin was equivalent to 36.6% of revenues.

 

INCOME STATEMENT (IFRS) - Telekom Austria Group Millions of Euros

 

3Q15

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Total Revenues

1,035

1,102

-6.1%

3,038

3,079

-1.3%

Wireless Revenues

679

730

-7.1%

1,990

2,062

-3.5%

Service Revenues

571

603

-5.4%

1,669

1,759

-5.1%

Equipment Revenues

85

89

-4.4%

233

226

3.1%

Fixed Line and Other Revenues

356

371

-4.2%

1,048

1,017

3.1%

EBITDA

379

409

-7.5%

1,035

1,022

1.3%

% total revenues

36.6%

37.1%

 

34.1%

33.2%

 

EBIT

189

200

-5.4%

450

37

n.m.

%

18.3%

18.2%

 

14.8%

1.2%

 

 n.m. Not meaningful

 

Telekom Austria Group Operating Data (IFRS)

 

3Q15

3Q14

Var.%

Wireless Subscribers (thousands)

20,192

19,903

1.4%

Postpaid

14,347

13,963

2.7%

Prepaid

5,845

5,940

-1.6%

MOU

300

300

-0.1%

ARPU (Euros)

9

10

-2.6%

Churn (%)

1.7%

1.9%

(0.2)

Revenue Generating Units (RGUs) *

4,769

4,369

9.2%

* Fixed Line, Broadband and Television

 

 


 
 

 

Glossary of Terms

 

ARPU

Average Revenue per User. The ratio of service revenues in a given period to the average number of wireless subscribers in the same period. It is presented on a monthly basis.

 

ARPM

Average Revenue per Minute. The ratio of service revenues to airtime traffic.

 

Capex

Capital Expenditure. Accrued capital expenditures related to the expansion of the telecommunications infrastructure.

 

Churn

Disconnection Rate. The ratio of wireless subscribers disconnected during a given period to the number of wireless subscribers at the beginning of that period. 

 

EBIT

Earnings Before Interest and Taxes, also known as Operating Profit.

 

EBIT margin

The ratio of EBIT to total operating revenue.

 

EBITDA

Earnings Before Interest, Taxes, Depreciation, and Amortization.

 

EBITDA margin

The ratio of EBITDA to total operating revenue.

 

EPS (Mexican pesos)

Earnings per share. Total earnings in Mexican pesos divided by total shares.

 

Earnings per ADR (US$)

Total earnings in U.S. dollars divided by total ADRs equivalent.

 

Equity subscribers 

Subscribers weighted by the economic interest held in each company.

 

GPRS

General Packet Radio Service. Enables GSM networks to offer higher capacity, Internet-based-content and packet-based data services.  It is a second generation technology.

 

Gross additions

Total number of subscribers acquired during the period.

 

Licensed pops

Licensed population. Population covered by the licenses that each of the companies manage.

 

LTE

Long-term evolution is a 4th generation standard for wireless communication of high-speed data for mobile phones and data terminals.

 

Market share

A company’s subscriber base divided by the total number of subscribers in that country.

 

MOU

Minutes of Use per subscriber. The ratio of wireless traffic in a given period to the average number of wireless subscribers in that same period.  It is presented on a monthly basis.

 

Net subscriber additions

The difference in the subscriber base from one period to another. It is the different between gross additions and disconnections.

 

Net debt

Total short and long term debt minus cash and marketable securities.

 

Net debt / EBITDA

The ratio of total short and long term debt minus cash and securities to trailing 12-month income before interest, taxes, depreciation and amortization.

 

Prepaid

Subscriber that may purchase airtime to recharge a cellular phone. The client does not hold a contract with the company for voice and data services.

 

Postpaid

Subscriber that has a contract for the use of airtime. The client has no need of activating airtime, it is done so immediately.

 

SMS

Short Message Service.

 

SAC

Subscriber Acquisition Cost. The sum of handset subsidies, marketing expenses and commissions to distributors for handset activation. Handset subsidy is calculated as the difference between equipment cost and equipment revenues. 

 

Wireless penetration

The ratio of total wireless subscribers in any given country divided by the total population in that country.

 

 

 

 


 

 

 

 

Exchange Rates Local Currency Units per USD

 

3Q15

2Q15

Var.%

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

Mexico

 

 

 

 

 

 

 

 

EoP

17.01

15.57

9.2%

13.45

26.4%

17.01

13.45

26.4%

Average

16.41

15.31

7.1%

13.10

25.2%

15.55

13.12

18.6%

Brazil

 

 

 

 

 

 

 

 

EoP

3.97

3.10

28.1%

2.45

62.1%

3.97

2.45

62.1%

Average

3.54

3.07

15.2%

2.28

55.5%

3.16

2.29

38.0%

Argentina

 

 

 

 

 

 

 

 

EoP

9.42

9.09

3.7%

8.43

11.8%

9.42

8.43

11.8%

Average

9.25

8.95

3.3%

8.30

11.5%

8.96

7.99

12.2%

Chile

 

 

 

 

 

 

 

 

EoP

699

639

9.3%

599

16.6%

699

599

16.6%

Average

676

618

9.4%

577

17.2%

639

561

14.0%

Colombia

 

 

 

 

 

 

 

 

EoP

3,122

2,585

20.8%

2,028

53.9%

3,122

2,028

53.9%

Average

2,938

2,500

17.5%

1,910

53.9%

2,635

1,943

35.6%

Guatemala

 

 

 

 

 

 

 

 

EoP

7.68

7.62

0.7%

7.67

0.1%

7.68

7.67

0.1%

Average

7.66

7.68

-0.2%

7.77

-1.3%

7.66

7.77

-1.4%

Honduras

 

 

 

 

 

 

 

 

EoP

22.14

22.06

0.4%

21.39

3.5%

22.14

21.39

3.5%

Average

22.10

22.09

0.1%

21.21

4.2%

22.03

21.00

4.9%

Nicaragua

 

 

 

 

 

 

 

 

EoP

27.59

27.25

1.2%

26.27

5.0%

27.59

26.27

5.0%

Average

27.42

27.08

1.2%

26.11

5.0%

27.09

25.80

5.0%

Costa Rica

 

 

 

 

 

 

 

 

EoP

541

541

0.0%

546

-0.8%

541

546

-0.8%

Average

541

540

0.2%

545

-0.7%

541

545

-0.8%

Peru

 

 

 

 

 

 

 

 

EoP

3.22

3.18

1.4%

2.89

11.4%

3.22

2.89

11.4%

Average

3.21

3.14

2.2%

2.82

13.8%

3.14

2.81

11.8%

Paraguay

 

 

 

 

 

 

 

 

EoP

5,636

5,184

8.7%

4,474

26.0%

5,636

4,474

26.0%

Average

5,306

5,051

5.1%

4,286

23.8%

5,037

4,410

14.2%

Uruguay

 

 

 

 

 

 

 

 

EoP

29.13

27.07

7.6%

24.70

17.9%

29.13

24.70

17.9%

Average

28.35

26.59

6.6%

23.69

19.7%

26.57

22.94

15.8%

Dominican Republic

 

 

 

 

 

 

 

 

EoP

45.36

44.98

0.8%

43.87

3.4%

45.36

43.87

3.4%

Average

45.19

44.88

0.7%

43.68

3.4%

44.95

43.40

3.6%

Austria & CEE

 

 

 

 

 

 

 

 

EoP

0.89

0.90

-0.3%

0.79

13.0%

0.89

0.79

13.0%

Average

0.90

0.90

-0.5%

0.75

19.0%

0.90

0.74

21.5%

 


 
 

 

 

 

3Q15

2Q15

Var.%

3Q14

Var.%

Jan - Sep 15

Jan - Sep 14

Var.%

USA

 

 

 

 

 

 

 

 

EoP

0.06

0.06

-8.5%

0.07

-20.9%

0.06

0.07

-20.9%

Average

0.06

0.07

-6.7%

0.08

-20.1%

0.06

0.08

-15.7%

Brazil

 

 

 

 

 

 

 

 

EoP

0.23

0.20

17.2%

0.18

28.2%

0.23

0.18

28.2%

Average

0.22

0.20

7.5%

0.17

24.2%

0.20

0.17

16.4%

Argentina

 

 

 

 

 

 

 

 

EoP

0.55

0.58

-5.1%

0.63

-11.6%

0.55

0.63

-11.6%

Average

0.56

0.58

-3.6%

0.63

-11.0%

0.58

0.61

-5.4%

Chile

 

 

 

 

 

 

 

 

EoP

41.1

41.0

0.1%

44.5

-7.8%

41.1

44.5

-7.8%

Average

41.2

40.4

2.1%

44.0

-6.4%

41.1

42.8

-3.8%

Colombia

 

 

 

 

 

 

 

 

EoP

183.6

166.1

10.5%

150.8

21.8%

183.6

150.8

21.8%

Average

179.1

163.3

9.7%

145.7

22.9%

169.4

148.1

14.4%

Guatemala

 

 

 

 

 

 

 

 

EoP

0.45

0.49

-7.9%

0.57

-20.8%

0.45

0.57

-20.8%

Average

0.47

0.50

-6.8%

0.59

-21.2%

0.49

0.59

-16.9%

Honduras

 

 

 

 

 

 

 

 

EoP

1.30

1.42

-8.1%

1.59

-18.1%

1.30

1.59

-18.1%

Average

1.35

1.44

-6.6%

1.62

-16.8%

1.42

1.60

-11.6%

Nicaragua

 

 

 

 

 

 

 

 

EoP

1.62

1.75

-7.3%

1.95

-16.9%

1.62

1.95

-16.9%

Average

1.67

1.77

-5.5%

1.99

-16.1%

1.74

1.97

-11.4%

Costa Rica

 

 

 

 

 

 

 

 

EoP

31.81

34.75

-8.5%

40.55

-21.5%

31.81

40.55

-21.5%

Average

32.96

35.23

-6.4%

41.57

-20.7%

34.77

41.57

-16.3%

Peru

 

 

 

 

 

 

 

 

EoP

0.19

0.20

-7.2%

0.21

-11.8%

0.19

0.21

-11.8%

Average

0.20

0.21

-4.6%

0.22

-9.1%

0.20

0.21

-5.7%

Paraguay

 

 

 

 

 

 

 

 

EoP

331.4

333.0

-0.5%

332.5

-0.3%

331.4

332.5

-0.3%

Average

323.4

329.8

-1.9%

327.1

-1.1%

323.9

336.3

-3.7%

Uruguay

 

 

 

 

 

 

 

 

EoP

1.71

1.74

-1.5%

1.84

-6.7%

1.71

1.84

-6.7%

Average

1.73

1.74

-0.5%

1.81

-4.4%

1.71

1.75

-2.3%

Dominican Republic

 

 

 

 

 

 

 

 

EoP

2.67

2.89

-7.7%

3.26

-18.2%

2.67

3.26

-18.2%

Average

2.75

2.93

-6.0%

3.33

-17.4%

2.89

3.31

-12.7%

 

 

For further information please visit our website at: www.americamovil.com

 

América Móvil, S.A.B. de C.V. (the “Company”) quarterly reports and all other written materials may from time to time contain forward-looking statements that reflect the current views and/or expectations of the Company and its management with respect to its performance, business and future events. Forward looking statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance, or achievements, and may contain words like “believe”, “anticipate”, “expect”, “envisages”, “will likely result”, or any other words or phrases of similar meaning. Such statements are subject to a number of risks, uncertainties and assumptions. We caution you that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in this report. In no event, neither the Company nor any of its subsidiaries, affiliates, directors, officers, agents or employees shall be liable before any third party (including investors) for any investment or business decision made or action taken in reliance on the information and statements contained in this document or for any consequential, special or similar damages

 

 

SIGNATURE
 
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: October 20, 2015
 
 
AMÉRICA MÓVIL, S.A.B. DE C.V.
By: 

        /S/ Carlos José García Moreno Elizondo   

  Name:
Title:
Carlos José Garcí­a Moreno Elizondo
Chief Financial Officer