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Telecom Argentina profit up on growing mobile, broadband sales
Argentine incumbent fixed line operator Telecom Argentina has announced that its net profit for the fourth quarter of 2010 rose 28% year-on-year to ARS512 million (USD127 million), on the back of increasing revenue from broadband internet and mobile services. The company said full-year profit in 2010 rose 30% over the previous year to ARS1.82 billion. Operating profit before depreciation and amortisation (OPBDA) rose 17% over FY09 to reach ARS4.56 million, while operating profit amounted to ARS3.2 billion, an increase of 16% year-on-year. Telecom Argentina said consolidated net sales in the twelve months ended 31 December 2010 increased 20% year-on-year to ARS14.68 billion, driven by wireless and broadband sales. Mobile services generated revenue of ARS10.04 billion in 2010 (up 24% year-on-year), while voice, data and internet services accounted for the remaining ARS4.64 billion (an increase of 12%). Net sales in the fourth quarter of 2010 totalled ARS4.2 billion, compared to ARS3.37 billion in 4Q09. Capital expenditure in 2010 totalled ARS1.97 billion, up from ARS1.703 million a year earlier.
At 31 December 2010 Telecom Argentina reported a total wireless subscriber base of 18.212 million, of which 16.333 million were domestic customers (up 13% year-on-year). The remaining 1.878 million subscribed to the wireless and WiMAX services of the company’s Paraguayan unit, Nucleo. Telecom Argentina also reported a total of 1.38 million domestic broadband customers at the end of 2010 (an increase of 14% over 2009), while fixed lines in service increased 1% year-on-year to 4.107 million.
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