Mexico’s America Movil Q2 net profit climbs, beating estimates By Reuters

MEXICO CITY (Reuters) – Mexican telecommunications giant America Movil (NYSE:) on Tuesday said its net profit surged 89.1% in the second quarter on the back of foreign exchange gains, the company said in a filing.

The company, controlled by the family of Mexican tycoon Carlos Slim, posted a net profit of 25.87 billion pesos ($1.5 billion), beating the Refinitiv estimate of 22.61 billion pesos.

Revenue fell 4.6% from a year earlier to 202.53 billion pesos, missing the Refinitiv estimate of 204.42 billion pesos.

The decrease in revenue came as the Mexican peso strengthened against other currencies in markets where America Movil operates, the company said.

Earnings per share landed at 0.41 pesos, above the Refinitiv estimate of 0.39 pesos.

America Movil added 1.5 million post-paid customers in the quarter, driven by a hike in Brazil additions, while it lured in 787,000 new prepaid customers.

Its earnings before interest, taxes, depreciation and amortization (EBITDA) meanwhile shrunk 3.8% to 78.7 billion pesos.

($1 = 17.1156 pesos at end-June)