SAO PAULO, Oct. 27, 2020 /PRNewswire/ -- Telefônica Brasil -
(B3: VIVT3 [Common Shares] / VIVT4 [Preferred Shares]; NYSE: VIV),
announces its results for 3Q20.
Record fiber net adds and recovery of prepaid
confirms Vivo's sequential operating improvement combined with
superior cash generation
R$
million
|
3Q20
|
%
y-o-y
|
9M20
|
%
y-o-y
|
|
|
|
|
|
Net Operating
Revenues
|
10,792
|
(2.3)
|
31,934
|
(2.9)
|
Net Mobile Revenues
|
7,163
|
0.0
|
20,852
|
(1.7)
|
Net
Handset Revenues
|
710
|
10.1
|
1,664
|
(11.2)
|
Net Fixed Revenues
|
3,628
|
(6.6)
|
11,082
|
(5.1)
|
Operating
Costs
|
(6,470)
|
(0.6)
|
(19,002)
|
(3.7)
|
Recurring
Operating Costs
|
(6,470)
|
(1.5)
|
(19,078)
|
(3.6)
|
EBITDA
|
4,322
|
(4.8)
|
12,932
|
(1.8)
|
EBITDA
Margin
|
40.0%
|
(1.1)
p.p.
|
40.5%
|
0.5
p.p.
|
Recurring
EBITDA
|
4,322
|
(3.5)
|
12,856
|
(1.9)
|
Recurring EBITDA Margin %
|
40.0%
|
(0.5)
p.p.
|
40.3%
|
0.4
p.p.
|
Net
Income
|
1,212
|
25.5
|
3,478
|
(6.7)
|
|
|
|
|
|
Capex | Ex- IFRS
16
|
1,803
|
(25.8)
|
5,359
|
(17.4)
|
Free Cash Flow
after Lease Payments
|
3,540
|
34.5
|
8,901
|
50.1
|
|
|
|
|
|
Total Subscribers
(thousand)
|
93,718
|
(0.0)
|
93,718
|
(0.0)
|
Mobile
subscribers
|
76,718
|
3.9
|
76,718
|
3.9
|
Fixed
subscribers
|
17,000
|
(14.5)
|
17,000
|
(14.5)
|
Fiber-to-the-home broadband customers totaled 3,130
thousand (+34.2% y-o-y), posting record net additions for the third
quarter in a row and representing almost 50% of broadband accesses.
Overall broadband ARPU increased 17% versus 3Q19,
reaching R$77.7.
Mobile market share reached 33.3% in August 2020, 8.7 p.p. more than the second player
and the highest level in over 14 years. Postpaid accesses
grew 3.9% y-o-y and accounted for 57.3% of total mobile accesses,
with a market share of 38.5% in August
2020 and the lowest churn in 5 years.
Fiber-to-the-home and IPTV
revenues continue to grow significantly (+56.0% y-o-y and
+26.9% y-o-y, respectively) while mobile revenue is showing
recovery to pre-pandemic levels, growing 3.3% over 2Q20.
Operating Costs decreased 0.6% y-o-y in 3Q20,
due to lower costs with commercial expenses, mainly reflecting the
growing digitalization and automation of customer service
activities and lower commercial activity.
Recurring EBITDA totaled R$4,322 million (-3.5% y-o-y) in 3Q20, with a
recurring EBITDA margin of 40.0%.
Investments of R$1,803
million in 3Q20, focused on the expansion of the
fiber-to-the-home network and the quality and capacity of the 4G
and 4.5G networks.
Net Income of R$1,212
million in 3Q20, up 25.5% y-o-y. Profit distribution based
on 9M20 profit reaches R$2.0
billion.
Free Cash Flow after Leasing payments reached
R$3,540 million in the quarter and
R$8,901 million in 9M20 (+34.5% y-o-y
and 50.1% y-o-y, respectively), as a result of Capex optimization
and lower operating, financial and tax payments.
Financial services: launch of Vivo Money, a 100% digital platform, focused on
offering fast and simple personal loans to postpaid customers.
TELEFÔNICA BRASIL – Investor Relations
Christian Gebara
David Melcon
Luis Plaster
João Pedro Carneiro
+55 11 3430-3687 / ir.br@telefonica.com
To download the complete version of the Company's
earnings release, please visit our website:
http://www.telefonica.com.br/ir
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SOURCE Telefônica Brasil