Core Viewpoint - Amer Movil reported quarterly earnings of $0.35 per share, missing the Zacks Consensus Estimate of $0.43 per share, representing an earnings surprise of -17.65% [1]. Financial Performance - The company posted revenues of $13.38 billion for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 1.59%, compared to $11.8 billion in the same quarter last year [2]. - Over the last four quarters, Amer Movil has surpassed consensus revenue estimates two times [2]. Stock Performance - Amer Movil shares have increased by approximately 8.8% since the beginning of the year, outperforming the S&P 500's gain of 1.4% [3]. - The current status of estimate revisions translates into a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market in the near future [6]. Earnings Outlook - The current consensus EPS estimate for the coming quarter is $0.42 on revenues of $12.68 billion, and for the current fiscal year, it is $1.72 on revenues of $51.64 billion [7]. - The estimate revisions trend for Amer Movil was mixed ahead of the earnings release, which could change following the recent report [6]. Industry Context - The Wireless Non-US industry, to which Amer Movil belongs, is currently in the bottom 41% of over 250 Zacks industries, indicating potential challenges ahead [8].

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

García Moreno said Brazil led postpaid net additions with 644,000, followed by Colombia (276,000), Peru (148,000), and Mexico (135,000). In prepaid, Mexico added 197,000 subscribers, Argentina 226,000, and Colombia 224,000, while Brazil and Chile saw prepaid losses of 381,000 and 315,000, respectively.America Movil reported adding 2.5 million wireless subscribers in the quarter, driven by 2.8 million postpaid net additions partially offset by 298,000 prepaid net losses. The company ended December with 331 m ...

Financial Data and Key Metrics Changes - The fourth quarter revenue rose 3.4% in Mexican peso terms to MXN 245 billion, and was up 6.2% at constant exchange rates, with service revenue expanding 5.3% [7][8] - EBITDA increased by 4.2% in Mexican peso terms to MXN 95 billion, and was up 6.9% at constant exchange rates [8] - Net profit for the quarter was MXN 19 billion, which was four times larger than the previous year, equivalent to MXN 0.32 per share or $0.35 per ADR [9] Business Line Data and Key Metrics Changes - The company added 2.5 million wireless subscribers in the quarter, with 2.8 million postpaid net gains and 298,000 prepaid losses, ending December with 331 million wireless subscribers [5][6] - The mobile postpaid base grew by 8.4% year-on-year, while broadband accesses expanded by 5.6% [7] - Fixed line service revenue increased by 3.6% year-over-year, with fixed broadband revenue rising by 6.4% [9] Market Data and Key Metrics Changes - The dollar depreciated against most currencies in the region, declining 2.3% versus the Mexican peso and 5.7% versus the Chilean peso [5] - Brazil led in postpaid net additions with 644,000 subscribers, followed by Colombia with 276,000 and Peru with 148,000 [6] Company Strategy and Development Direction - The company aims to maintain a capital expenditure target of around 14%-15% of revenues, approximately $6.8 billion to $7 billion [15][18] - The management is focused on reducing debt and preparing for potential consolidation opportunities in the region, particularly in small companies or fiber operations [40][41] Management's Comments on Operating Environment and Future Outlook - The management noted that the U.S. government shutdown raised uncertainty about economic activity, impacting employment and economic indicators [4] - The competitive landscape in Latin America is changing, with expectations of further consolidation in the market, which could benefit the company [61][65] Other Important Information - The company reported a nearly 40% year-on-year increase in free cash flow, reaching MXN 82 billion after CapEx of MXN 131 billion [10] - Shareholder distributions reached MXN 45 billion, including MXN 12 billion in share buybacks [10] Q&A Session Summary Question: CapEx outlook for 2026 and coming years - The company targets a CapEx of around 14%-15% of revenues, approximately $6.8 billion to $7 billion, for the next few years [15][18] Question: Pre-tax, non-operating expenses - The management acknowledged the increase in non-operating expenses and suggested contacting investor relations for detailed information [22][24] Question: Telefónica's sale of operations in Chile - The company decided not to proceed with a bid for Telefónica's operations due to complexities and regulatory issues, but remains committed to competing in Chile [30][32] Question: Capital allocation strategy - The management emphasized a focus on reducing debt, preparing for M&A opportunities, and returning value to shareholders through buybacks and dividends [40][41] Question: Impact of FX on overall results - The company highlighted the complexity of managing multiple currencies and the importance of constant exchange rates for accurate financial reporting [50][51] Question: Regulatory environment and consolidation in Latin America - The management sees potential for consolidation in the market, which could be beneficial, and noted that asymmetric regulation only exists in Mexico [61][65] Question: Number portability trends in Brazil - The management indicated that both NuCel and strong postpaid operations are contributing to positive number portability trends in Brazil [70][71] Question: Sustainability of broadband growth in Mexico - The management expressed confidence in sustaining broadband growth due to successful promotions and high customer satisfaction with service bundles [78]

Financial Data and Key Metrics Changes - The fourth quarter revenue rose 3.4% in Mexican peso terms to MXN 245 billion, and was up 6.2% at constant exchange rates, with service revenue expanding 5.3% [8][9] - EBITDA increased by 4.2% in Mexican peso terms to MXN 95 billion, and was up 6.9% at constant exchange rates [9] - Net profit for the quarter was MXN 19 billion, which was four times larger than the previous year, equivalent to MXN 0.32 per share or $0.35 per ADR [10] - Free cash flow for the year 2025 was MXN 82 billion, representing a nearly 40% year-on-year increase [11] Business Line Data and Key Metrics Changes - The company added 2.5 million wireless subscribers in the quarter, with 2.8 million postpaid net gains and 298,000 prepaid losses, ending December with 331 million wireless subscribers [5][6] - The mobile postpaid base grew by 8.4% year-on-year, while broadband accesses expanded by 5.6% [8] - Fixed line service revenue increased by 3.6% year-over-year, with fixed broadband revenue rising by 6.4% [10] Market Data and Key Metrics Changes - The dollar depreciated against most currencies in the region, declining 2.3% versus the Mexican peso and 5.7% versus the Chilean peso [5] - Brazil led in postpaid net additions with 644,000 subscribers, followed by Colombia with 276,000 and Peru with 148,000 [6] Company Strategy and Development Direction - The company aims to maintain a capital expenditure target of around 14%-15% of revenues, approximately $6.8 billion to $7 billion for 2026 [16][20] - The management is focused on reducing debt and preparing for potential consolidation opportunities in the region, particularly in small fiber companies [40][41] Management's Comments on Operating Environment and Future Outlook - The management noted that the U.S. government shutdown raised uncertainty about economic activity, impacting employment and economic indicators [4] - The competitive landscape in Latin America is changing, with expectations of further consolidation in the market, which could benefit the company [66] Other Important Information - The company disconnected 79,000 voice lines in the fixed line segment, while adding 77,000 pay TV units [7] - The comprehensive financing costs were roughly half those of the previous year [10] Q&A Session Summary Question: CapEx outlook for 2026 - The company targets a CapEx of around 14%-15% of revenues, approximately $6.8 billion to $7 billion for 2026 [16][20] Question: Pre-tax non-operating expenses - The management acknowledged the increase in pre-tax non-operating expenses and suggested contacting investor relations for detailed information [24][26] Question: Telefónica's sale of operations in Chile - The company decided not to proceed with a bid for Telefónica's operations due to regulatory complexities and high leverage concerns, but remains committed to competing in Chile [32][34] Question: Capital allocation strategy - The management emphasized a focus on reducing debt and preparing for potential M&A opportunities, while also considering shareholder returns through buybacks and dividends [39][41] Question: Impact of FX on results - The management discussed the complexities of managing multiple currencies and emphasized the importance of constant exchange rates for accurate financial reporting [52][54] Question: Regulatory environment and consolidation in Latin America - The management sees potential for consolidation in the market, particularly in mobile and fixed services, and believes this will be beneficial for the company [61][66] Question: Brazilian number portability trends - The management indicated that both NuCel and the company's postpaid operations are contributing to strong number portability trends in Brazil [72][73] Question: Sustainability of broadband growth in Mexico - The management expressed confidence in sustaining broadband growth due to successful promotions and high customer satisfaction with service bundles [80]

Financial Data and Key Metrics Changes - The fourth quarter revenue rose 3.4% in Mexican peso terms to MXN 245 billion, and was up 6.2% at constant exchange rates, with service revenue expanding 5.3% [6][7] - EBITDA increased by 4.2% in Mexican peso terms to MXN 95 billion, and was up 6.9% at constant exchange rates [7] - Net profit for the quarter was MXN 19 billion, which was four times larger than the previous year, equivalent to MXN 0.32 per share or $0.35 per ADR [8][9] - Free cash flow for the year 2025 reached MXN 82 billion, representing a nearly 40% year-on-year increase [9] Business Line Data and Key Metrics Changes - The company added 2.5 million wireless subscribers in the quarter, with 2.8 million postpaid net gains and 298,000 prepaid losses, ending December with 331 million wireless subscribers [4][6] - Postpaid base grew by 8.4% year-on-year, with Brazil leading in postpaid net adds at 644,000 subscribers [5][6] - Fixed line segment connected 5,240 broadband accesses, with broadband revenue growth in Mexico rising from 2% to 4% [5][8] Market Data and Key Metrics Changes - The dollar depreciated against most currencies in the region, with a 2.3% decline against the Mexican peso [4] - The company experienced strong mobile service revenue growth of 6.2%, supported by postpaid revenue that was up 7.6% [7][8] Company Strategy and Development Direction - The company aims to maintain a capital expenditure target of around 14%-15% of revenues, approximately $6.8 billion to $7 billion for 2026 [14][17] - Management indicated a focus on reducing debt and preparing for potential consolidation opportunities in the region, particularly in light of changing competitive dynamics [41][66] Management's Comments on Operating Environment and Future Outlook - Management noted the uncertainty in the U.S. economic activity due to the government shutdown and its impact on employment and economic indicators [3] - The competitive landscape in Latin America is expected to consolidate, which could benefit the company as it prepares for potential opportunities [70][74] Other Important Information - The company disconnected 79,000 voice lines in the quarter, while its access lines exceeded 4.1 million at the end of December [5][6] - Comprehensive financing costs were roughly half those of the previous year, contributing to improved net profit [8] Q&A Session Summary Question: CapEx outlook for 2026 - Management targets CapEx to be around 14%-15% of revenues, approximately $6.8 billion to $7 billion [14][17] Question: Pre-tax non-operating expenses - Management acknowledged the increase in non-operating expenses and suggested further details could be provided later [21][25] Question: Competitive environment in Chile - Management explained their decision not to pursue the Telefónica deal due to regulatory complexities and indicated they remain competitive in Chile [31][32] Question: Capital allocation strategy - Management emphasized the importance of reducing debt while also considering shareholder returns through buybacks and dividends [41][66] Question: Impact of FX on results - Management discussed the complexities of managing multiple currencies and the importance of constant exchange rates for financial reporting [56][58] Question: Regulatory environment and consolidation in Latin America - Management expressed optimism about future consolidation in the market, particularly in mobile and fixed services [70][74] Question: Number portability trends in Brazil - Management attributed strong number portability trends to both NuCel and overall growth in revenues and subscriber quality [78][81] Question: Sustainability of broadband growth in Mexico - Management indicated confidence in sustaining broadband growth due to successful promotions and high customer satisfaction [86][87]

Core Viewpoint - Mexican telecom giant America Movil is planning a capital expenditure target of 14%-15% of revenues for 2026 and the following years, as stated by finance chief Carlos Garcia [1] Group 1 - America Movil's capital expenditure strategy indicates a focus on maintaining a significant investment level relative to its revenues [1] - The targeted capital expenditure percentage reflects the company's commitment to growth and infrastructure development in the telecom sector [1]

Group 1 - America Movil is targeting a capital expenditure of 14%-15% of revenues for 2026 and beyond, as stated by finance chief Carlos Garcia [1] - The company plans to invest to remain competitive in Chile after NJJ and Millicom acquired Telefonica's unit for $1.2 billion [2] - Funds initially allocated for the Telefonica Chile deal will now be redirected to reduce debt and prepare for other acquisition opportunities in the region [3] Group 2 - America Movil reported a nearly five-fold increase in net profit, driven by a foreign exchange boost that reduced financing costs and increased revenues by just over 3% [4] - Analysts at JPMorgan noted a solid performance in Mexico and Colombia, although progress in Brazil was slightly slower [4] - Shares of America Movil saw a slight increase in morning trading following the earnings report [4]

Core Insights - America Movil, S.A.B. de C.V. (AMX) reported a net income per ADR of 35 cents for Q4 2025, a significant increase from 7 cents in the same quarter last year, although it fell short of the Zacks Consensus Estimate of 43 cents [1][9] - The company's total quarterly revenues rose by 3.4% to Mex$244,897 million, driven by growth in both Service and Equipment segments [3][9] Financial Performance - Net income for the quarter was Mex$19,134 million, compared to Mex$4,074 million in the prior-year quarter [1] - Comprehensive financing costs decreased by 47.6% to Mex$15,643 million from Mex$29,850 million year-over-year [2] - Free cash flow increased by 39% year-over-year to Mex$81,884 million [12][9] - Total costs and expenses rose by 2.8% to Mex$149,969 million, while EBITDA increased by 4.2% to Mex$94,928 million, resulting in an EBITDA margin of 38.8% [11] Subscriber Growth - AMX gained 2.5 million wireless subscribers in Q4 2025, including a net increase of 2.8 million postpaid subscribers, while the prepaid segment saw a decline of 298,000 users [4] - The company had a total of 331 million wireless subscribers by the end of December 2025 [4] Regional Performance - Central America experienced a revenue growth of 10.4%, with wireless service revenue increasing by 12.7% year-over-year [6] - Argentina's revenues rose by 7.4% to ARS 770,695 million, driven by higher service revenues, although equipment revenues showed soft trends [7] - Brazil's revenues increased by 6.3% to BRL $13,381 million, supported by strong performance in Service and Equipment revenues [10]

Core Insights - America Movil, a major player in the Mexican telecom industry, reported a profit increase of over 300% for Q4 2025, attributed to lower financing costs compared to the previous year [1] Financial Performance - The company experienced a significant profit surge exceeding 300% in the fourth quarter of 2025 [1] - The improvement in profitability was primarily driven by reduced financing costs relative to the same period in the prior year [1]