Financial Data and Key Metrics Changes - The second quarter revenue totaled ARS $234 billion, reflecting a 13.8% year-on-year increase, partly due to the depreciation of the Mexican peso against other currencies [8][12] - At constant exchange rates, revenue increased by 7.9%, marking the strongest performance in over a year [9] - EBITDA was ARS 92.4 billion, up 11.2% in Mexican peso terms and 5.1% at constant exchange rates [11] - Net profit for the quarter was ARS 22.3 billion, equivalent to ARS 37 per share and ARS 38 per ADR [12] Business Line Data and Key Metrics Changes - The postpaid base increased by 6.8% year-on-year, while fixed broadband accesses grew by 4.5% [8] - Postpaid service revenue expanded by 9.5%, the best result in the prior year [9] - Prepaid revenue growth rebounded, driven by Mexico, with prepaid ARPU climbing 2.2% in the quarter [10] - Fixed line revenue from copper networks and petech increased significantly, with broadband revenue slightly decelerating to 8.2% [10] Market Data and Key Metrics Changes - The company added 2.9 million postpaid clients, with Brazil contributing 1.4 million [6] - In the prepaid segment, net disconnections totaled 1.1 million subscribers, with Brazil, Chile, and Central America each connecting approximately 500,000 clients [7] - The U.S. Dollar depreciated against most currencies in the region, impacting the company's financials [6] Company Strategy and Development Direction - The company is focusing on improving network quality and expanding coverage in Brazil, which has contributed to revenue growth [18] - The new telecommunications law in Mexico introduces regulatory changes that may impact operations, including increased fines and obligations for user identification [22][24] - The company aims to maintain its capital expenditure targets around ARS 6.7 billion to ARS 6.8 billion for the year [35] Management's Comments on Operating Environment and Future Outlook - Management noted significant uncertainty due to U.S. tariffs but indicated that the economic environment in Mexico is starting to improve [5][38] - The competitive landscape in Mexico remains aggressive, but the company believes it has a strong network and customer care to sustain growth [39] - Management expressed optimism about continued revenue growth in the broadband segment due to increased sales force and customer retention efforts [56] Other Important Information - The net debt to last twelve months EBITDA ratio stood at 1.36 times, reflecting a slight increase due to currency appreciation [13] - The company reported a decrease in labor obligations outflows compared to the previous year, with expectations of no major changes for the full year [42] Q&A Session Summary Question: Comments on Brazilian mobile environment and revenue drivers - Management highlighted strong postpaid growth in Brazil due to network quality improvements and successful sales strategies [17][18] Question: Regulatory changes in the Mexican telco framework - Management discussed the new telecommunications law, emphasizing increased fines and obligations for user identification [22][24] Question: Outlook for Mexico's economic activity and competitive environment - Management noted that competition remains similar to last year, with expectations of revenue rebound as the economy improves [38] Question: Labor obligations and outflows - Management indicated that labor obligations are paid from attention funds and out-of-pocket, with no major changes expected for the full year [42] Question: Changing competition in various markets - Management expressed hope for more rational competition as markets consolidate, particularly in Argentina and Colombia [43][44] Question: Comments on Bait's performance and market competition - Management noted improvements in their prepaid segment and emphasized the challenges faced by new entrants in maintaining subscriber bases [51][53] Question: Acceleration in broadband net adds in Mexico - Management attributed broadband growth to increased sales force and customer retention efforts, with a focus on delivering high-quality service [56] Question: Litigation provision in Colombia - Management confirmed that the provision relates to a content-related case affecting the entire industry, with payments scheduled until the end of the year [58][59]