Telecom(TEO)2024-05-12 01:02Financial Data and Key Metrics Changes - The EBITDA margin for the first quarter of 2024 was 30.3%, remaining steady year-over-year despite a challenging macroeconomic environment [7][22][41] - Revenues totaled almost 116 million in free cash flow before dividends and interest payments during the first quarter of 2024 [8][51] - Net income for the first quarter of 2024 was ARS675 million, primarily due to positive exchange differences from the appreciation of the peso [18][22] Business Line Data and Key Metrics Changes - The mobile subscriber base grew by over 3% year-over-year, with mobile data usage increasing by 21% [10][23] - FTTH accesses in the broadband segment continued to grow, while HFC accesses remained stable [14][28] - Pay TV business in Paraguay saw growth, with Flow unique customers reaching almost 1.5 million, a 12% increase year-over-year [11][24] Market Data and Key Metrics Changes - The accumulated inflation in Argentina for the third quarter of 2024 was 51.6%, with year-over-year inflation reaching 287.9% [13] - The company maintained a strong market position in Paraguay, being the second most important player in the mobile market with 2.4 million customers [26][28] Company Strategy and Development Direction - The company is focusing on expanding its FTTH technology and mobile network, including the development of 5G [8][50] - A pricing strategy has been implemented to minimize the impact of inflation on subscribers, with adjustments made on a monthly basis [13][49] - The B2B segment is expected to grow significantly, with a focus on providing integrated ICT solutions [31][32] Management's Comments on Operating Environment and Future Outlook - Management highlighted the resilience of the company in the face of FX depreciation and high inflation, maintaining EBITDA margins and growing the customer base [41][55] - The company anticipates continued access to local capital markets for financing needs and is exploring liability management transactions abroad [54][55] Other Important Information - The total outstanding debt as of March 2024 amounted to more than $2.7 billion, with a significant portion in cross-border instruments [20][38] - The company has been successful in managing labor costs, with salary increases below inflation contributing positively to the EBITDA margin [17][48] Q&A Session Summary Question: What is the company's strategy regarding inflation and pricing? - The company has been adjusting prices monthly to manage the impact of inflation while retaining customers through discounts and promotions [13][49] Question: How is the company performing in its regional operations? - The company is performing well in Paraguay, being the second largest mobile player and expanding its FinTech business [26][28] Question: What are the expectations for the B2B segment? - The B2B segment is expected to grow significantly, with a focus on providing integrated solutions to meet market demands [31][32]