Latest news with #TelefonicaBrasil
Yahoo
28-07-2025
- Business
- Yahoo
Telefonica Brasil's second-quarter net profit up 10%
SAO PAULO (Reuters) -Telecommunications operator Telefonica Brasil reported on Monday a 10% increase in its net profit for the second quarter from the same quarter last year. The company posted a net profit of 1.34 billion reais ($239.8 million), compared with the 1.37 billion reais expected by analysts, according to an LSEG IBES poll. WHY IT'S IMPORTANT Telefonica Brasil, which is controlled by Spain's Telefonica, is the largest mobile service provider in Brazil by total mobile phone lines, according to data from local telecom regulator Anatel. BY THE NUMBERS Earnings before interest, taxes, depreciation and amortization (EBITDA) reached 5.93 billion reais, up 8.8% year-over-year, and mostly in line with the 5.92 billion reais forecast by analysts. Net operational revenue rose 7.1% in the quarter to 14.6 billion reais, matching the 14.6 billion reais expected by analysts. Revenues from its core mobile segment rose around 7%. ($1 = 5.5890 reais) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
28-07-2025
- Business
- Yahoo
Telefonica Brasil's second-quarter net profit up 10%
SAO PAULO (Reuters) -Telecommunications operator Telefonica Brasil reported on Monday a 10% increase in its net profit for the second quarter from the same quarter last year. The company posted a net profit of 1.34 billion reais ($239.8 million), compared with the 1.37 billion reais expected by analysts, according to an LSEG IBES poll. WHY IT'S IMPORTANT Telefonica Brasil, which is controlled by Spain's Telefonica, is the largest mobile service provider in Brazil by total mobile phone lines, according to data from local telecom regulator Anatel. BY THE NUMBERS Earnings before interest, taxes, depreciation and amortization (EBITDA) reached 5.93 billion reais, up 8.8% year-over-year, and mostly in line with the 5.92 billion reais forecast by analysts. Net operational revenue rose 7.1% in the quarter to 14.6 billion reais, matching the 14.6 billion reais expected by analysts. Revenues from its core mobile segment rose around 7%. ($1 = 5.5890 reais) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
28-07-2025
- Business
- Yahoo
3 Reasons Growth Investors Will Love Telefonica Brasil (VIV)
Growth investors focus on stocks that are seeing above-average financial growth, as this feature helps these securities garner the market's attention and deliver solid returns. However, it isn't easy to find a great growth stock. In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end. However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects, makes it pretty easy to find cutting-edge growth stocks. Telefonica Brasil (VIV) is one such stock that our proprietary system currently recommends. The company not only has a favorable Growth Score, but also carries a top Zacks Rank. Studies have shown that stocks with the best growth features consistently outperform the market. And for stocks that have a combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy), returns are even better. Here are three of the most important factors that make the stock of this telecommunications company a great growth pick right now. Earnings Growth Earnings growth is arguably the most important factor, as stocks exhibiting exceptionally surging profit levels tend to attract the attention of most investors. And for growth investors, double-digit earnings growth is definitely preferable, and often an indication of strong prospects (and stock price gains) for the company under consideration. While the historical EPS growth rate for Telefonica Brasil is 1.5%, investors should actually focus on the projected growth. The company's EPS is expected to grow 8.3% this year, crushing the industry average, which calls for EPS growth of 1.1%. Impressive Asset Utilization Ratio Asset utilization ratio -- also known as sales-to-total-assets (S/TA) ratio -- is often overlooked by investors, but it is an important indicator in growth investing. This metric exhibits how efficiently a firm is utilizing its assets to generate sales. Right now, Telefonica Brasil has an S/TA ratio of 0.44, which means that the company gets $0.44 in sales for each dollar in assets. Comparing this to the industry average of 0.39, it can be said that the company is more efficient. In addition to efficiency in generating sales, sales growth plays an important role. And Telefonica Brasil looks attractive from a sales growth perspective as well. The company's sales are expected to grow 1.2% this year versus the industry average of 0%. Promising Earnings Estimate Revisions Superiority of a stock in terms of the metrics outlined above can be further validated by looking at the trend in earnings estimate revisions. A positive trend is of course favorable here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements. The current-year earnings estimates for Telefonica Brasil have been revising upward. The Zacks Consensus Estimate for the current year has surged 1.4% over the past month. Bottom Line While the overall earnings estimate revisions have made Telefonica Brasil a Zacks Rank #2 stock, it has earned itself a Growth Score of B based on a number of factors, including the ones discussed above. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. This combination indicates that Telefonica Brasil is a potential outperformer and a solid choice for growth investors. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Telefonica Brasil S.A. (VIV) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
26-05-2025
- Business
- Yahoo
Here's Why Telefonica Brasil (VIV) is a Strong Value Stock
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum. Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks. Based in Sao Paulo, Brazil, Telefonica Brasil S.A. is the Brazilian subsidiary of Spanish telecom giant Telefonica SA. With the acquisition of Vivo, Telefonica Brasil became the largest telecom operator in Brazil in terms of revenues. VIV boasts a Value Style Score of A and VGM Score of B, and holds a Zacks Rank #3 (Hold) rating. Shares of Telefonica Brasil are trading at a forward earnings multiple of 15.1X, as well as a PEG Ratio of 1, a Price/Cash Flow ratio of 4.4X, and a Price/Sales ratio of 1.6X. Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. One analyst revised their earnings estimate upwards in the last 60 days for fiscal 2025. The Zacks Consensus Estimate has increased $0.02 to $0.65 per share. VIV has an average earnings surprise of 1.6%. VIV should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Telefonica Brasil S.A. (VIV) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
14-05-2025
- Business
- Yahoo
Telefonica Brasil SA (VIV) Q1 2025 Earnings Call Highlights: Strong Growth in Revenue and ...
Total Revenue: BRL14.4 billion, a 6.2% increase year-over-year. Mobile Service Revenue: Grew by 6.5%. Fixed Revenue: Expanded by 6.2%. EBITDA: Increased by 8.1%. Operating Cash Flow: BRL3.8 billion, a 12.7% growth year-over-year. Net Income: BRL1.1 billion, an 18.1% increase year-over-year. Postpaid Customers: Over 67 million, a 7.7% growth year-over-year. Fiber Customer Base: Increased by 12.9%. B2B Revenue: BRL12.3 billion, representing 22% of total business, with a 25.5% growth in digital B2B segment. New Businesses Revenue: BRL1.7 billion, an 18.6% growth year-over-year. CapEx Efficiency: Slight year-over-year decrease, with a reduction in CapEx over sales by 0.8 percentage points. Net Cash Position: BRL2.7 billion at the end of March. Free Cash Flow Yield: Close to 10% over the last 12 months. Shareholder Remuneration: BRL2.6 billion paid out by April 2025, with a commitment to distribute another BRL2 billion. Warning! GuruFocus has detected 7 Warning Signs with VIV. Release Date: May 13, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Telefonica Brasil SA (NYSE:VIV) achieved a 7.7% yearly growth in postpaid customers, reaching over 67 million. Fiber customer base increased by 12.9%, showcasing strong demand for connectivity services. Total revenues grew by 6.2%, with mobile service revenue up by 6.5% and fixed revenues expanding by 6.2%. EBITDA increased by 8.1%, reflecting a focus on profitability and operational efficiency. Net income grew by 18.1% year-over-year, reaching BRL1.1 billion, indicating strong financial performance. Prepaid segment experienced a significant drop due to aggressive migration to hybrid plans, impacting prepaid revenues. Cost of services and goods sold increased by 4.8% year-over-year, driven by greater demand for B2B services. There is ongoing pressure to maintain cost efficiencies amidst rising operational expenses. The transition from copper to fiber and real estate sales may take time to fully realize financial benefits. Competition in the mobile sector remains intense, with challenges from regional operators and MVNOs. Q: What are the key efficiency levers Telefonica Brasil is working on to sustain or expand margins, and what caused the significant drop in prepaid this quarter? A: Christian Gebara, CEO, explained that the drop in prepaid was mainly due to aggressive migration to hybrid plans, impacting prepaid revenues. The company focuses on digitalization, using technology and AI to reduce costs and enhance customer care and sales through their Vivo app. This strategy is expected to sustain or expand margins by capturing revenue growth and reducing costs. Q: Can you provide more color on back book price increases this year compared to previous years, and what is your current stance on M&A? A: Christian Gebara, CEO, detailed that price adjustments were made in February 2025, with increases in postpaid, hybrid, and Vivo Total plans. Some adjustments were not captured in Q1 as they occurred in April. Regarding M&A, the company is actively looking for opportunities in digital services and fiber market consolidation, focusing on targets with minimal overlap, high network quality, and attractive pricing. Q: Do you anticipate any pressure on margins or CapEx due to the concession migration, and can you explain the cash flow dynamics related to leases and working capital? A: Christian Gebara, CEO, stated there is no pressure on financial indicators from the concession migration. The sale of copper and real estate is expected to have a positive impact. David Sanchez-Friera, CFO, noted that cash flow was impacted by timing mismatches in regulatory fee payments, which should normalize. Lease payments showed volatility but are expected to stabilize with ongoing negotiations. Q: What are your expectations for prepaid going forward, and how do you see pricing dynamics in broadband? A: Christian Gebara, CEO, expects the prepaid trend to stabilize, with opportunities for pricing adjustments. The focus remains on migrating customers to hybrid plans and expanding digital services. For broadband, the company is driving market dynamics through convergence and higher-speed offerings, with a segmented strategy for price increases. Q: How is the migration of concession customers to newer technology being received, and what is your growth strategy for the fiber segment? A: Christian Gebara, CEO, reported successful pilot migrations from copper to fiber, with plans to accelerate this process. The fiber network continues to expand, with a focus on organic growth and potential M&A opportunities, provided they meet criteria such as minimal overlap and high network quality. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
