October
27, 2004
Venezuela CANTV posts profit, mobile sector
strong
(Reuters) - "Venezuela's CANTV,
the nation's largest telecommunications
company, reported a third-quarter profit
compared with a year-ago loss as strong
mobile sector growth helped boost its
operating revenues.
CANTV, whose main shareholder
is U.S. telephone company Verizon Communications,
reported a net income of $60 million
or 54 cents per American Depositary
Share for the quarter ending Sept. 30
compared with a net loss of $15 million
or 14 cents per ADS a year ago.
CANTV reported total operating
revenues rose to $542 million from $473
million in the same period a year earlier.
Mobile sector revenues increased to
$175 million from $114 million a year
earlier. Subscribers to the company's
Movilnet mobile business increased 11.9
percent to 2.74 million users.
CANTV said EBITDA or earnings
before interest, tax, depreciation and
amortization increased to $177 million
from $173 million a year earlier.
Venezuela, the world's No. 5 oil exporter,
is pulling back from two years of economic
recession after months of political
conflict over the rule of President
Hugo Chávez and a strike last
year that cut of vital petroleum revenues
(…)
Government officials
now expect the gross domestic product
to grow around 11.3 percent this year
spurred by soaring oil prices and increased
public spending. Officials forecast
growth of 5 percent in 2005 following
a decline of 7.6 percent last year and
a 8.9 percent slide in 2002".
