TIM Brazil announces its second-quarter financial results and its migration to special listing segment called “Novo Mercado” of BM&FBovespa – Bolsa de Valores, Mercadorias e Futuros S.A. During the second quarter, revenue grew 19.5% year over year to R$ 4,25 billion (US $2.7 billion), including an 11.8% increase in net service revenues. Earnings before interest, taxation, depreciation and amortization (EDBITDA) reached R$1.138 million (US $726 million), up 13% year to year. However, EBITDA margin of 26.8% was lower than second quarter 2010 (28.4%).
During this period, capital expenses totaled R$ 719 million, or 17% of net revenues. In July, TIM bought AES Atimus for US $1.01 billion and plans to expand its data offer and also announced R$ 171 M investments in fiber optics in Northern Brazil.
TIM’s subscriber base grew 25% YoY, with gross adds of 9.3 million lines and net addition of 2.7 million lines. Data revenues also grew, and reached R$ 734 million (US $468 million) in second quarter, which is 33.5% yearly growth, already accounting for 15% of mobile revenues (vs. 13% in 2Q10).
During this period, TIM reached an average revenue per unit of R$21.6, up 3.7% from a year ago.
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