América Móvil (AMXL) Q4 2024 earnings summary

Executive summary

• Surpassed 400 million access lines, ending December with 323 million wireless and 78 million fixed-line RGUs.

• Added 2.1 million postpaid clients, mainly in Brazil, Colombia, and Mexico; prepaid clients declined by 1.3 million, primarily due to a base cleanup in Brazil.

• Added 320,000 broadband accesses, up 4.7% year-over-year, with Mexico, Brazil, and Argentina leading growth.

• Mobile postpaid and fixed-broadband accesses grew 5.3% and 4.7% year-over-year, respectively.

Financial highlights

• Q4 revenue was MXN 236.9 billion (+18.0% year-over-year), service revenue MXN 196.3 billion (+19.1%), and EBITDA MXN 91.1 billion (+16.4%).

• Excluding Argentina, revenue grew 10.0%, service revenue 10.7%, and EBITDA 8.6%; at constant exchange rates excluding Argentina, service revenue rose 6.6% and adjusted EBITDA 7.2%.

• Chilean consolidation and Argentina’s hyperinflationary accounting boosted reported growth; ClaroVTR contributed MXN 3.8 billion in revenue in its first two months of consolidation.

• Operating profit rose 11.0% to MXN 46.4 billion; net income fell 47.5% to MXN 9.5 billion, mainly due to higher financing costs and FX losses.

• Net debt excluding leases was MXN 485 billion, with leverage at 1.44x LTM EBITDAAL.

Outlook and guidance

• Continued focus on expanding broadband and postpaid subscriber bases using FTTH and 5G networks.

• CapEx intensity expected to decline after 2024 as major 5G and spectrum investments are completed.

• No immediate plans to raise broadband prices in Mexico; focus remains on value-added bundles.

• Free cash flow expected to expand, supporting potential increases in shareholder distributions in 2025.