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Televisa, the Mexican broadcaster, reported a 20 per cent rise in fourth-quarter profits due to lower financing costs and solid growth in its broadband and telecoms businesses.
The world’s largest Spanish-language media company said on Monday that net profit for the quarter ended in December was 3.1bn pesos ($243m) compared with 2.6bn pesos in the same period a year earlier.
Stripping out non-controlling interests, profit to shareholders was 3bn pesos, Televisa said, a 36 per cent jump compared with a year earlier. Net sales rose to 19.8bn pesos during the period, up 8.2 per cent from the same quarter of 2011.
Televisa shares fell 2.8 per cent to 67.8 pesos on the Mexican Stock Exchange on Monday before the results were announced, while the stock market index dropped 0.9 per cent.
In a statement, Televisa said that financing costs in the quarter fell to 17.7m pesos, a steep decline from nearly 1bn pesos during the same period a year earlier. The company cited a strengthening of the Mexican peso, which reduced the cost of US dollar-denominated debt, for the reduction.
At the same time, Televisa saw significant growth in the number of customers signing up for telecoms services, an area it has been pushing as it chips away at the empire of Carlos Slim, the world’s richest man, and his América Móvil telecoms company in its home market.
The number of voice and data clients rose 16.1 per cent and 22.5 per cent respectively, in the quarter compared with a year before – considerably higher than the 5.8 per cent growth during the same period for the company’s more traditional video services.
In a sign of its growing success in expanding into voice and broadband, which it bundles into so-called triple-play services of television, internet and telephone, Televisa finished 2012 with 1.3m broadband customers and 754,000 voice customers. In 2011, it had just 1m broadband clients and 650,000 voice clients, according to company figures.