Entel's revenues grew by 8.4% in the first quarter of 2024, reaching Ch$ 665 billion, the telecommunications and technology company announced on Monday. In addition, the company recorded an EBITDA of Ch$188 billion, a figure that represents a growth of 42.1% in the first three months of the year and about 3.3% if one-time costs recorded at the beginning of 2023 are excluded.
In addition, as reported by the company to the Financial Market Commission (CMF), the sharp rise in the price of the dollar in recent months impacted the company's foreign investments, forcing a tax provision of Ch$47 billion, which impacted net income and resulted in losses of Ch$20 billion in the period.
Even so, the company continued to improve its financial position and ended the first quarter of 2024 with a level of IFRS16-adjusted net financial debt to EBITDA of 2.38 times, representing an improvement in that ratio for the third consecutive quarter.
“Despite this higher tax provision, we see a positive quarter in which the different operating indicators reflect that we are in a solid position: revenues are growing, EBITDA is growing and our debt ratio continues to fall. This is especially important when we have a financially challenged industry”, said Entel's vice-president of Corporate Finance, Marcelo Bermúdez.
In this sense, Bermúdez also pointed out that“nuestra estrategia de desarrollo, junto a la visión y disciplina para llevar a cabo las inversiones requeridas para seguir liderando y dando a nuestros clientes un servicio de excelencia, nos permiten tener un negocio sostenible y rentable”.
Regarding Entel's operations in Chile, it is worth noting a 4.6% increase in revenues, reaching Ch$431 billion, which were driven, in part, by the 10.7% growth in fixed services associated with the positive performance of the fiber optic home business, IT services, and Entel Digital, three key areas in the company's diversification strategy. This, in addition to the 11.2% increase in the sale of mobile equipment
In this regard, Bermúdez said that “the growth in revenues from businesses such as fiber optic home, IT services, and Entel Digital is a positive sign. These are signs that our revenue diversification strategy is advancing”.
In the case of Peru, revenues totaled US$247 million, representing a 2.7% decline. However, it is worth noting the 2.4% increase in mobile services, maintaining the second place in revenue share in the market. Meanwhile, the EBITDA of the Peruvian operation reached US$66 million with a margin of 26.6%, as a result of better margins on equipment sales and some temporary mismatches in commercial and marketing expenses.
Entel's vice-president of Finance emphasized that “the Peruvian operation continues to show positive results. Although there was a drop in equipment sales, the increase in mobile revenues has been constant over the last three years. We have already consolidated our position as the second operator in the mobile segment in terms of revenues and we will continue to close the gap with the leader”. .
In addition, as one of the main milestones of the first quarter, Bermúdez highlighted the delivery of the company's fourth integrated report, which reports on the creation of sustainable value for all its stakeholders. During the period, the annual progress report on Entel's Sustainable Bond, validated by the international consultancy Sustainalytics, was also released. This last report shows that 100% progress was achieved in the social and environmental investment projects committed to by Entel within the framework of the US$ 800 million sustainable bond issued by the company in 2021.
Corporate reputation and sustainability
The impact of Entel's work has been recognized in various measurements. According to the recent Merco Responsabilidad ESG Chile 2023-2024 report, which analyzed 44,024 surveys conducted nationwide, the technology and telecommunications company once again ranked first in its industry in terms of ethical behavior, transparency, good governance, and responsibility towards employees. It also became the Latin American leader in its category in Standard & Poor's Global's prestigious sustainability yearbook, “The Sustainability Yearbook 2024”, where more than 9,400 companies were evaluated and only 759 were considered worldwide.
9 May, 2024
Entel's revenues grew by 8.4% in the first quarter of 2024, reaching Ch$ 665 billion, the telecommunications and technology company announced on Monday. In addition, the company recorded an EBITDA of Ch$188 billion, a figure that represents a growth of 42.1% in the first three months of the year and about 3.3% if one-time costs recorded at the beginning of 2023 are excluded.
In addition, as reported by the company to the Financial Market Commission (CMF), the sharp rise in the price of the dollar in recent months impacted the company's foreign investments, forcing a tax provision of Ch$47 billion, which impacted net income and resulted in losses of Ch$20 billion in the period.
Even so, the company continued to improve its financial position and ended the first quarter of 2024 with a level of IFRS16-adjusted net financial debt to EBITDA of 2.38 times, representing an improvement in that ratio for the third consecutive quarter.
“Despite this higher tax provision, we see a positive quarter in which the different operating indicators reflect that we are in a solid position: revenues are growing, EBITDA is growing and our debt ratio continues to fall. This is especially important when we have a financially challenged industry”, said Entel's vice-president of Corporate Finance, Marcelo Bermúdez.
In this sense, Bermúdez also pointed out that“nuestra estrategia de desarrollo, junto a la visión y disciplina para llevar a cabo las inversiones requeridas para seguir liderando y dando a nuestros clientes un servicio de excelencia, nos permiten tener un negocio sostenible y rentable”.
Regarding Entel's operations in Chile, it is worth noting a 4.6% increase in revenues, reaching Ch$431 billion, which were driven, in part, by the 10.7% growth in fixed services associated with the positive performance of the fiber optic home business, IT services, and Entel Digital, three key areas in the company's diversification strategy. This, in addition to the 11.2% increase in the sale of mobile equipment
In this regard, Bermúdez said that “the growth in revenues from businesses such as fiber optic home, IT services, and Entel Digital is a positive sign. These are signs that our revenue diversification strategy is advancing”.
In the case of Peru, revenues totaled US$247 million, representing a 2.7% decline. However, it is worth noting the 2.4% increase in mobile services, maintaining the second place in revenue share in the market. Meanwhile, the EBITDA of the Peruvian operation reached US$66 million with a margin of 26.6%, as a result of better margins on equipment sales and some temporary mismatches in commercial and marketing expenses.
Entel's vice-president of Finance emphasized that “the Peruvian operation continues to show positive results. Although there was a drop in equipment sales, the increase in mobile revenues has been constant over the last three years. We have already consolidated our position as the second operator in the mobile segment in terms of revenues and we will continue to close the gap with the leader”. .
In addition, as one of the main milestones of the first quarter, Bermúdez highlighted the delivery of the company's fourth integrated report, which reports on the creation of sustainable value for all its stakeholders. During the period, the annual progress report on Entel's Sustainable Bond, validated by the international consultancy Sustainalytics, was also released. This last report shows that 100% progress was achieved in the social and environmental investment projects committed to by Entel within the framework of the US$ 800 million sustainable bond issued by the company in 2021.
Corporate reputation and sustainability
The impact of Entel's work has been recognized in various measurements. According to the recent Merco Responsabilidad ESG Chile 2023-2024 report, which analyzed 44,024 surveys conducted nationwide, the technology and telecommunications company once again ranked first in its industry in terms of ethical behavior, transparency, good governance, and responsibility towards employees. It also became the Latin American leader in its category in Standard & Poor's Global's prestigious sustainability yearbook, “The Sustainability Yearbook 2024”, where more than 9,400 companies were evaluated and only 759 were considered worldwide.
Entel's revenues grew by 8.4% in the first quarter of 2024, reaching Ch$ 665 billion, the telecommunications and technology company announced on Monday. In addition, the company recorded an EBITDA of Ch$188 billion, a figure that represents a growth of 42.1% in the first three months of the year and about 3.3% if one-time costs recorded at the beginning of 2023 are excluded.
In addition, as reported by the company to the Financial Market Commission (CMF), the sharp rise in the price of the dollar in recent months impacted the company's foreign investments, forcing a tax provision of Ch$47 billion, which impacted net income and resulted in losses of Ch$20 billion in the period.
Even so, the company continued to improve its financial position and ended the first quarter of 2024 with a level of IFRS16-adjusted net financial debt to EBITDA of 2.38 times, representing an improvement in that ratio for the third consecutive quarter.
“Despite this higher tax provision, we see a positive quarter in which the different operating indicators reflect that we are in a solid position: revenues are growing, EBITDA is growing and our debt ratio continues to fall. This is especially important when we have a financially challenged industry”, said Entel's vice-president of Corporate Finance, Marcelo Bermúdez.
In this sense, Bermúdez also pointed out that“nuestra estrategia de desarrollo, junto a la visión y disciplina para llevar a cabo las inversiones requeridas para seguir liderando y dando a nuestros clientes un servicio de excelencia, nos permiten tener un negocio sostenible y rentable”.
Regarding Entel's operations in Chile, it is worth noting a 4.6% increase in revenues, reaching Ch$431 billion, which were driven, in part, by the 10.7% growth in fixed services associated with the positive performance of the fiber optic home business, IT services, and Entel Digital, three key areas in the company's diversification strategy. This, in addition to the 11.2% increase in the sale of mobile equipment
In this regard, Bermúdez said that “the growth in revenues from businesses such as fiber optic home, IT services, and Entel Digital is a positive sign. These are signs that our revenue diversification strategy is advancing”.
In the case of Peru, revenues totaled US$247 million, representing a 2.7% decline. However, it is worth noting the 2.4% increase in mobile services, maintaining the second place in revenue share in the market. Meanwhile, the EBITDA of the Peruvian operation reached US$66 million with a margin of 26.6%, as a result of better margins on equipment sales and some temporary mismatches in commercial and marketing expenses.
Entel's vice-president of Finance emphasized that “the Peruvian operation continues to show positive results. Although there was a drop in equipment sales, the increase in mobile revenues has been constant over the last three years. We have already consolidated our position as the second operator in the mobile segment in terms of revenues and we will continue to close the gap with the leader”. .
In addition, as one of the main milestones of the first quarter, Bermúdez highlighted the delivery of the company's fourth integrated report, which reports on the creation of sustainable value for all its stakeholders. During the period, the annual progress report on Entel's Sustainable Bond, validated by the international consultancy Sustainalytics, was also released. This last report shows that 100% progress was achieved in the social and environmental investment projects committed to by Entel within the framework of the US$ 800 million sustainable bond issued by the company in 2021.
Corporate reputation and sustainability
The impact of Entel's work has been recognized in various measurements. According to the recent Merco Responsabilidad ESG Chile 2023-2024 report, which analyzed 44,024 surveys conducted nationwide, the technology and telecommunications company once again ranked first in its industry in terms of ethical behavior, transparency, good governance, and responsibility towards employees. It also became the Latin American leader in its category in Standard & Poor's Global's prestigious sustainability yearbook, “The Sustainability Yearbook 2024”, where more than 9,400 companies were evaluated and only 759 were considered worldwide.