Megacable Holdings, S. A. B. de C. V. Reports Consolidated Earnings Results for the Fourth Quarter and Full Year of 2016; Provides Earnings Guidance for the Year 2017
February 24, 2017 at 12:37 am EST
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Megacable Holdings SAB de CV reported consolidated earnings results for the fourth quarter and full year of 2016. For the quarter, the company reported Income was MXN 4,455,751,000 against MXN 3,927,128,000 a year ago. EBITDA was MXN 1,842,531,000 against MXN 1,590,252,000 a year ago. Net Debt was MXN 2,489,767,000 against MXN 428,903,000 a year ago. CAPEX was MXN 1,652,272,000 against MXN 874,163,000 a year ago, this investment was mainly allocated towards the construction of additional kilometers for its network, the purchase of subscriber equipment for both the digitalization project as well as to support subscriber growth in the internet/telephony segment, as well as the modernization of the company's cable network. Operating profit was MXN 1,282,554,000 against MXN 1,041,744,000 a year ago. Income before income tax and minority interest was MXN 1,248,403,000 against MXN 974,691,000 a year ago. Net income attribute to controlling interest was MXN 996,327,000 against MXN 993,361,000 a year ago. Adjusted EBITDA for the cable operations reached MXN 1,708 million, up 16% versus last year, this was principally due to an excess payment of a tax provision in last year, which was due to a high estimate.
For the year, the company reported Income was MXN 16,957,187,000 against MXN 14,556,786,000 a year ago. EBITDA was MXN 6,890,671,000 against MXN 5,836,475,000 a year ago. Operating Profit was MXN 4,789,974,000 against MXN 3,916,406,000 a year ago. Income before income tax and minority Interest was MXN 4,724,010,000 against MXN 3,994,240,000 a year ago. Net income attribute to controlling interest was MXN 3,605,515,000 against MXN 3,124,365,000 a year ago.
For the year 2017, the company expects revenues, around MXN 19 billion or a 13% increase. And EBITDA, in boundaries of the MXN 8 billion or a 16% increase as well. The consolidated EBITDA margin, targeting around 42% for 2017. CapEx to decrease in terms of revenue because the set-top boxes, CPEs and equipment are selling can provide not only 20, but also 50 to 100 megabits on the home. So will need to improve and increase the CPE in terms of the broadband. Forecasting a decreasing CapEx of MXN 263 million to MXN 240 million. The company targeting that about more a 20% tax rate for 2017.
Megacable Holdings SAB de CV is a Mexico-based company principally engaged in the provision of cable service. The Companyâs activities are structured in five segments: Cable Network, Internet, Telephone, Business and Other. The Cable Network division distributes television (TV) broadcasting programs via cable. The Internet division provides Internet services to individual and corporate customers. The Telephone delivers fixed-line communication services to individual and corporate customers. The Business division focuses on designing and developing information technology (IT) infrastructure and equipment for business customers. The Other division mainly includes selling of advertising time, producing TV programs and other network services. The Company operates under various brand names, such as Megacable and Metrocarrier. It operates through Acotel SA de CV, Giga Cable SA de CV and Grupo Lipsio SAPI de CV, among others.
Megacable Holdings, S. A. B. de C. V. Reports Consolidated Earnings Results for the Fourth Quarter and Full Year of 2016; Provides Earnings Guidance for the Year 2017
MEGACABLE HOLDINGS, S. A. B. DE C. V. 
