Phone started the year with a profit of 706 million euros, which is 20% less in the first quarter as it has stopped consolidating all of its UK business and is now sharing a portion of the proceeds following the merger of O2 and Virgin Media. However, Spanish telecoms increased the group’s revenue and achieved it with improvements in all the markets in which it is present.

The company has registered turnover of 10,883 million as of March, including 50% of its UK subsidiary, Virgin Media O2, representing a total growth of 3.2%. Group revenue was driven by strong gains with double-digit sales increases in Brazil (18.1%) and Hispam (10.9%).

Operating results before amortization (OIBDA), a key value in the telecommunications sector to measure business profitability, has recorded a 2.1% increase, to 3,753 million euros. This year, the impact of currency exchange rates on Latin American markets has been positive, unlike what has been in recent years, and has injected 95 million in oibda and an extra 242 million in collections into group accounts.

In the first three months of the year, the company has promoted the objectives of its strategic plan and has achieved milestones for value creation for the group. Telefónica has successfully closed the acquisition of Oi’s cellular assets in Brazil, which will result in synergies of approximately 1,000 million; has sealed a contract in Spain for LaLiga TV rights for the next five seasons, with a 15% reduction in net costs following the deal with DAZN; advances in fiber vehicle manufacturing processes in Spain and the UK; or the acquisition of British Incremental by Telefónica Tech, to which the German purchase of BE-terna was added.

“Solid start to the year led by Telefónica in scenario Inflationary tensions and geopolitical instability prove the company’s strength to deal with the most adverse situations. Once again, it is confirmed that the Group’s strategic plan is correct and represents a valid and strong roadmap to continue providing the best service to our customers, stressed José María lvarez-Pallete, president of Telefónica.

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At the end of the first quarter, net financial debt has been reduced to 27,453 million euros, 23.3% less from March 2021. “Of the total debt, more than 80% are at a fixed rate, with which the company is protected from possible increases in financing costs, and the average debt life reaches 12 9 years & rdquor ;, they underlined from the group. “In addition, Telefónica has an important liquidity position, which stands at 22,302 million euros, and its maturity is covered until after 2024 & rdquor ;.

As of March, Telefónica has reported 513 million euros free cash income including rent, 15.5 times more compared to the first quarter of 2021 as spectrum auctions were conducted during the first months of last year. Investments (CapEx) have fallen 4.9% organically, to 1320 million euros, including 50% of its UK business VMO2