América Móvil's second quarter of 2023 financial and operating report

July 11th, 2023 / 2Q23

Mexico City - América Móvil, S.A.B. de C.V. ("América Móvil") [BMV: AMX] [NYSE: AMX, AMOV], announced today its financial and operating results for the second quarter of 2023.

  • We added 2.2 million wireless subscribers in the second quarter including 1.5 million postpaids. Brazil contributed 632 thousand, Austria 267 thousand and Colombia 171 thousand.
  • Prepaid net subscriber additions stood at 787 thousand, with Brazil and Mexico adding almost 200 thousand each and Colombia 185 thousand.
  • On the fixed-line segment we obtained 331 thousand broadband accesses including 140 thousand in Mexico, 78 thousand in Argentina and 45 thousand in Brazil.
  • Second quarter revenue was down 4.6% year-on-year to 203 billion pesos in Mexican peso terms, but correcting for foreign exchange effects, service revenue increased 5.0%, expanding 6.7% in mobile services and 2.3% on fixed-line ones. Mexico, Brazil and Austria saw continued progress on their fixed-line revenue growth.
  • EBITDA was down 3.8% in Mexican peso terms to 78.7 billion pesos in the quarter, resulting in a 38.9% EBITDA margin. At constant exchange rates it expanded 5.6% in the period on greater operating leverage.
  • Operating profit of 40.3 billion pesos was down 2.8% year-on-year whereas our net profit nearly doubled from the year-earlier quarter to 25.9 billion pesos, mostly on account of greater foreign exchange gains.
  • In the first six months of the year capital expenditures totaled 64.4 billlion pesos and distributions to shareholders 5.0 billion pesos, including share buybacks in the amount of
    3.1 billion pesos and dividends of 2.0 billion.
  • In cash flow terms we reduced our net debt by 3.8 billion pesos in the period. Our net debt excluding leases totaled 358 billion pesos at the end of June, having come down by 23.9 billion pesos from the end-of-December figure on the back of the appreciation of the Mexican peso vis-à-vis other currencies, particularly the U.S. dollar. It was equivalent to 1.43 times LTM EBITDA.

We will host our conference call to discuss 2Q23 financial and operating results on July 12th at 9:00 am Mexico City time. To access the call please log on to www.americamovil.com/investors

1

Content

Highlights

Relevant events

Subscribers

América

Móvil

Consolidated

Mexico

Brazil

Colombia

Other South

America

Central

America and

Caribbean

Austria

Other

European

Currency

Exchange

Rates

Appendix

Glossary

América Móvil Fundamentals

2Q23

2Q22

Earnings per Share (Mex$) (1)

0.41

0.21

Earning per ADR (US$) (2)

0.46

0.21

EBITDA per Share (Mex$) (3)

1.25

1.28

EBITDA per ADR (US$)

1.41

1.27

Net Income (millions of Mex$)

25,875

13,683

Average Shares Outstanding (billion)

63.2

64.0

Shares Outstanding End of Period (billion)

63.2

63.9

  1. Net Income / Average Shares Outstanding
  2. 20 shares per ADR
  3. EBITDA / Average Shares Outstanding

América Móvil's Subsidiaries as of June 2023

Country

Brand

Main Activity

Equity

Mexico

Telcel

wireless

100.0%

Telmex

wireline

98.8%

Argentina

Claro

wireless/wireline

100.0%

Brazil

Claro

wireless/wireline

99.6%

Colombia

Claro

wireless/wireline

99.4%

Costa Rica

Claro

wireless/wireline

100.0%

Dominicana

Claro

wireless/wireline

100.0%

Ecuador

Claro

wireless/wireline

100.0%

El Salvador

Claro

wireless/wireline

95.8%

Guatemala

Claro

wireless/wireline

99.3%

Honduras

Claro

wireless/wireline

100.0%

Nicaragua

Claro

wireless/wireline

99.6%

Paraguay

Claro

wireless/wireline

100.0%

Peru

Claro

wireless/wireline

100.0%

Puerto Rico

Claro

wireless/wireline

100.0%

Uruguay

Claro

wireless/wireline

100.0%

Netherlands

KPN

wireless/wireline

16.1%

Austria

A1

wireless/wireline

51.0%

2

Content

Highlights

Relevant events

Subscribers

América

Móvil

Consolidated

Mexico

Brazil

Colombia

Other South

America

Central

America and

Caribbean

Austria

Other

European

Currency

Exchange

Rates

Appendix

Glossary

Note

Upon its sale in July 2022 Claro Panama became a discontinued operation. Claro Chile did so as well upon the establishment of the joint venture with Liberty Latin America in October 2022. The financial statements presented in this report account for those operations as discontinued operations.

The reported figures for Argentina corresponding to the second quarter of 2023 are presented in accordance with IAS29 reflecting the effects of inflationary accounting as the Argentinean economy is deemed to be hyperinflationary. All comparisons at constant exchange rates for America Movil's consolidated figures will exclude Argentina to ensure consistency.

Relevant Events

Ordinary dividend of MXP$0.46 per share

In April our shareholders approved a buyback program fund in the amount of MXP 20 billion and the payment of an ordinary dividend of MXP$0.46 per share to be paid out in July and in November. They also agreed on the cancelation of treasury shares acquired as part of our buyback program, and to amend article sixth of its bylaws reducing the capital stock in proportion to the cancelled shares.

One billion-euro financing for Euro Tele Sites

On June 9th we closed a 500 million-euro,five-year bullet loan for the new Euro Tele Sites, a tower company to be spun-off from Telekom Austria. The loan was provided by a group of six international banks. A few weeks later, on July 6th, the same entity launched a 5.25%, 500 million-eurofive-year bond. Euro Tele Sites will thus be fully funded at the time of the spin-off.

América Móvil's Global Peso Notes program

On June 26th we launched the inaugural issue of our new Global Peso Notes program, under which we expect to issue an amount of up to 130 billion pesos over five years. In our inaugural offering, registered both with the SEC in the U.S. and with the CNBV in Mexico, we placed a long seven-year, 17 billion-peso, 9.5% sustainable bond-approximately one billion U.S. dollars equivalent-maturing in January 2031. Nearly half of the bonds were distributed amongst international investors.

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Content

Highlights

Relevant events

Subscribers

América

Móvil

Consolidated

Mexico

Brazil

Colombia

Other South

America

Central

America and

Caribbean

Austria

Other

European

Currency

Exchange

Rates

Appendix

Glossary

Access Lines

2.2M wireless net adds, 1.5M were postpaid clients

We added 2.2 million wireless subscribers in the second quarter of which 1.5 million were postpaid clients. Brazil contributed 632 thousand new contract clients, while 267 thousand came from Austria and 171 thousand from Colombia. On our prepaid platform we had net additions of 787 thousand clients in the period, with Brazil and Mexico gaining almost 200 thousand each and Colombia 185 thousand.

331k new broadband accesses

On the fixed-line segment we obtained 331 thousand broadband accesses including 140 thousand in Mexico, 78 thousand in Argentina and 45 thousand in Brazil. Voice lines and PayTV units fell by 253 thousand and 47 thousand, respectively, in the quarter.

Postpaid base +3.7% YoY and fixed-broadband accesses +3.0% YoY

Our subscriber base comprised 303 million wireless subscribers at the end of June, of which 117 million were postpaid clients. In addition, we had 73 million fixed-line RGUs, including 31 million broadband accesses, 13 million Pay TV clients and 29 million land-lines. Our postpaid base increased 3.7% year-on-year, with prepaid expanding 0.7%, fixed-broadband 3.0% and PayTV practically flat.

Wireless subscribers as of June 2023

Total(1) (Thousands)

Country

Jun '23

Mar '23

Var.%

Jun '22

Var.%

Argentina, Paraguay and Uruguay

27,462

27,178

1.0%

26,638

3.1%

Austria

9,511

9,250

2.8%

8,306

14.5%

Brazil

83,671

82,844

1.0%

85,735

-2.4%

Central America

16,834

16,845

-0.1%

16,189

4.0%

Caribbean

7,469

7,410

0.8%

7,222

3.4%

Colombia

38,424

38,068

0.9%

36,322

5.8%

Eastern Europe

14,975

14,867

0.7%

14,969

0.0%

Ecuador

9,290

9,163

1.4%

8,802

5.5%

Mexico

83,243

82,982

0.3%

81,364

2.3%

Peru

12,323

12,347

-0.2%

12,202

1.0%

Total Wireless Lines

303,202

300,952

0.7%

297,749

1.8%

  1. Includes total subscribers of all companies in which América Móvil holds an economic interest; does not consider the date in which the companies started being consolidated.

4

Content

Highlights

Relevant events

Subscribers

América

Móvil

Consolidated

Mexico

Brazil

Colombia

Other South

America

Central

America and

Caribbean

Austria

Other

European

Currency

Exchange

Rates

Appendix

Glossary

Fixed-Line and Other Accesses (RGUs) as of June 2023

Total(1) (Thousands)

Country

Jun '23

Mar '23

Var.%

Jun '22

Var.%

Argentina, Paraguay and Uruguay

3,250

3,055

6.4%

2,417

34.4%

Austria

2,892

2,917

-0.9%

2,995

-3.4%

Brazil(2)

23,452

23,889

-1.8%

24,699

-5.0%

Central America

4,763

4,700

1.3%

4,514

5.5%

Caribbean

2,750

2,734

0.6%

2,673

2.9%

Colombia

9,334

9,263

0.8%

9,075

2.9%

Eastern Europe

3,357

3,304

1.6%

3,140

6.9%

Ecuador

615

623

-1.4%

582

5.6%

Mexico

21,074

20,944

0.6%

21,256

-0.9%

Peru

1,957

1,985

-1.4%

1,962

-0.2%

Total RGUs

73,444

73,413

0.0%

73,311

0.2%

(1)Fixed Line, Broadband and Television (Cable & DTH).

  1. The number of Pay TV units has been adjusted to the criteria by which we report to the local regulator.

5

Content

Highlights

Relevant events

Subscribers

América

Móvil

Consolidated

Mexico

Brazil

Colombia

Other South

America

Central

America and

Caribbean

Austria

Other

European

Currency

Exchange

Rates

Appendix

Glossary

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Disclaimer

América Móvil SAB de CV published this content on 12 July 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 July 2023 13:33:03 UTC.