América Móvil, S.A.B. de C.V. (NYSE: AMX) announced robust financial results for the second quarter of 2025, demonstrating resilience despite ongoing economic uncertainties. The company recorded a total revenue of MXN 234 billion, reflecting a 13.8% year-on-year increase. This growth is attributed to a strategic expansion in both postpaid and broadband services across its operations in Latin America.
During the earnings call held on July 23, 2025, executives emphasized the impact of fluctuating tariffs imposed by the U.S. government on merchandise imports. Although these tariffs did not significantly affect interest rate volatility, they contributed to a 7% decline of the U.S. dollar against the Mexican peso and other regional currencies. Carlos García Moreno, CFO of América Móvil, noted that the economic environment, particularly in Mexico and Brazil, remained a key factor influencing revenue performance.
Subscriber Growth and Service Revenue Surge
The company added 2.9 million postpaid clients during the quarter, with Brazil contributing a notable 1.4 million new subscribers. Colombia followed with 199,000 additions, and Mexico with 102,000. In contrast, the prepaid platform experienced net disconnections of 1.1 million subscribers, primarily in Brazil, Chile, and Central America. Nonetheless, the overall wireless subscriber base grew by 1.7 million for both prepaid and postpaid segments.
América Móvil’s fixed-line segment also showed promise, gaining 462,000 broadband accesses, which includes 231,000 in Mexico, compared to the 155,000 added in the previous quarter. Despite a decline in voice lines and PayTV units, the company’s fixed broadband access reflected a year-on-year increase of 4.5%.
Financial Performance and Outlook
The company’s EBITDA rose to MXN 92.4 billion, marking an 11.2% increase in Mexican peso terms and a 5.1% gain at constant exchange rates. This upward trajectory in EBITDA was accompanied by a net profit of MXN 22.3 billion, translating to MXN 0.37 per share and $0.38 per ADR.
Investments in capital expenditures amounted to MXN 54.9 billion during the first half of the year, contributing to a decrease in net debt by MXN 7.3 billion. The net debt to last twelve months EBITDA ratio stood at 1.56x, a slight increase attributed to currency fluctuations, particularly the appreciation of the Mexican peso.
During the Q&A session, analysts inquired about competitive dynamics in the Brazilian mobile environment and recent regulatory changes in Mexico. CEO Daniel Hajj highlighted the importance of network quality and customer care in driving revenue growth. He acknowledged ongoing competition in the Mexican market but expressed confidence in the company’s operational strategies and market position.
In summary, América Móvil’s Q2 2025 results underline its adaptability in navigating economic headwinds while continuing to expand its subscriber base and revenue streams. The company remains focused on maintaining growth and leveraging its robust infrastructure to capitalize on future opportunities.
