Carlos Slim's Telmex Internacional's (NYSE: TII) Q2 results was the tale of two different perspectives as profit slid 20 percent while sales and operating profits rose.
During Q2, Telmex posted $270 million in profit, a decline from the $340 million it reported in Q2 2009. The Q2 profit decline follows Slim's merger of his Latin American telecom holdings Telint and Telmex with wireless operator America Movil.
The good news was that revenues rose 15 percent and earnings were up by 35 percent.
Even as Slim consolidates his holdings into a larger telecom power, the billionaire's dominance in the Latin American telecom market continues to face new competitors in both his home Mexico market and in Brazil. In Mexico, a Televisa-led consortium won a 20-year fiber network lease from the Comision Federal de Electricidad, which will provide alternative long-distance connectivity. Meanwhile, Telefonica's (NYSE: (NYSE: TEF) ) Telesp and Vivendi continue to ramp up their respective presence in Brazil's telecom market.
- Reuters has this article
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