Brazil's Embratel posts Q2 net loss
Reuters, 07/24/2001 19:04
SAO PAULO, Brazil, July 24 (Reuters) - Brazilian long-distance telephone operation Embratel (SAO:EBTP4) (NYSE:EMT) on Tuesday posted a second-quarter net loss of 38.8 million reais ($15.7 million), as the depreciation of Brazil's currency magnified its debt costs.
Embratel, controlled by U.S. voice and data services company WorldCom Inc. (NASDAQ:WCOM), posted net profit of 123.5 million reais ($50 million) in the same period a year ago.
Net revenue in the quarter grew 18 percent as a result of strong growth in voice revenues and corporate data services to 1.9 billion reais from 1.6 billion reais.
Earnings before interest, taxes, depreciation and amortization, or EBITDA -- a measure of cash flow -- slipped to 402 million reais from 443 million reais in the same period a year ago.
WorldCom, which owns a 19 percent controlling stake in Embratel, said earlier this month that it would change its accounting methods relating to Embratel, no longer combining Embratel's financial results with its own. saopaulo.newsroom@reuters.com))
Copyright 2001, Reuters News Service |
