HI: net profit falls 40.9% in the first quarter, to $ 262,3 million

SAO PAULO-the Hi ended the first quarter with net profit of r $ 262,3 million, which represented a fall of 40.9% compared to the first three months of 2012. The result was above average expectations disclosed by analysts, that would be a net income of r $ 157,7 million for the period.
The company's net revenue in the first quarter increased 3.5%, to $ 7.04 billion. The performance, according to the company, was favored by the expansion of mobile phone subscriber base, increased revenue from broadband and pay-TV and lower fixed telephony lines disconnect.
The operating profit before interest, taxes, depreciation and amortization (Ebitda) had an increase of 6.6% in the quarter, to $ 2.15 billion.
The Ebitda margin was 30.5%, compared to 29.7% in the first quarter of 2012, when the company still suffered the effects of a restructuring.
The Oi's investments totaled r $ 1.69 billion in the first quarter, 55% higher than the previous year. According to the company, the increase was due to the anticipation of investments, but estimates for the year are still in R $ 6 billion.
The company's net debt in the quarter reached r $ 27,49 billion, 63.3% of the checked a year ago. The average expectations of analysts was for a net debt of R $ 26.71 billion. The relationship between net debt and Ebitda stood at 3.05, above the limit of 3.0 established by the company to maintain the extraordinary dividend payment plan, worth US $ 2 billion in the year. The carrier said in a statement that it will keep the efforts throughout the year to reduce this index.