Telecom Argentina S.A. Announces Consolidated Annual Results ("FY24") and Fourth Quarter of Fiscal Year 2024 ("4Q24")
Financial Performance: Telecom Argentina reported a net income of P$1,033,252 million for FY24, driven by gains from exchange rate differences, despite a 7.7% decline in consolidated revenues to P$4,137,596 million compared to FY23. The company experienced a positive trend in service revenues during the fourth quarter, with a year-over-year increase of 2.6%.
Customer Growth and Investments: The customer base saw growth in mobile accesses and cable TV subscribers, while broadband accesses slightly decreased. The company invested P$806,649 million in capital expenditures, focusing on expanding cable TV and internet services, as well as enhancing mobile network capacity.
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Financial Results Overview: Cablevisión Holding S.A. reported a 49.6% increase in total revenues for the first nine months of 2025, reaching Ps. 5,622,561 million, largely due to the acquisition of Telefónica Móvil Argentina and higher average revenues per user (ARPU) in mobile, internet, and cable TV services.
EBITDA and Costs: The company's EBITDA rose by 57.8% to Ps. 1,705,926 million, with an EBITDA margin of 30.3%. Total costs increased by 46.3%, primarily due to the incorporation of TMA, but showed a 3.0% decrease when excluding this effect.
Net Loss: Cablevisión reported a consolidated net loss of Ps. 279,620 million, with a significant loss attributable to equity shareholders amounting to Ps. 120,080 million, reflecting a 125.2% decline compared to the previous year.
Conference Call Announcement: A webcast presentation to discuss the financial results is scheduled for November 12, 2025, at 3:00 PM Buenos Aires time, with access available through the company's investor relations website.
Stock Performance: Telecom Argentina SA's shares have surpassed the average analyst 12-month target price of $8.12, currently trading at $10.89/share.
Analyst Reactions: Analysts may either downgrade their valuation or raise their target price in response to the stock reaching the target, influenced by the company's fundamental developments.
Diverse Analyst Targets: Within the Zacks coverage, analyst targets for Telecom Argentina range from $7.00 to $9.00, with a standard deviation of $0.83, indicating varied expectations.
Investor Considerations: The stock's performance above the average target price prompts investors to evaluate whether it signals further growth potential or if it's time to consider selling.

U.S. Stock Market Performance: U.S. stocks rose on Monday, with the Nasdaq Composite increasing by approximately 1%.
Janus Henderson Group Takeover Proposal: Shares of Janus Henderson Group surged 16.2% to $48.36 after the company received a non-binding takeover proposal from Trian Fund Management at $46 per share.
Significant Gains in Other Stocks: Avidity Biosciences saw a 43% increase after Novartis announced its acquisition, while several Argentine stocks rose significantly following President Milei's party victory in midterm elections.
Notable Stock Movements: Other notable gainers included Dyne Therapeutics (42.4%), Banco BBVA Argentina (41.7%), and BridgeBio Pharma (15.5%) after positive news regarding their respective companies.
U.S. Pressure on Argentina: The Trump administration is urging Argentina to limit China's influence as the U.S. and Wall Street banks prepare a $40 billion financial aid package for the country.
Discussions on Resources: Treasury Secretary Scott Bessent has been in talks with Argentina's economic minister about restricting China's access to Argentina's resources, particularly critical minerals and uranium.
Telecom Argentina's Stock Performance: Shares of Telecom Argentina SA (TEO) have entered oversold territory with an RSI reading of 29.99, trading as low as $6.47 per share, compared to the S&P 500 ETF's RSI of 71.3.
Investment Opportunity: The low RSI may indicate that heavy selling is nearing exhaustion, potentially presenting a buying opportunity for bullish investors, with TEO's 52-week range being $6.43 to $15.535.

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