This is a machine translation of Vero Internet’s press release
Vero Internet, the market-leading telecommunications company among Internet Service Providers (ISPs), reported a net profit of R＄18.5 million and a net operating income of R＄212.9 million in Q2 2023, a growth of 36.7% compared to the same period of previous year. The company also had record adjusted EBITDA growth of 55.4% to R＄117.9 million.
For Fabiano Ferreira, CEO of Vero Internet, the expansion of the business was one of the important points for the results. “We had a very significant expansion of our customer base due to our strategy of organic and inorganic growth. In June, we reached the level of 817 thousand subscribers, which means an increase of 22% compared to the previous year. The acquisition of Fixtell and the efforts to be in one new city per month made Vero achieve this large base gain”, elaborates the CEO.
Two other highlights of the positive figures are the changes in the product portfolio and the greater spread of the so-called “Premium Digital Services” in Vero’s base. With an offer that indicates more products and thus more content and services, the base’s average ticket increases, resulting in greater revenue for the company.
“Vero now offers differentiated services, always connected to what the market needs. This implies an increased perception of value for our customers. We combine several aspects: responsible growth, a product range that follows our consumers, good after-sales service. The results were effective, and the figures show this”, says the director.
In addition to these items, there is also an expansion of the company’s adjusted EBITDA, which takes into account earnings before interest, tax, depreciation, stock options and one-off costs. Vero reached a record in this line, at R＄ 117.9 million, which corresponds to an expansion of 44.6% and breaks the record of 55.4% of the EBITDA margin, consolidating more and more as the company that owns the best margin in the industry. This good performance is justified by the improvement, not only in revenue, but also in Vero’s cost and expense management. “We invest more and more in the digitalization of our business, both in acquisitions and primarily in the relationship with our customers, and this has contributed a lot to improving quality and efficiency. Our digital journey is growing and we hope to reap even better results”
In total, the company maintains more than 32,000 km of fiber optics, of which 9,000 km are backbone networks. Thus, Vero’s network comprises more than 2.7 million passed homes (HP – number of homes covered by Vero’s FTTH network) and makes up a total of 4.7 million. Addressable housing passed (AHP – total number of homes from the cities where the company is present).
In short, the financial result was positively influenced by the increase in revenue, which grew 36.7% compared to the same period last year, while financial costs did not follow this growth. “This is a long-term job, the result of a structured process of matrix management of expenses, high sales performance and constant growth, which has shown results”, concludes Ferreira.
In July this year, Vero announced the merger of its activities with Americanet. By consolidating, the companies create the largest fixed broadband Internet provider in Brazil. The transaction was approved by the General Superintendence of the Administrative Council for Economic Defense (Cade), without restrictions, on Friday (8/4) and the companies are now waiting a period of 15 days for the decision to be processed. finally. In addition, the transaction is still under analysis by Anatel, which should issue a decision in the next few months.
Vero is a Brazilian telecommunications company created in 2019, controlled by Vinci Partners and operating in Minas Gerais, Goiás, DF and all the southern states of the country, taking the culture of focusing on quality in customer service and the quality of fast and uncomplicated service .
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