Telecom Argentina SA Q3 FY2022 earnings call

• EBITDA margin during the first nine months of 2022 was almost 29%.
• CapEx was approximately US$580 million, representing 16% of revenues.
• Generated $369 million equivalent in free cash flow during the nine months of 2022.
• Mobile subscriber base grew, with postpaid up 5.7% YOY. Broadband saw growth in HFC and FTTH subscriber base.
• Launched Flow Flex prepaid modality. FinTech personal pay had almost 528,000 onboarded clients.
• Reopened Class 12 issuance of local notes, obtaining $75 million equivalent. Sold Costanera building for $6 million.
• Held Sustainability Week. Recorded goodwill impairment due to market conditions deterioration.

Telecom Argentina's revenues for the nine-month period ended September 30, 2022 totaled $3.2 billion. In terms of segments: Mobile segment had approximately 20 million total subscribers, with postpaid clients representing 43% of the mobile subscriber base, growing 5.7% year-over-year. Broadband and Pay TV clients totaled 4.2 million and 3.5 million respectively. Fixed voice subscribers (including IP telephony lines) amounted to 3.1 million during the period. Convergent unique customers reached 2.2 million. Regional operations included 2.3 million mobile subscribers in Paraguay and 131,000 Pay TV clients in Uruguay. Revenues measured in constant pesos decreased 12% year-over-year. EBITDA generation totaled $0.9 billion, with an EBITDA margin of 28.7%.

• Uncertainties from ongoing industry and economic valuations.
• Possible changes in demand for Telecom’s products and services.
• Effects of potential changes in general market, economic conditions, legislation.
• Impact of COVID-19 outbreak on global and operating economies.