The weakness of both the peso and the Brazilian real against the US dollar saw the operator’s financial costs increase almost fourfold for the July-September period, amounting to a net loss of 2.88 billion pesos ($175 million).
In a Reuters poll, analysts had forecast a 9.492 billion peso profit for the quarter and the last time América Móvil posted a loss was in Q4 2001, the year it began publishing financial results.
“The foreign exchange losses incurred have not had an impact on cash flows,” Carlos Slim-owned América Móvil stated in a release. “They partly originate in intercompany financing positions.”
The Mexican giant saw a rise in revenues, but its foreign exchange loss hit 45 billion pesos for the quarter, which América Móvil allegedly partly offset by a drop in other financial expenses.
The Mexican peso fell 7% on average against the dollar from the second quarter, while the Brazilian real dropped 15%.
