By Rogerio Jelmayer
SÃO PAULO--Telefónica Brasil SA posted a 56.4% decrease in its
second-quarter net profit on the absence of a one time gain
generated by changes in its tax basis in the year-ago period.
The company, which is controlled by Spain's Telefonica SA,
posted a net profit of 932.9 million Brazilian reais ($278
million), down from BRL1.99 billion in the year-earlier period.
This marked the first time that Telefonica incorporated the
acquisition of Vivendi SA's (VIV.FR) Brazilian unit, GVT, in its
results. In September 2014, France's Vivendi agreed to sell GVT to
Telefonica for EUR7.24 billion ($8 billion).
Telefonica's net revenue rose 5.4% to BRL10.42 billion in the
second quarter.
The company's operating costs increased 6.5% in the period to
BRL7.29 billion.
Telefónica Brasil is Brazil's largest mobile-phone company by
market share, according to telecommunications regulator Anatel. It
ended the second quarter with a market share of 29.3%, up from
28.8% in the year-ago period.
Write to Rogerio Jelmayer at rogerio.jelmayer@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires