TSU Earnings Grow On Client-Base Growth

Once these most recent quarterly results are finalized, they will be run through TheStreet.com Ratings' model and our ratings will be adjusted accordingly. To keep up to date on all of our ratings, visit TheStreet.com Ratings Screener.

Tim Participacoes SA(TSU Quote) reported on February 27, 2009 that its Q4 FY08 earnings spiked 65.8%, helped by steady client-base growth. Net profit increased to Brazilian Reais (R$) 299.62 million from R$180.73 million in Q4 FY07. The most recent consensus estimate was $0.05 per share.

Q4 FY08 net revenue grew 5.0% to R$3.54 billion from R$3.38 billion on growth in subscriber base and value-added services (VAS) revenue. Services revenue, accounting for 90.9% of net revenue, increased 4.0% to R$3.22 billion from R$3.10 billion. Handset revenue surged 16.5% to R$321.40 million from R$275.82 million due to a 14.0% increase in handset volumes and improved portfolio mix. Total subscriber base improved 24.5% to 150.60 million from 121.00 million. Market share declined 24.2% from 25.8% a year ago. Average revenue per user (ARPU) declined to R$29.90 from R$34.50 in the previous year's quarter, despite an increase in prepaid lines. Minutes of usage (MOU) declined to 86 from 106 and quarterly churn rate rose to 9.8% from 8.5% in Q4 FY07. ...