#Mexico #Mexico City #EBITDA Growth #Total Play #Telecom Services

Total Play Achieves Robust Financial Growth in Q2 2025

Total Play Telecomunicaciones, one of Mexico's leading telecommunications companies, recently published its financial report for the second quarter of 2025, highlighting remarkable increases in its earnings metrics. The company reported a 6% growth in EBITDA, reaching Ps. 5,399 million, up from Ps. 5,095 million in the same period last year.

In addition to the notable rise in EBITDA, Total Play saw a gross profit increase of 11% to Ps. 9,921 million, which is a solid indicator of financial health. This growth is attributed to a combination of increased revenue, effective cost management, and operational efficiency initiatives within the organization. Eduardo Kuri, the CEO of Total Play, commented on the results, emphasizing the company's strict financial discipline and the impact of operational efficiencies on profitability.

Revenue and Subscriber Growth

The company reported total revenue of Ps. 11,551 million for the quarter, a 4% increase compared to Ps. 11,150 million from the previous year. A significant factor in this revenue growth was a reported 8% increase in residential revenue, driven by customer migration to advanced symmetrical telecommunications services, which offer superior quality and speed.

During the current quarter, Total Play successfully migrated its customer base of over five million users to these next-generation services, enhancing overall subscriber satisfaction. Kuri noted that this transition led to a revenue generation of Ps. 1,006 million in cash flow, marking the company’s sixth consecutive quarter of robust cash generation.

The number of subscribers rose to 5,359,675, which includes small and medium-sized businesses, further contributing to enhanced revenue, and showcases the company's ability to effectively deliver advanced internet services and entertainment options.

Cost Management and Financial Strategy

On the cost side, Total Play saw total costs and expenses increase by 2% to Ps. 6,152 million. The growth in expenses was largely due to a 17% rise in general expenses, while service costs significantly decreased by 25%. This reflects the success of the company's ongoing cost-reduction initiatives absent of major investments in geographic expansion, thus allowing strengthened cash flow generation without compromising service capabilities.

Total Play's operating profit for the quarter was Ps. 495 million, down from Ps. 888 million the previous year. Despite this decrease, the company achieved a notable turnaround in its net income, reporting Ps. 180 million, compared to a substantial net loss of Ps. 3,733 million from Q2 2024. This marks a significant achievement in stabilizing the company's financial performance amid a competitive telecommunications landscape.

Financial Position and Future Outlook

As of June 30, 2025, Total Play reported total financial debt of Ps. 57,030 million, marking an increase from the previous year, which was attributed to the issuance of additional secured notes. However, the company maintained significant cash reserves, equating to Ps. 7,416 million in cash equivalents, indicating robust liquidity.

With regard to future projections, the overall operational strategy of focusing on leveraging existing assets and an optimized fiber optic network enhances Total Play’s potential to expand its service offerings without substantial new investments. As it stands, the company aims to improve user penetration which reached 30.4% of homes passed, a notable increase from last year's 28.5%.

In conclusion, Total Play’s second quarter of 2025 reveals a company on a strong upward trajectory, marked by improved profitability, subscriber growth, and stringent financial management. As the telecommunications landscape evolves, Total Play's commitment to customer satisfaction and operational efficiencies positions it favorably for the challenges and opportunities ahead.