MedXtractor (CSE:MXT)
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-- 3Q07 revenues of Ps$607.6 million increased 28% from 3Q06 and 7% from 2Q07 -- Adjusted EBITDA(1) was Ps$181.0 million in the quarter, 53% more than 3Q06 and 11% over 2Q07 -- EBITDA of Ps$176.8 million increased 55% from 3Q06 and 11% from 2Q07 -- Lines in service at 321,003 increased 26% from 3Q06 and 7% from 2Q07 -- Total number of customers (voice, data and TV) was 228,605, 23% more than 3Q06 and 10% over 2Q07
MEXICO CITY, Oct. 31 /PRNewswire-FirstCall/ -- Maxcom Telecomunicaciones S.A.B. de C.V. (NYSE: MXT; BMV: MAXCOM CPO) today announced its Third Quarter 2007 unaudited results.
LINES:
The number of voice lines in service at the end of 3Q07 increased 26% to 321,003 lines, from 255,174 lines at the end of 3Q06, and 7% when compared to 299,744 lines in service at the end of 2Q07.
During 3Q07, 29,306 new voice lines were installed, 3% above the 28,551 lines installed during 3Q06. When compared to 2Q07, the number of installations decreased 3% from 30,343 lines.
During the quarter, the monthly churn rate for voice lines was 1.7%, above the 1.6% monthly average churn experienced during 3Q06 and 2Q07.
Data equivalent lines (at 64Kbps) increased 226% to 125,960 at the end of 3Q07 from 38,640 at the end of 3Q06, and 105% when compared to 61,586 equivalent lines at the end of 2Q07. The increase was mainly driven by installations to residential customers.
During the third quarter, we launched our paid TV service in the city of Puebla. As of September 30, 2007, we had already installed 3,340 TV sets for 2,755 subscribers.
CUSTOMERS:
The number of total customers (voice, data and TV) grew 23% to 228,605 at the end of 3Q07, from 185,979 at the end of 3Q06, and 10% when compared to 207,309 customers at the end of 2Q07.
REVENUES:
Revenues during 3Q07 increased 28% to Ps$607.6 million, from Ps$476.2 million reported in 3Q06. Voice revenues in the quarter increased 33% to Ps$478.2 million, from Ps$359.0 million during 3Q06, and were primarily driven by a 26% increase in voice lines and a higher average revenue per line (ARPU). The ARPU increase was mainly attributed to an increase in public telephony services. Data revenues in 3Q07 were Ps$31.4 million, a 66% increase when compared to Ps$18.9 million in 3Q06, driven by the increase in data equivalent lines. Wholesale revenues in 3Q07 were even at Ps$98.0 million, when compared to Ps$98.2 million recorded in 3Q06.
3Q07 revenues represented a 7% increase from the Ps$569.9 million reported in 2Q07. Voice revenues in 3Q07 increased 8% from Ps$442.6 million in 2Q07, while data revenues increased to Ps$31.4 million, and were 23% higher than those reported in 2Q07 at Ps$25.5 million. During 3Q07, revenues from Wholesale customers decreased 4% from Ps$101.7 million recorded in 2Q07.
COST OF NETWORK OPERATIONS:
Cost of Network Operations in 3Q07 was Ps$249.7 million, 27% above the cost of Ps$196.0 million in 3Q06. With outbound traffic decreasing 15%, the cost per minute increased as a result of higher operating costs in our public phones due to a larger number of public phones in service, along with higher long distance termination charges and higher minutes to cellular phones.
The Ps$53.7 million increase in the Cost of Network Operations was generated by: (i) Ps$48.8 million, or 30% increase in network operating services, as a result of Ps$22.3 million higher operating costs related to public telephones, Ps$15.7 million higher calling party pays interconnection fees, Ps$5.4 million higher leases of circuits and ports, Ps$4.3 million higher long distance interconnection fees, Ps$1.4 million higher cost for paid TV operations, and Ps$0.2 higher Internet services costs, partially offset by Ps$0.5 million decrease in other services costs, such as CATV and cellular operations; (ii) Ps$4.2 million, or 14% increase in technical expenses; and, (iii) Ps$0.7 million, or 16%, increase in installation expenses and cost of disconnected lines.
Cost of Network Operations increased 3% on a quarter-over-quarter basis when compared to Ps$242.2 million in 2Q07. The Ps$7.5 million increase in Cost of Network Operations was generated by: (i) Ps$6.5 million, or 3% increase in Network operating services, as a result of Ps$2.9 million higher leases of circuits and ports, Ps$2.0 million higher cost of operation of public telephones, Ps$1.5 million higher calling party pays interconnection fees, Ps$1.4 million higher cost for paid TV operations, and Ps$0.8 million higher Internet services costs; partially offset by Ps$1.1 million lower long distance interconnection fees, and Ps$1.0 million lower other services cost, such as CATV and cellular operations; (ii) Ps$1.3 million, or 4%, increase in technical expenses; and, (iii) Ps$0.3 million, or 5%, decrease in installation expenses and cost of disconnected lines.
SG&A:
SG&A expenses were Ps$181.2 million in 3Q07, 9% above Ps$165.9 million in 3Q06. The Ps$15.3 million increase was mainly driven by: (i) higher salaries, wages and benefits of Ps$14.3 million as a result of larger headcount; (ii) Ps$7.2 million higher general and corporate expenses; (iii) Ps$1.3 million higher sales commissions; and, (iv) Ps$0.1 million higher compensation charges related to stock options plans. These increases were partially offset by: (i) lower external advisors expenses of Ps$4.0 million; (ii) Ps$2.4 million lower advertising and promotion expenses; (iii) lower bad debt reserve of Ps$0.9 million; and, (iv) lower maintenance expenses of Ps$0.3 million.
When compared to 2Q07, SG&A expenses in 3Q07 increased 8% from Ps$167.9 million. The Ps$13.2 million increase was generated by: (i) higher salaries, wages and benefits of Ps$12.6 million; (ii) higher general and corporate expenses of Ps$3.1 million; (iii) Ps$1.4 million higher external advisors expense; (iv) Ps$0.9 million higher sales commissions; and, (v) higher compensation charges related to stock options plans of Ps$0.7 million. These increases were partially offset by: (i) Ps$3.5 million decline in advertising and promotion expenses; (ii) lower bad debt reserve of Ps$1.3 million; and, (iii) lower maintenance expenses of Ps$0.7 million.
SG&A expenses in 3Q07, before the effect of the non-cash stock option compensation charge, were Ps$177.0 million, 9% above Ps$161.8 million in 3Q06, and 5% above Ps$167.9 million in 2Q07.
Adjusted EBITDA:
Adjusted EBITDA for 3Q07 was Ps$181.0 million, 53% higher than Ps$118.4 million in 3Q06, and 11% higher than Ps$163.3 million in 2Q07. Adjusted EBITDA as a percentage of revenues was 30% for 3Q07, five percentage points higher than the 25% achieved in 3Q06 and one percentage point higher than the 29% in 2Q07.
EBITDA:
EBITDA for 3Q07 was Ps$176.8 million, 55% higher than Ps$114.3 million in 3Q06, and 11% higher than Ps$159.8 million in 2Q07. EBITDA as a percentage of revenues was 29% in 3Q07, five percentage points higher than 24% in 3Q06 and one percentage point higher than 28% in 2Q07.
OPERATING INCOME:
Operating income for 3Q07 was Ps$72.4 million, 215% higher than Ps$23.0 million in 3Q06, and 31% higher than Ps$55.2 million in 2Q07.
NET INCOME:
Net income for 3Q07 was negative Ps$7.6 million, which compared favorably to negative Ps$27.4 million in 3Q06. Net income during 2Q07 was even at Ps$0.2 million. The main drivers for the negative net income of this reporting quarter were non-cash items related to a loss in net monetary position and deferred taxes in the amount of Ps$32.1 million and Ps$38.8 million, respectively.
CAPITAL EXPENDITURES:
Capital expenditures in 3Q07 totaled Ps$252.1 million, 53% above Ps$165.1 million recorded in 3Q06, and 36% below Ps$394.5 million spent in 2Q07. Year-to-date capital expenditures as of September 2007 were Ps$861.1 million, 48% above Ps$583.0 million invested during the nine-month period ended September 2006.
CASH POSITION:
Maxcom's cash position at the end of 3Q07 was Ps$245.8 million in cash and temporary investments, including Ps$15.0 million in restricted cash, compared to Ps$183.0 million at the end of 3Q06, which included Ps$11.0 million in restricted cash. Cash and temporary investments at the end of 2Q07 were Ps$157.9 million, including Ps$2.7 million in restricted cash.
FINANCING:
On July 18, 2007, the Company obtained an unsecured credit facility of Ps$70.0 million from IXE Banco, S.A., which is renewable on a monthly basis. The monthly payable interest rate is estimated using EIIR plus 2.4 percentage points. This unsecured credit was paid on September 6, 2007. Proceeds were for working capital.
On August 2, 2007 the Company obtained a long-term credit facility of Ps$107.0 million for 5 years from Banco Mercantil del Norte, S.A. The monthly payable interest rate on this facility is estimated using EIIR plus 2.0 percentage points. Proceeds were used to pay our paid TV infrastructure.
On September 5, 2007 Maxcom executed a supplemental offering of its debt instruments denominated "Senior Secured Notes" in compliance with Rule 144A and Regulation S of the Securities Act of 1933, in the amount of US$25,000,000.00 (twenty five million dollars 00/100 U.S. currency). Proceeds were used for capital expenditures.
SUBSEQUENT EVENTS:
On October 19, 2007, the Company made its global initial public offering of 14,141,516 American Depositary Shares (ADSs) in the United States and 19,515,152 Ordinary Participation Certificates (CPOs) in Mexico (in both cases including the primary and secondary portions as well as the exercise of the over allotment). Approximately 14% of the ADSs and the CPOs were sold by existing Maxcom shareholders. Each ADS represents seven CPOs, while each CPO represents three Series "A" common shares. After giving effect to this offering, the Company has 789,818,829 Series "A" shares outstanding, and 835,171,473 on a fully diluted basis.
The ADSs, trading under symbol "MXT" on the New York Stock Exchange (NYSE), were initially priced at US$17.50 per ADS. The CPOs, trading under symbol "MAXCOM CPO" in the Mexican Stock Exchange (BMV), were initially priced at Ps$27.10. The over-allotment option was fully exercised for both the ADSs and CPOs. Maxcom's initial public offering resulted in gross proceeds of approximately US$253.8 million.
Morgan Stanley & Co. Incorporated was the sole book-runner and global coordinator for the initial public offering, while IXE Casa de Bolsa, S.A. de C.V., IXE Grupo Financiero was the Mexican lead underwriter for the Mexican tranche of the offering.
Maxcom Telecomunicaciones, S.A.B. de C.V., headquartered in Mexico City, Mexico, is a facilities-based telecommunications provider using a "smart- build" approach to deliver last-mile connectivity to micro, small and medium- sized businesses and residential customers in the Mexican territory. Maxcom launched commercial operations in May 1999 and is currently offering local, long distance, data, value-added, CATV and IP-based services on a full basis in greater metropolitan Mexico City, Puebla, Queretaro and Toluca, and on a selected basis in several cities in Mexico. The information contained in this press release is the exclusive responsibility of Maxcom Telecomunicaciones, S.A.B. de C.V. and has not been reviewed by the Mexican National Banking and Securities Commission (CNBV) or any other authority. The registration of the CPOs described in this press release before the National Registry of Securities (Registro Nacional de Valores) held by the CNBV does not imply a certification of the investment quality of the securities or of Maxcom's solvency. The ADSs may not be publicly offered or traded in Mexico. The trading of these securities by an investor will be made under such investor's own responsibility.
This document may include forward-looking statements that involve risks and uncertainties that are detailed from time to time in the U.S. Securities and Exchange Commission filings of the Company. Words such as "estimate," "project," "plan," "believe," "expect," "anticipate," "intend," and similar expressions may identify such forward-looking statements. The Company wants to caution readers that any forward-looking statements in this document or made by the company's management involves risks and uncertainties that may change based on various important factors not under the Company's control. These forward-looking statements represent the Company's judgment as of the date of this document. The Company disclaims, however, any intent or obligation to update these forward-looking statements.
(1) We define Adjusted EBITDA as net income (loss) excluding depreciation
and amortization, total integral cost of financing, other (income)
expenses, special items, tax and stock option plan expense. Adjusted
EBITDA has material limitations that impair its value as a measure of
a company's overall profitability since it does not address certain
ongoing costs of our business that could significantly affect
profitability such as financial expenses and income taxes,
depreciation or capital expenditures and associated charges. Adjusted
EBITDA is not a recognized financial measure under Mexican GAAP or
U.S. GAAP and do not purport to be an alternative to net income as a
measure of operating performance or to cash flows from operating
activity as a measure of liquidity. We believe Adjusted EBITDA can be
useful to facilitate comparisons of operating performance between
periods and with other companies because it excludes the effect of
stock option plan expense, which is a non-cash compensation item. You
should review EBITDA and Adjusted EBITDA, along with consolidated
financial statements, when trying to understand our operating
performance. However, companies define EBITDA and Adjusted EBITDA in
different ways and caution must be used in comparing these
measurements to other companies.
MAXCOM TELECOMUNICACIONES, S.A.B. DE C.V.
CONSOLIDATED BALANCE SHEET
In thousands of Mexican pesos ("Ps") in purchasing power as of September
30, 2007 and thousands of U.S. dollars ("$")
September 30, 2006
Pesos US Dollars
ASSETS
CURRENT ASSETS:
Cash and cash equivalents Ps 171,994 $15,750
Restricted Cash - -
171,994 15,750
Accounts receivable:
Customers, net of allowance 308,888 28,286
Value added tax refundable 91,875 8,413
Other sundry debtors 33,052 3,027
433,815 39,726
Inventory 37,893 3,470
Prepaid expenses 81,186 7,434
Total current assets 724,888 66,380
Restricted Cash Long Term 11,023 1,009
Frequency rights, Net 87,827 8,043
Telephone network systems &
Equipment, Net 2,822,937 258,504
Pre-operating expenses, Net 103,525 9,480
Intangible Assets, Net 315,300 28,873
Retirement obligations 15,378 1,408
Deposits 5,255 481
Other assets 12,310 1,128
Total assets Ps 4,098,443 $375,306
LIABILITIES
CURRENT LIABILITIES:
Interest Payable
Accrued expenses and other accounts
payable 436,010 39,928
Bank Financing 96,311 8,819
Senior notes, net 191,507 17,537
Notes payables 122,712 11,237
Commercial paper 155,883 14,275
Customers deposits 1,769 162
Payroll and other taxes payable 19,602 1,795
Total current liabilities 1,023,794 93,753
LONG-TERM LIABILITIES:
Senior notes, net 442,399 40,512
Bank Financing 41,299 3,782
Notes payable 278,949 25,544
Other accounts payable 24,537 2,247
Deferred taxes 23,541 2,156
Pensions and Postretirement
Obligations 20,762 1,901
Other long term liabilities - -
Hedging Valuation 12,196 1,117
Total liabilities Ps 1,867,477 $171,012
SHAREHOLDERS' EQUITY
Capital stock 3,273,891 299,799
Premium on capital stock 245,896 22,517
Accumulated deficit (1,254,443) (114,873)
Net loss for the period (34,378) (3,149)
Total shareholders' equity
(deficit) Ps 2,230,966 $204,294
Total liabilities and equity Ps 4,098,443 $375,306
MAXCOM TELECOMUNICACIONES, S.A.B. DE C.V.
CONSOLIDATED BALANCE SHEET
In thousands of Mexican pesos ("Ps") in purchasing power as of September
30, 2007 and thousands of U.S. dollars ("$")
June 30, 2007
Pesos US Dollars
ASSETS
CURRENT ASSETS:
Cash and cash equivalents Ps 155,191 $14,211
Restricted Cash 2,742 251
157,933 14,462
Accounts receivable:
Customers, net of allowance 437,534 40,066
Value added tax refundable 192,414 17,620
Other sundry debtors 62,540 5,726
692,488 63,412
Inventory 33,364 3,055
Prepaid expenses 54,718 5,011
Total current assets 938,503 85,940
Restricted Cash Long Term - -
Frequency rights, Net 83,133 7,612
Telephone network systems &
Equipment, Net 3,607,503 330,348
Pre-operating expenses, Net 77,370 7,085
Intangible Assets, Net 322,945 29,573
Retirement obligations 14,746 1,350
Deposits 5,391 494
Other assets 13,534 1,242
Total assets Ps 5,063,125 $463,644
LIABILITIES
CURRENT LIABILITIES:
Interest Payable
Accrued expenses and other accounts
payable 659,124 60,357
Bank Financing - -
Senior notes, net - -
Notes payables 10,221 936
Commercial paper - -
Customers deposits 1,499 137
Payroll and other taxes payable 34,681 3,176
Total current liabilities 705,525 64,606
LONG-TERM LIABILITIES:
Senior notes, net 1,927,105 176,469
Bank Financing - -
Notes payable 10,912 999
Other accounts payable 22,600 2,070
Deferred taxes 127,815 11,704
Pensions and Postretirement
Obligations 24,130 2,210
Other long term liabilities 9,704 889
Hedging Valuation 4,510 413
Total liabilities Ps 2,832,301 $259,360
SHAREHOLDERS' EQUITY
Capital stock 3,276,031 299,995
Premium on capital stock 255,105 23,361
Accumulated deficit (1,283,252) (117,511)
Net loss for the period (17,060) (1,561)
Total shareholders' equity
(deficit) Ps 2,230,824 $204,284
Total liabilities and equity Ps 5,063,125 $463,644
MAXCOM TELECOMUNICACIONES, S.A.B. DE C.V.
CONSOLIDATED BALANCE SHEET
In thousands of Mexican pesos ("Ps") in purchasing power as of September
30, 2007 and thousands of U.S. dollars ("$")
September 30, 2007
Pesos US Dollars
ASSETS
CURRENT ASSETS:
Cash and cash equivalents Ps 230,727 $21,128
Restricted Cash 15,050 1,378
245,777 22,506
Accounts receivable:
Customers, net of allowance 534,760 48,969
Value added tax refundable 190,890 17,480
Other sundry debtors 45,852 4,199
771,502 70,648
Inventory 27,839 2,549
Prepaid expenses 53,785 4,925
Total current assets 1,098,903 100,628
Restricted Cash Long Term - -
Frequency rights, Net 81,221 7,437
Telephone network systems &
Equipment, Net 3,774,662 345,656
Pre-operating expenses, Net 69,980 6,408
Intangible Assets, Net 325,896 29,843
Retirement obligations 14,522 1,330
Deposits 6,421 588
Other assets 20,675 1,892
Total assets Ps 5,392,280 $493,782
LIABILITIES
CURRENT LIABILITIES:
Interest Payable
Accrued expenses and other accounts
payable 489,558 44,830
Bank Financing - -
Senior notes, net - -
Notes payables 8,266 757
Commercial paper - -
Customers deposits 1,910 175
Payroll and other taxes payable 30,547 2,797
Total current liabilities 530,281 48,559
LONG-TERM LIABILITIES:
Senior notes, net 2,257,742 206,747
Bank Financing 107,000 9,798
Notes payable 9,223 845
Other accounts payable 24,357 2,230
Deferred taxes 158,607 14,524
Pensions and Postretirement
Obligations 25,166 2,305
Other long term liabilities 52,415 4,800
Hedging Valuation - -
Total liabilities Ps 3,164,791 $289,808
SHAREHOLDERS' EQUITY
Capital stock 3,276,031 299,995
Premium on capital stock 259,371 23,751
Accumulated deficit (1,283,252) (117,511)
Net loss for the period (24,661) (2,261)
Total shareholders' equity
(deficit) Ps 2,227,489 $203,974
Total liabilities and equity Ps 5,392,280 $493,782
NOTES TO FINANCIAL STATEMENTS:
Financial statements are reported in period-end pesos as of September 30,
2007 to adjust for the inter-period effect of inflation.
For readers' convenience, all Peso amounts were converted to U.S. dollars
at the exchange rate of Ps.10.9203 per US$1.00.
MAXCOM TELECOMUNICACIONES, S.A.B. DE C.V.
CONSOLIDATED STATEMENT OF OPERATIONS
2006 AND 2007 QUARTERLY PERIODS
In thousands of Mexican pesos ("Ps") in purchasing power as of September
30, 2007 and thousands of U.S. dollars ("$")
July 1 to
September 30, 2006
US
Pesos Dollars %
Voice 359,008 32,875 75%
Data 18,938 1,735 4%
Wholesale 98,212 8,993 21%
TOTAL REVENUES Ps 476,158 $43,603 100%
Network operating services 161,248 14,766 34%
Technical expenses 30,618 2,804 6%
Installation expenses 4,113 377 1%
Cost of Network Operation 195,979 17,947 41%
GROSS PROFIT 280,179 25,656 59%
SG&A 165,923 15,194 35%
EBITDA 114,256 10,462 24%
Depreciation and amortization 91,260 8,357
Operating Income (Loss) 22,996 2,105
Comprehensive (Income) Cost of Financing:
*Interest expense 30,015 2,748
**Interest (income) loss, net (4,156) (381)
Special item - -
Exchange (income) loss, net (8,622) (789)
Gain on net monetary position (10,618) (972)
6,619 606
Other (income) expense (33) (3)
INCOME (LOSS) BEFORE TAXES 16,410 1,502
Provisions for:
Asset Tax - -
Income Tax & Profit Sharing 43,785 4,010
Total Provisions 43,785 4,010
NET INCOME (LOSS) Ps (27,375) $(2,508)
*Adjusted EBITDA 118,421 10,844
% of revenue Adjusted EBITDA 24.9% 24.9%
MAXCOM TELECOMUNICACIONES, S.A.B. DE C.V.
CONSOLIDATED STATEMENT OF OPERATIONS
2006 AND 2007 QUARTERLY PERIODS
In thousands of Mexican pesos ("Ps") in purchasing power as of September
30, 2007 and thousands of U.S. dollars ("$")
April 1 to
June 30, 2007
US
Pesos Dollars %
Voice 442,624 40,532 78%
Data 25,538 2,338 4%
Wholesale 101,748 9,317 18%
TOTAL REVENUES Ps 569,910 $52,187 100%
Network operating services 203,523 18,637 36%
Technical expenses 33,595 3,077 6%
Installation expenses 5,046 462 1%
Cost of Network Operation 242,164 22,176 42%
GROSS PROFIT 327,746 30,011 58%
SG&A 167,924 15,377 29%
EBITDA 159,822 14,634 28%
Depreciation and amortization 104,637 9,581
Operating Income (Loss) 55,185 5,053
Comprehensive (Income) Cost of Financing:
*Interest expense 49,530 4,536
**Interest (income) loss, net (10,870) (996)
Special item - -
Exchange (income) loss, net (40,862) (3,742)
Gain on net monetary position 5,953 545
3,751 343
Other (income) expense 3,335 305
INCOME (LOSS) BEFORE TAXES 48,099 4,405
Provisions for:
Asset Tax 7,626 699
Income Tax & Profit Sharing 40,257 3,686
Total Provisions 47,883 4,385
NET INCOME (LOSS) Ps 216 $20
*Adjusted EBITDA 163,323 14,956
% of revenue Adjusted EBITDA 28.7% 28.7%
MAXCOM TELECOMUNICACIONES, S.A.B. DE C.V.
CONSOLIDATED STATEMENT OF OPERATIONS
2006 AND 2007 QUARTERLY PERIODS
In thousands of Mexican pesos ("Ps") in purchasing power as of September
30, 2007 and thousands of U.S. dollars ("$")
July 1 to
September 30, 2007
US
Pesos Dollars %
Voice 478,206 43,791 79%
Data 31,412 2,877 5%
Wholesale 98,019 8,976 16%
TOTAL REVENUES Ps 607,637 $55,644 100%
Network operating services 210,041 19,234 35%
Technical expenses 34,856 3,191 6%
Installation expenses 4,778 438 1%
Cost of Network Operation 249,675 22,863 41%
GROSS PROFIT 357,962 32,781 59%
SG&A 181,180 16,592 30%
EBITDA 176,782 16,189 29%
Depreciation and amortization 104,410 9,562
Operating Income (Loss) 72,372 6,627
Comprehensive (Income) Cost of Financing:
*Interest expense 58,446 5,352
**Interest (income) loss, net (7,325) (670)
Special item - -
Exchange (income) loss, net 13,251 1,214
Gain on net monetary position (32,135) (2,942)
32,237 2,954
Other (income) expense 5,553 509
INCOME (LOSS) BEFORE TAXES 34,582 3,164
Provisions for:
Asset Tax 3,427 314
Income Tax & Profit Sharing 38,756 3,550
Total Provisions 42,183 3,864
NET INCOME (LOSS) Ps (7,601) $(700)
*Adjusted EBITDA 180,985 16,573
% of revenue Adjusted EBITDA 29.8% 29.8%
NOTES TO FINANCIAL STATEMENTS:
* Interest related to Senior Notes, Banks and Vendor Financing
** Interest Income net
Financial statements are reported in period-end pesos as of September 30,
2007 to adjust for the inter-period effect of inflation.
For readers' convenience, all Peso amounts were converted to U.S. dollars
at the exchange rate of Ps.10.9203 per US$1.00.
DATASOURCE: Maxcom Telecomunicaciones, S.A.B. de C.V.
CONTACT: Jose-Antonio Solbes, Maxcom Telecomunicaciones,
+011-52-55-1163-1005, ; or Lucia Domville,
+1-646-284-9416,
Web site: http://www.maxcom.com/