TIMB Earnings Prediction
The chart below shows how TIMB performed 10 days before and after its earnings report, based on data from the past quarters. Typically, TIMB sees a +1.99% change in stock price 10 days leading up to the earnings, and a +1.25% change 10 days following the report. On the earnings day itself, the stock moves by -1.01%. This data can give you a slight idea of what to expect for the next quarter's release.
TIMB Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.16B
-6.68%
-4.23%
Gross Margin
43.03%
4.82%
2.09%
Operating Margin
23.14%
6.98%
3.35%
Net Margin
12.54%
6.09%
1.13%
EPS
0.06
0.00%
0.00%
No Data Available
TIMB Earnings Analysis
TIM S.A. American Depositary Shares (Each representing 5 Common Shares) Corporation (TIMB.N) Earnings Conference Call
Positive
Service Revenue Growth: 6.1% growth in service revenues, outpacing inflation, driven mainly by mobile services which expanded by 6.3% compared to Q3 2023.
EBITDA Growth and Margin Expansion: EBITDA grew by 7.5% during the same period with another quarter of margin expansion, confirming 13 quarters of expanding margins.
Record High Operating Cash Flow: Operating cash flow reached a record high for Q3, growing above 20% year-over-year, with a margin of 25%.
Post-Paid Customer Growth: Post-paid customer base grew close to 8% year-on-year and 2% quarterly, with a record low churn at 0.7%.
Mobile Ads Revenue Surge: Mobile ads and data monetization revenues more than doubled in the past 12 months, consolidating TIM's position as a relevant player in these markets.
Negative
Prepaid Revenue Decline: 1. Declining Prepaid Revenue: Prepaid revenues have shown a decrease due to lower recharge frequency among specific customer segments, impacting overall revenue growth potential.
Leasing Expense Pressure: 2. Increased Leasing Expenses: Leasing expenses are expected to grow above revenue growth due to inflation adjustments and new contracts, which could pressure margins.
Pricing Strategy Impact: 3. Competitive Pricing Pressure: The entry of Nubank with lower-priced control plans may lead to increased price sensitivity among customers, potentially affecting TIM's market share in the prepaid segment.
Prepaid Segment Stagnation: 4. Stagnant Prepaid Performance: The prepaid segment has remained stagnant over the last three quarters, with no significant growth observed compared to competitors.
Working Capital Concerns: 5. Negative Working Capital Dynamics: Despite a positive working capital dynamic expected in Q4, the seasonal negative impact in the first half of the year raises concerns about cash flow management.
TIMB FAQs
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TIMB Earning Call Sentiment
TIM S.A. (TIMB) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
TIMB.N
-0.53%Positive
The earnings call reflects strong financial performance with a 6.1% revenue growth and a 7.5% EBITDA increase. Despite some challenges in the prepaid segment, the company is launching new strategies to address these. The Q&A highlights management's focus on customer migration and cost efficiencies, with no significant impacts from currency fluctuations or competition. The positive outlook on growth above inflation and operational cash flow further supports a positive sentiment. Overall, the strong financial metrics and strategic initiatives suggest a stock price increase in the short term.
