Techtel aims for 50% sales growth in 2004

Argentine telco Techtel aims to increase sales 50% to 150mn pesos (US$50mn) in 2004, up from around 100mn pesos this year, the company said in a statement. Techtel's growth in 2004 will come on top of 2003 performance that saw the company "almost double" revenues over the previous year, marketing manager Eduardo Beker told BNamericas. Techtel reached operational break-even in February this year, as investments from its two shareholders have reduced its debt burden and allowed the company to focus on operations, Techtel said. Mexican telecoms holding company America Movil (NYSE: AMX) and Argentine industrial group Techint supplied Techtel with US$5mn in fresh equity in June this year, building on earlier injections of US$25mn in February 2002 and US$10mn in December 2002. Techtel also used the investments to expand its fiber-optic network, allowing it to reach more customers, Beker said. The company's growth has been a combination of reaching new customers and expanding its contracts with existing customers, he said. That trend reflects on Techtel's emergence as a full service provider offering local, long distance, Internet and data transmission services, he said, adding that America Movil's recent acquisition of mobile operator CTI opens the door for bundling mobile services in the package. Techtel has 160,000 customers in Argentina, of which 6,000 are businesses. The company also operates a subsidiary in Uruguay.