Will Telefônica Brasil’s Postpaid Surge and Low Churn Propel It Ahead of Rivals?

Vivo’s latest financial outcomes reflect a balanced performance across key areas of its operations. The company, led by its CEO Christian Gebara and CFO David Melcon, reported substantial growth in both mobile and fixed services, heralding a robust trajectory in its core operations. In its mobile segment, Vivo saw its postpaid customer base expand significantly, with a 7.3% year-over-year increase, reflecting a strategic focus on high-value postpaid services, which now constitute 68% of its customer base. This segment’s growth was complimented by extensive 5G adoption, with over 21 million users tapping into its advanced network capabilities. While there is a commendable decrease in postpaid churn to below 1%, there is room for improvement in prepaid services, which saw a decline but indicative signs of rebound were noted in recent quarters.