Oi (OIBR3) goes from profit to loss by R$321 million in Q222 – Money Times

The Hey (OIBR3;OIBR4) ended the second quarter of the year with a consolidated net loss attributable to controlling shareholders of R$321 million, according to the report released on Thursday (11).

The result is a profit reversal with respect to figures reported for the same period last year, when the company showed a gain of R$1.13 billion.

Regarding the first quarter of 2022, Oi also reflected its profit of R$ 1.78 billion.

According to Oi, the negative result reflects a net financial result, also negative, of R$3.13 billion, plus income tax expense of R$4.72 billion.

The company added, on a quarterly and year-over-year basis, that the increase in financial expenses is mainly explained by the negative impact of currency depreciation in the second quarter of 2022.

Total net revenue was R$2.77 billion between April and June of this year, down 36.9% year-on-year.

Total net revenue from Brazilian operations was R$2.74 billion, down 36.8% from the same period last year. This reduction was the result of the conclusion of the disposal operations of UPI Ativos Móveis and V.tal.

Net revenue from continuing operations in Brazil was R$2.23 billion, up 1% year over year.

Ebitda (earnings before interest, tax, depreciation and amortization) fell 69.8% from a year ago, to R$388 million.

Oi reached an Ebitda margin of 14%, down 15.2 percentage points from the second quarter of 2021.

The company’s net debt shrank by 37.3%, from R$25.7 billion in the second quarter of last year to R$16.1 billion between April and June 2022. Regarding the first quarter of this year, there was a 48.7% contraction.

With the completion of major planned operations, such as the sale of UPI Ativos Móveis and UPI InfraCo, which were under negotiation, proceeds from these transactions were used to amortize debt.

At the end of the second quarter of this year, Oi had cash of R$5.03 billion, an increase of 47.1% over 2021.

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