Good morning, and welcome to Megacable's first quarter 2023 earnings conference call. With us this morning from Megacable, we have Mr. Enrique Yamuni, CEO, Mr. Raymundo Fernandez, Deputy CEO, and Mr. Luis Zetter, CFO. Let me remind you that the information discussed in today's earnings call may include forward-looking statements on the company's future financial performance and prospects, which are subject to risks and uncertainties. Megacable undertakes no obligation to update or revise any forward-looking statement. I will now turn the call over to Mr. Enrique Yamuni. Sir, you may begin. Thank you very much. Good morning, everyone, and thank you for joining us today. The expansion study that we have outlined in, and the company determination to keep performing in a competitive market have led us to start this year with a stronger pace in net adds than that of the previous year, recording the highest quarterly figures of net additions in unique subscribers and ARPUs in the last two years. This quarter, we have entered into seven new territories and expanded our network coverage to more than 900,000 additional homes, on track to meet our goal of 2.5 million homes for the full year. Thus sustaining the growth in subscribers for the coming periods. The expansion strategy is now consistently being reflected in the number of kilometers we activate, which during this quarter also reached a record high figure in the company's history. I want to highlight that following the announcement of this ambitious initiative at the end of the third quarter of 2021, we have effectively activated more than 16,000 new kilometers of fiber network and added nearly 3.2 million new homes passed. Also, during this period, we have already incorporated nearly 440,000 new subscribers, including a big portion in the new territories. We believe that these results are quite encouraging, especially considering that 80% of those subscribers signed up in the last 9 months. We are thrilled about it. We are thrilled also of what we can achieve in the next periods. Very relevant, the company's balance has remained at a very healthy level despite the investment we have carried out. The company leverage remains well below when compared to other players in the industry, thus providing Megacable with flexibility to carry out its investment plans. The significant investments made to reach new markets and modernize our network has played a significant role in subscriber growth, which has occurred in the midst of a competitive environment. Our legacy territories have continued to grow on the back of our unique value of our products offering. Both territories have contributed to the subscriber growth we have achieved, which I said is the largest figure in the last two years. We have always been committed to providing our service through state-of-the-art technology in order to meet the growing connectivity and video needs of our subscribers. Such is the case of our video service which takes to our integrated Xview and Xview Plus platforms, has positioned itself at the best in the market with unmatched integrating or integration capabilities. We are now certain that our customers recognize and buy our service, which continues to have excellent feedback as well as users metrics. As of quarter end, Xview is recording more than 90 million interactions on a monthly basis, and that is considering only the native content that Megacable provides to its subscribers. On top of that, we have all the content coming from the other OTTs that can be integrated into our service, which at quarter end accounts for more than 670,000 users. Regarding the MVNO business, during the quarter we were able to revert the trends we saw during 2022. The active lines growth is now more visible, and it should rise at a faster pace in the next periods. It is also important to highlight that MVNO ARPU has become one of the highest in the industry due to the business's focus on post-paid services. Despite the company's expansion during this quarter, we managed to reach another record high EBITDA figure, which proves that even in this investment scenario, we have not lost focus on efficiencies and cost savings, which has been part of the company's DNA since the beginning. As we continue to increase the penetration in new territories, we expect margins to recover in the coming periods. Before concluding, I would like to announce that at the general ordinary shareholders' meeting held yesterday, the shareholders approved a dividend payment of MXN 2.5 billion, representing 30% of the consolidated EBITDA for 2022. The payment will be carried out in one installment on May 25th. Wrapping up, our results continue to improve in line with expectations, driven by a strong execution of our strategy. Despite persistent economic headwinds, our financial strength and disciplined capital allocation have provided the flexibility to accelerate critical investments projects in size-safe, high return growth opportunities while growing our shareholders' future value. I will turn the call over to Raymundo to discuss our operational performance. Raymundo, please go ahead. Thanks, Enrique, and good morning, everyone. During this period, key operational metrics show faster growth than previous quarters, reflecting the solid pace of additions in both new and existing markets, as well as the attractive value proposal of our portfolio solutions, even in the face of a challenging inflation environment and increased competition. As Enrique mentioned, we remain focused on expanding our coverage, which is already consistently reflected in the kilometers of network that we have added in recent quarters. We will continue to work to ensure that this growth can be replicated in the same dimension in subscribers and revenues growth for the company. Both of them will grow at a higher pace in the next periods. Unique subscribers growth has been outstanding. We are truly very happy about it. In the organic territories, Megacable not only retains the highest market share with a very strong penetration, but also managed to increase subscribers. For the expansion cities, we're already achieving close to 20% of market share with some of the old neighborhoods even higher. Our strategy is based upon great quality of construction, outstanding product based on the Xview platform with the Android TV interface and operation efficiencies. The market perception and our research studies validate the increase of our Net Promoter Score among existing subscribers, recognizing speed migration and Xview usage. I would like to highlight that in line with the current footprint expansion, but also supported by the growth achieved on the existing footprint, the figure of gross adds for the quarter was a record high in the company's history for the three services in the mass market, mass segment. We continue to apply a very aggressive sales strategy, focusing on highlighting the benefits of our services and the value proposition we offer to our customers. Moving into results. Unique subscribers for the quarter increased 9% year-over-year, the highest figure in the last two years, reaching 4.5 million with 361,000 net additions, including 142,000 that corresponded to this period. By segment, Internet subscriber grew 10% compared to the first quarter of 2022, totaling 4.3 million, resulting in 392,000 net additions, out of which 147,000 correspond to this period. We are aware of the bandwidth consumption trends, which will require higher speeds for a satisfying navigation experience. Therefore, we continue to do speed increases in all of our bundles. At quarter end, 65% of our subscriber base has a speed of 50 megabits or higher, compared to a little above 50% in the same period of last year. At quarter end, 52% of our subscribers already receive their service through an FTTH network as a result of the deployment of fiber in new territories, but also the converse version we continue to carry out in other HFC territories that we consider necessary. Currently, 50% of our network is already FTTH. Video subscribers reached 3.8 million, growing 6% and adding nearly 220,000 versus the first quarter of 2022. In the sequential comparison, it gained 86,000 net adds. Our Xview Plus platform maintained a solid growth pace, going from 2.5 million subscribers at the end of the first quarter 2022 to 3.7 million this period, an increase of 46% or more than 1.1 million net additions. The telephony segment recorded 3.6 million subscribers, growing 16% compared to the first quarter of 2022, representing 489,000 net additions, of which 174,000 corresponded to this period. The MVNO services totaled 377,000 subscribers, down year over year, but up 6% against last quarter with 20,000 net additions. As we stated in the previous quarter, the growth in terms of new lines is now visible considering that we have already concluded the cleanup strategy. We are proud of the subscriber mix that we have achieved, including mostly postpaid services with a very attractive revenue contribution, thus making us one of the companies with the higher ARPU among the MVNOs and also MNOs. Churn rates improved on an annual basis with broadband at 1.9%, video at 2%, and telephony at 2.1%. In this line, it is worth noting that despite the entry to new territories, the churn rate for this quarter remained below first quarter 2022. At the end of the quarter, ARPU used totally MXN 11.6 million, 10% more than the MXN 10.5 million for the first quarter of 2022, supported by a stronger growth of subscribers mainly derived from our expansion and reflected in the ARPU used per unique subscribers, which went from 2.52 in the first quarter of 2022 to 2.56 this period. Both metrics are expected to steadily grow over the next quarter as infrastructure development advances in new markets. ARPU per unique subscriber was MXN 420.4, remaining stable compared to past quarters. This is mainly due to successful marketing campaigns that have offset the promotional bundling fees we are offering in the new markets, which are temporary, we can expect their full contribution to the company's revenues in the following months. Turning to ARPU by segment, broadband remained practically unchanged compared to the first quarter of 2022. Video rose by 2%, telephony decreased 17%, and MVNO increased 40% as a result of the customer base optimization. Regarding the corporate telecom segment, revenues for the quarter grew 17% when compared to the same quarter of the previous year, with MetroCarrier, ho1a, and MCM recording annual growth rates of 17%, 24%, and 14% respectively. This was mainly due to better revenue coming from the corporate and government segments in MetroCarrier and ho1a respectively. I want to highlight that the company is not only focused on the expansion initiative, but we are also committed to reinforce the value proposition in our existing territories as we continue with the network conversion and expansion of the HFC network. Our vision remains to have the best technology and network infrastructure, so our conversion plan remains in course. To conclude, I would like to emphasize that the company's strategy remains oriented toward providing an attractive value offering featured by its quality and technological edge, all the above leverage on operating efficiency through the execution of our expansion plan and the migration of existing territories and the continued development of our video service. With this, I conclude my remarks. Now I would like to hand the call over to Luis, who will shed broader color on the financial results. Thank you, Raymundo. Good morning, welcome everyone. During the first quarter of 2023, consolidated revenues rose 9% year-over-year to MXN 7.2 billion, driven by the solid performance recorded our 3 mass services, coupled with the double-digit growth in the corporate segment. The mass segment revenues for the quarter was MXN 5.8 billion, increasing 7% year-over-year. Revenues for broadband, video, and mobile services posted annual growth rates of 9, 8, and 26% respectively, reflecting the stronger subscriber growth in new markets as well as in our existing footprint. Meanwhile, telephony revenue fell since its use is further declining as customers opt for internet and mobile services. The corporate segment revenues totaled more than MXN 1.3 billion, up 17% compared to the first quarter of 2022, with MetroCarrier, ho1a, and MCM growing at 17%, 24%, and 14% respectively. It is important to note that all our revenues for this period is normalized since the previous quarter was exceptionally high. In the same line, revenues for PCTV increased 15.7% when compared to the same period of last year. As a result of all the above, the company revenue mix was 81% coming from mass market and 19% coming from corporate. Cost of services reached MXN 2 billion, up 17% year-over-year, while SG&A rose 15% on the same comparison amounting MXN 1.9 billion. The aforementioned was mainly derived from the undergoing expansion of the company, coupled with a higher labor cost as a result of the increase in the minimum wage and the operations in the corporate segment with lower margin contribution. Quarterly consolidated EBITDA went up 1% year-over-year, amounting to nearly MXN 3.3 billion. EBITDA margin for the quarter stood at 45.7%, implying an expansion of 230 basis points compared to 43.4% in the fourth quarter of 2022. In the same line, quarterly EBITDA for cable operations reached MXN 3.1 billion with a margin of 47.3%. The performance of these metrics is consistent with the expected pressure in cost related to the expansion into new territories. Net income decreased compared to first quarter of 2022, amounting to MXN 797 million due to the high depreciation resulting from the substantial investments made over the last few years. As well as the higher financial expenses derived from the interest rate hike and additional debt taking to accelerate growth project. It is worth mentioning that the net income on a sequential basis hiked a 43% from fourth quarter of 2022. Moving into the balance sheet. As of March 31st, 2023, net debt was MXN 14.4 billion, compared to MXN 4.8 billion recorded at the same period of last year. The increase comes from the issuance of long-term local notes for MXN 7 billion in July 2022. Additional debt arranged to accelerate our expansion plan. Net debt to EBITDA and interest coverage ratios stood at 1.12 and 7.2 times respectively, remaining at the same level and still providing us with a wide flexibility to fund our growth plans. As for CapEx, the figures total MXN 2.2 billion, representing 31% of quarterly revenues, and the majority allocated to our geographic expansion and network modernization. The current level of CapEx is below the 40% mark, as the investment deployment is usually slower at the first months of the year. We remain with the same target for CapEx deployment for the full year, rounding 40% of revenues. With this, I conclude my remarks. Let me turn back the call to the operator to open the line for Q&A. Thank you. Thank you. Ladies and gentlemen, if you have a question, please press star 1 on your telephone keypad. If you would like to remove your question, please press star 2. Our first question comes from Marcelo Santos with JP Morgan. Please proceed with your question. Good morning, Enrique, Raymundo, Luis. Thank you for taking my questions. I have two. One is if you could provide a bit of what has been the competitive response in the new areas that you are entering? How has been the environment in these areas? And the second, if you could comment a bit on the price increase you conducted or you will conduct, I think on, in May. What, what, how much of an impact could that be? What, what kind of magnitude are we talking about? Thank you very much. Sure, Marcelo. This is Raymundo. Thank you for your question. As I stated in my remarks, we're very pleased about the results of the new territories regardless of competition. We are not targeting to a price war, but more of a quality of the product and the Xview platform. We have very aggressive promotional campaigns, but not really below to most of what we have in the existing territories of Megacable in that part. Right now, we can tell you that we have around 13% penetration of those markets regardless of the 950,000 new home pass. That tells you that in some of these territories, we already achieved 20% penetration. When we go to market share, we're very happy to have. Our goal was to have 1/4 of the share, trying to hit for more than that. We're getting that after pretty much 3/4 of what we have of the expansion program. If you can go through our numbers, we added less than 500,000 home pass in the second quarter of that year as well as the third quarter, and we increased to 900,000 in fourth quarter and again 900,000 in this quarter. Pretty much even so we announced the expansion program at the end of 2021, we really start performing at second half and at the end of 2022. Right now our market share and penetration, it is really well achieved on that part. We have a much more better market share still because we bundle very efficiently with our Xview platform, which not only the speed and the quality of construction of our new network is one of the reasons, but also the way we're very efficient in how we commercialize, we do the go-to-market, and also the product of the Xview platform. In those existing territories, we can tell you that truly the majority of our subscribers, as you can see, is triple play packages. One of our main advantages is also, of course, video. How our competitors are reacting, as I said, is not a matter of pricing. They are focusing on their existing subscribers and trying to retain them, but our job is to be very creative to see how we can do that go-to-market. The main goal for us right now is not only to build those home pass, but having the organization ready to meet now the capacity to have to sell. That's where organization and management is focusing right now to speed up the process. As you can see for our results, we increased the number of gross adds, that we're very happy about that. It is incredible a big challenge to go from, let's say, 140,000 gross adds per month to almost 180,000 gross adds per month that we have to do. In the territory on that part. We need to increase that number. That's where we're focusing. We're very pleased to the results in the competitive, in the new areas, regardless whether there is fiber or not fiber from the existing competition, whether it's Telmex, Totalplay or Televisa, we've been very successful so far as we are in the existing territories. Remember that in our existing territories, we hold the majority and the main market share that we have, you know. Regardless the price increase we are targeting, well, we're very close to the beginning of May. It will depend on the market and the package that you have. Some of them will have MXN 30, and other ones will have a MXN 40 increase. You can add not only subscriber base will have that increase. The contribution will not be. What we are expecting is to have a contribution of three points pretty much on the revenue coming from the price increase. You have to take into consideration that as we continue to increase gross adds, the number of gross adds has a promotional fee that is below our average. That's why our gross and go more. Expect that ARPU will grow, yes, in the coming, in the coming periods to come on that part as we are more efficient and also because of price increases. Consider that we have a negative impact for the number of gross adds with a promotional fee. I will assume that that will answer your two questions, Marcel. It's very comprehensive. Just one clarification on the first. You said that you have 13% penetration in some of the new markets in the average. In some markets you got 20. You said the goal is to have... I didn't get the number of the goal. Remember that when we launched and we announced the market, our goal was to achieve 20% and having pretty much one-fourth of the new territories. That was what we forecast and we planned as our, let's say conservative or base goal. What I can tell you right now is that with only 2 quarters or 3 quarters in there, we are already in average having 13% penetration. But in some of the neighborhoods, not system or markets, we have already achieved 20% penetration in some of them, which pleased us very much about that. Perfect. Very clear. Thank you very much. Thank you. Our next question is from Carlos de Legarreta with Itaú. Please proceed with your question. Hi. Thank you. Good morning. Thank you for taking the questions. I guess you already addressed this, Luis, but on the CapEx side, I was a little surprised to see it coming down year-over-year, despite the fact that, as you mentioned, you added a record number of home passed and kilometers. I mean, I'd love to understand better the relationship between this, but I guess you did address that for the full year you continue to expect a similar number, no? Yeah, sure. You have to take in consideration that a lot of our investment, and we mentioned several times, that we place orders ahead of time, and that was part of our inventory during the last year. They were a lot of them were used to build network kilometers that we have been activating also during this year. There was a backlog of kilometers and home spots that were activated in this period. That trend continues. We still have inventory or warehouse CapEx, let's say that it's in the peak right now. That shows the materials that we have ready to be deployed. We are building new kilometers, and you will see them activated on second quarter. In the second quarter and especially in the second half, you will see a higher consolidation of CapEx. Remember that CapEx becomes CapEx only when we activate kilometers. Great. Thank you. Secondly, I guess thinking about financing, and given the dividend that your shareholders meeting just approved, I suppose you're going to go for more debt. If you can talk about how those negotiations are going, that'll be helpful. Okay. Well, yes, and that's right. You're right point. We are going to get additional debt within this month and the month of June. We are going to have additional debt with banks. We already signed, and we are disposing or getting the money on April. You will see that on further information. We are getting ready for all the investment and all the disbursement that are ahead of us. Yes, we are on top of that, and it's all rearranged. We don't see any trouble on that. We see of course that our net debt ratio is going a little bit up, but we are still on healthy levels. It's part of the plan. It's part of the plan. It's part of the plan. No, no, I'm sure. No, but whatever. Are you going to do that with only through banks or are you going to continue with the bond program? The bond program is targeted for next year. Yeah. Okay. We Remember that next year also we have a due with bank credits, so we have to refinance that and we will do through the bonds an additional catch for CapEx for the next year. The bond is targeted for next year. This is Enrique. You know, everything is going according to what we have planned, the financial plans, the subscriber acquisition, the CapEx we have been exercising. On top of that we have been more efficient in our CapEx than what we have planned. Also the number of homes passed that we are reaching is larger. We are happy with the results and the execution with the equipment here has been doing. Exchange rate has given us some help as well, so. That's part of. Thank you guys. I appreciate the call. Thank you. Thank you. Thank you. Our next question is from Andres Coello with Scotiabank. Please proceed with your question. Yes. Hello, good morning. Thank you for taking my question. The first one is on the corporate segment. Very good growth there, 17% revenue growth, but with very low margins. Apparently, the margin there is 3.8% within the first quarter. Why is the margin so much lower than with Eventional and perhaps you can give us a long-term view on margins for the business segment? I have another question. Thank you. Yeah. Andres, Basically, when the mixing our revenues in corporate or the mix is more on equipment, of course you cannot charge, you know, a large portion of margin on those and ho1a was one of the biggest drivers in the corporate segment. That is also mixed together with some reduction in the margins of MCM that's also seasonal. Our expectation as I've mentioned by business is that margin for MetroCarrier will be around 40-45%, which is the highest than MCM gets margins between 30-35%. ho1a is really on the 13-15% most of the time. PCTB is basically flat or margins of 3%-5%, which is not their goal is not to be, you know, a high margin entity. Those are basically the drivers. Of course, mobile is also lower margins than the other massive market services. For that one, Andres, regardless the margin that we have, as you are aware for MCM and MetroCarrier is higher. The one that Luis is explaining to you is ho1a, that is the one that has more projects related to infrastructure. That's when you hit pretty much around 15%-20%, close to 20% of margin. The other ones, even in the corporate segments, the margin that we have close to the 45% MCM with 43%, and MetroCarrier higher, are even higher than the peers in the massive market. We're doing very well in corporate, in corporate as well. Consider that every time we talk about margins in this company, we are really talking about full corporate margins too. It does include any corporate that we have in Megacable is included on the margins that you are receiving for any, every business unit. It is a pretty good market margin what we have incorporated in that one. MetroCarrier will continue to grow. Right now our revenue, if you can see that was some years ago where I was dreaming to get to MXN 4 billion in corporate sales. We are above MXN 5 billion a year in that part, you know. Just this quarter we sold MXN 1.2 billion in revenues in corporate. We're growing every year 15%-20% that segment and I particularly, Raymundo, I'm very happy of what we have been doing in the segment where it's very competitive with some margins. We manage also to keep efficiency as well as in the massive market. Okay. That was very clear. Thank you. My second question is going to be on strategy. Thank you. Hello? Yeah. Yeah. My second question is on strategy. you know, if I look at Totalplay revenues are now 40% bigger than yours, and last year they invested twice your CapEx. I'm asking this question because when I see your coverage maps, for example, in Tijuana, when I see Monterrey, when I see Cancun, you're flipping overlaps with Totalplay almost 100%. also with Telmex almost 100%. It's as if you were following them. They cover an area, and then you go and cover the same area. I'm just wondering, going forward, with the rest of your expansion plan, would you continue to cover areas where the other competitors are present in order to gain customers from them? Are you looking to go into areas where nobody is present? Again, if you can just confirm to us why there is such a almost 100% overlap in these major cities with Totalplay and also with Telmex fiber and with Televisa also in other cases. Sure, Andres. It's a very good question on that part. As I said, those markets that you mentioned, Tijuana and Cancún, those markets, we're going with full FTTH, and we're going to areas where there is Totalplay, izzi and Telmex. In some of the areas, Telmex is already with fiber. The majority of the network on that part from izzi is coming from HFC. DOCSIS 3.0 or DOCSIS 3.1. We have Totalplay with fiber. Our strategy is to be very efficient the way we build. We are building to a much more better ratio of compass over kilometer. That means our drops are shorter. We're very tight on the quality and the way we authorize and we operate that. We're coming with the Xview platform. In those areas where we are, we have a better proposition in price. Totalplay has a much more higher price than what we have on that area. That's why we've been very successful in bringing subscribers to where we are. We need to bring or we want to bring much more higher pace. We will do that as long as we have the structure, the organizational structure, not the product only to do that. In product, I believe our 19 million reproduction of Xview Plus, just in our platform, like Enrique was saying in his remarks, it proves that it's a very well-received video product that Telmex doesn't have. It is way better than what our competition has, both izzi and Totalplay in that area. Our Net Promoter Score in those areas is the highest among all the peers. What we're working strongly is having those people in those markets to get to know the brand Mega, which is, of course, for us, for them, is a new company. That's what is taking effort from our marketing department to get on the go-to-market. As, as I said, we're very pleased of the results in the markets where we are already have. The penetration that I told Carlos in his question before yours, we have to be very clear that we're reaching that penetration, of course, not of the whole area, let's say of the Tijuana market, for example, but in the areas where we build. We are still growing subscribers as long as we continue to build kilometers in the areas that we open at the second half of 2022. That's our strategy, and we're not gonna move away from that book. It's again, efficiency, good service, the good product that we have and a good quality of the network to be built. Yes, we're going to be that national footprint network with HFC with FTTH. We're gonna double the amount of what we have in that part. Raymond, let me ask you, do you think you have better quality than Totalplay? Do you have any data to support that you are delivering a better product than Totalplay? Right now what is being shown in the markets, Totalplay has a good quality of perception. They are in the markets where we have. The data is still very, very young to tell you because we're opening. The data that we have is that in the for the subscribers that we have, they are very pleased. The Net Promoter Score that we have is outstanding for the customers that we have. We believe that we have a better service. The data is coming from our results on this market and some research that we do. Andres, this is Enrique. For obvious reasons, we don't like to compare us with other players, for ethical reasons. Our main goal is to have a excellent service that gives the subscriber the best value for the market, the best value out there, for their services. In, in some articles in the press or the media says that we do not have the best speed, which is we think it's, it's a distortion news. Because the speeds depends on what's the speed that the customer buys or the customer gets. Not what the customer gets, what he buys, what he's paying for. Our subscribers, if, as Raymundo explains, we have been getting higher and higher speeds. About, what percentage is over 50 megabits now? 65%. 65% is over 50 megabits. The rest is under 50 megabits yet. They will move to higher speeds, obviously. In some cases, we do it without price increases. In some cases, they have to pay a higher fee. If they don't get higher speeds, it's because they feel they don't need them. Maybe they are not a subscriber of a streaming service. They are okay with the streaming service that we provide. The own Megacable streaming service that has over 15,000 hours of content. It's a VOD that has movies and series and news and a lot of things. They can do the reverse video where they can go back 48 hours in most of our live channels. The subscriber, a lot of times, they don't feel they need to pay for higher speed. That's why our subscribers pay a lower. Cable. A lower tariff, let's say, let's put it that way. If they need a higher speed, they can get it. They can get it very efficiently and with very good quality. That's what I would like to explain. The market gets from us what they want and what they need. Also look at the penetration of the companies in that part, as Enrique says. We internally are very pleased, Andres, that we get above 40% penetration historically in Megacable, above 40%. We're the only company that is above 40% on that part. The highest market share. The highest market share. That market penetration, not only market share, market share is way above 50%. In the areas where we are with FTTH and HFC, now we're at 36. After building so many, we have 12.5 million home passed that we increased coming from 9.5. We have 3 more coming from organic and expansion of our network to those 12.5 million home passed. We're still below the 17 or 19 that our company has, of course, way below what Telmex has. Look at the penetrations that they have in their markets, okay? How they split. Look at the penetration that it is in Megacable markets, even with Totalplay being in some of our markets for more than 5 or 6 years. Totalplay penetration is at 25%. Ours is at 36 with a mix of HFC and FTTH. As I say, 55%, just 55% is FTTH. That proves that the other 45% of the HFC is very good, and we will increase that by end of 2023 to 70% of FTTH in the whole network of Megacable. Those are our results. We should be doing something good in terms of product quality and go to market that make us get that market share. We're based on like Enrique says, external information and our information, and that's our position right now. That's very clear. Thank you. Thanks to you. Thank you. Our next question is from Phani Kanumuri with HSBC. Please proceed with your question. Thank you for taking my questions. My first one is regarding leverage. I mean, I understand that you expected the leverage to increase to the current levels, where do you see the leverage trending, let's say, in 2023 and 2024? It's like, you know, the EBITDA ramp up will probably take more time, but, your CapEx spend will be very high. I'm just trying to understand, I mean, if not the exact number, the range, where you expect the leverage to be, net leverage to be, you know, at, for 2023 and 2024. That's the first question. You get that, Luis? I didn't get the beginning of the question. Fani is asking about the leverage of debt, if I could understand the question on that part, and how do we see 2024 in terms of what the leverage that we're gonna have and when EBITDA is gonna rebound and provide us. It is like Enrique Yamuni said, but our plan, our expansion plan and company strategies is going according to it. I mean, we're over there. We always target to increase leverage. Leverage is going to be increased this year and next year. Next year. Next year, that's for sure. Still, we believe, we'll look at our net debt ratio at around 1.5 below that, if we can. It is a very healthy well ratio. We look at the EBITDA to continue to grow. By the end of this year, we expect EBITDA in the expansion plan not to be negative, but to be positive. Which is something that is affecting us in this result because we're still doing the go to market. 2024 is gonna look completely different in that part. We will take debt from that to continue to expand the home passed and the construction. We will have EBITDA positive coming from the expansion areas that we have. If you look at this company from 2024 to 2025 and 2026, it is a really good view at the end of the tunnel. I'd like to say that. Our EBITDA for sure, we have no doubt on that, will continue to grow and our free cash position will start with paying interest that is coming. Our EBITDA less CapEx that we will maintain, not maintain, maintaining the same level that we have, but the percentage of revenue is gonna decrease. We will have a really good position in the next 2 years after we stop taking the debt and finish the build-up of the expansion plan. The expansion plan calls for 50,000 km. That's what we announced when we have both coming from expanding territories and also from the existing ones we have, that we will continue to grow as we always do year-over-year. That will put us in a company with 17 million-18 million home passes. A really good size of EBITDA with a very low CapEx that we have and bringing down the net debt ratio to below 0.5. You know, a very, very, very healthy net debt ratio once we repay interest or for whatever we wanna do in 2 years time. Give it in. it in. We will decide. That's how we view and how we manage the board to agree to this business plan. We're very pleased management that is going according to expectations, and I hope you think the same. Just to be clear, this is Enrique again. The company plan is going according to what we forecasted. Our debt ratio will never go up above 2 times EBITDA. It will never go up, that ratio. Maximum. Oh, wow. Yeah, in the worst case. You will never go above that, which is a very healthy level, and very, very healthy compared to the telecom market peers that we have. Everything is going according to our plan. I mean, by the end of 2026, the leverage ratio is gonna be extremely low and the EBITDA is gonna be much higher than what we have now. Yeah, we'll have a problem what to do with the cash. That's it. Yeah. Thank you very much. Yeah. Thank you. That's very clear. My second question is regarding your ARPU per subscriber. Once your expansion plan is done and, you know, you reach your, let's say, your targets by 2026, 2027, where do we expect that ARPU per subscriber to trend? If you can give us on what your expectations are, that would be great. The ARPU? The trend of the ARPU Once we reach 25, 26 subscriber base normalized. The ARPU will continue to increase on that part. It did not increase, Funny, in this quarter because the number of gross adds from the new territories and those new subscribers has a promotional fee during the first months to attract subscribers. That's very normal in the industry. As long as the number of gross adds compared to the to the base of Megacable, let's say if you are adding gross adds and selling 150, 160, 170 over the 4.5, if you continue to do that in the future over a much more higher base, the contribution of that low ARPU subscriber will be lower to the whole existing company. You can expect the ARPU to continue to increase. It's gonna come that increase because we're going to do rate increases because our ARPU is the lowest in the industry, because we continue to increase the adoption of Xview Plus and apps. Right now we have around 650,000 apps, which is not part of the, is not the Xview, but is third-party apps on that part. We grow 10% just in one quarter compared to what we had before, and that's contributed to the increase in the ARPU. As long as we stabilize that, you can bet our ARPU is gonna increase. Thank you. All very clear. Thank you, Funny. Thank you. Our next question is from Raul Fernandez with Interactive. Please proceed with your question. Hi. My question has been answered in the previous comments. Thank you. Thank you, Raul. Thank you, Raul. Our next question is from Lucca Brendim with Bank of America. Please proceed with your question. Hi. Good afternoon, everyone. Thank you for taking my question. My question is regarding margin expansion on cable. EBITDA margin had a little bit of a decline in the last 2 quarters, so I just wanted to get more color on what have been the drivers for that. I know that was the expansion plan and also expansion in mobile. I wanted to know if there was something else to consider here. Looking forward, how we can think about those margins going forward. More expansion, margins should be pressured even further, and also with mobile growing more, this could also affect it. Thank you. Good question, Luca. Luis, go ahead and I'll complement. Yeah, Lucca, you're right on point. Basically the cost for the reduction in margin in cable operations comes from the expansion plans. As we have less efficient territories on the territories we are just starting. We are not really expect to have the same number of subscribers per kilometer since day one. There are some fixed costs and fixed expenses, some salaries that we have to pay since day one for those territories. That makes that hits, you know, the margin overall on the cable operations. As you also mentioned, the mobile services have lower margins and as they grow, they will pressure a little bit the margins. There were also some non-recurrent things that came on Q4 mainly that impacted, but that the most of the impact comes from the expanding territories. Raymond? Luca, let me complement what Luis is telling you. He has, of course, all the details on that part. What we see is that those levels that we had before the 49 were great levels. We would like to go back to those. It's gonna be tough to get to that 49 back again. What we, and you can see on your numbers, is that we took a 4-point decrease in margin because of the expansion. Now we're pretty much 3 points below to where we are. We feel for everything that Luis is telling you, corporate segment, growth in corporate segment growth of MVNO, different pressures that we have in OpEx, whatever. We feel that we're gonna continue to have, you can bet on that, the best margin in the industry, and it will be between 47%-48%. That's what we feel. Of course, I will tell you closer to 48% instead of the 49.3%, 42%. Luis is killing me. That's how we see that, you know. We see that the main expansion and the hit that we have in 2022 second half was to build all the infrastructure. Not the variable kilometers of network, but to build warehouses. Warehousing, operational offices, getting the organization in place to be able to sell. Now it's variable on kilometers on that part. We should be much more efficient in order to bring that. Those areas continue to increase penetration, so our margin in those areas will continue to increase. The margin was hit because of the expansion, not because of Megacable in that part. You can expect the levels that we have right now because of the expansion, but we'll come back to close to where we were after we finish the expansion part of the project now. Very clear. Thank you. Thanks, Luis. Thank you. Our next question is from Alejandro Azar with GBM. Please proceed with your question. Hi. Good morning, Enrique, Raymundo, Luis. Just first, just a follow-up on questions on CapEx. If I recall, if CapEx is gonna go back to the 40% to sales over the rest of the year. Raymundo you mentioned the price increase was going to have an impact of 3 percentage points on revenues. That's, you know, the first one. The second one is on competition. What are you seeing on competition in your expansion plan? We're hearing from other players that they are, you know, being more careful on user growth. The last one is, I don't know if you have already answered this, but on cost and margins, you mentioned operating leverage will take you to better margins in the next couple quarters and years. As new promotions get, this hurts your ARPU momentarily. When do you think, is this 2024 or 2025 when the company has a more robust operating leverage and we could see a higher EBITDA growth? Thank you. Thank you, Alejandro. Like Luis said, we're still going and targeting that 40% CapEx. We want to build the rest of the 2.5 million home passes we have for this year. That one where we are, and the CapEx will come also from subscriber CPE equipment, not only from networks. As long as we grow, we have that pressure. Yes, as I said, internally, those subscribers, we're aiming 3 basis points of the price and the rate increase that we have. That's not going to be the main reason for growth in the EBITDA. That's going to compensate the new subscriber that has a lower ARPU. You cannot account that the 3% is gonna hit straight to the revenue because some or the ARPU, because some or the majority, all of the new subscribers will come with a lower ARPU. As you know, we're increasing gross adds. What I'm trying to explain is as long as the gross adds continue to increase, they will contribute with a lower ARPU to the existing one. You have to compensate ARPUs in between subscribers with low because they are new in promotional with rate increases and also with the sales of adds and the take up on RGUs per unique subscriber. That's our strategy. In terms of competition. Raymundo, Raimundo. Yeah. If I may, would you remind us the promotional period, is that three months? Six months? The majority of the market we have that for six months. Okay. Which is pretty much what the competition does in other parts. I mean, we're below competition. Competition comes with, in some parts with 12 months, in the majority and in some more conservative 6 months. We believe we don't have to go to 12 months. We can stay in 6 months on that part. That's our strategy and that's how we reached the 147,000 gross increase in broadband subscribers in the quarter, which was the highest among the peers by far. We did that still with the lowest amount of home pass compared to our peers. Check out penetration and the growth that we have compared to home pass and again, we're very, very pleased of the results. Competition you say is careful about what they see to the future. Some of them announced they are not going to spend home pass, and other ones are spending one-third, one-fourth of what we're doing in our plan. We're not planning to move to where we are because of the good results and the product that we have on that area. What I say about the margins is the margins are going to continue to be pressured, okay? In this coming quarter because of the expansion program, the huge amount of kilometers and home pass and subscribers coming on the quarters to come. You know, I did not say that it's going to be a rebound in the next quarter or 2 quarters to come. I'm saying that it's gonna come in the quarters to come. I will tell you that 2024 it will look way much more better in terms of margin. For me, it will be more important to tell you that we went down to 40%, 44% margin in the last quarter. Now we're up to 45%. That's a level only three points below to what we had before, four points, to what we had before, regardless of getting a company that goes from 9.5 million home pass and it's gonna get to 17 or 18 million home pass. Regardless of that big growth, we only took 3 basis points or 4 and still are way above our peers. That's where we will continue to focus in cutting efficiency. Regardless of what I'm telling you, we continue to look into ways to improve efficiency in terms of cost and expenses. All that strategy, I would like to keep it to ourselves. You know, we're very tight in cost, still we are looking for better productivity of our employees and better automatization of the operation that will bring us. That's our view of the company on the house. Thank you. Very clear, Raymundo. One more if I may to Luis. thinking perhaps 2026, 2027, how would the CapEx ratio to sales look without growth? Well, well- What is the maintenance, you know? Right. Purely maintenance. What we consider. Sure. We consider that our margins are going to be, sorry, our CapEx to revenues is going to be around 20% and maybe below that. Below that. Below that. Yeah, that 20% includes still growth, right? Boxes, new clients. Purely maintenance. Yeah. would that be like 15 or lower? Not, not below 15. No. Okay. That will include, of course, the few kilometers that will be built after that. We will still be building new kilometers as the cities grow. We will include them of course. It's tricky to specifically yet get to 15%, as you mentioned. We will say that it will be between 18%-20% overall and including some growth at the end when we are done with the new cities. Let me justify why we believe that too. The conversion of the network in terms of going from FTTH 2.5 gigs, that's what we have right now, to 10G or FTTH, that is the way that will come on the migration in years to come, not now. I'm telling you in years to come. It's really cheaper because you don't have to do anything to the external plant. You don't have to change any asset, part of the network, not fiber, not fast, not everything when the customer is connected. Besides that, our CPEs, all the OTTs, AV1 CPEs that we have or with 4K capability will not have to be replaced in our opinion, in years to come, in some years to come. Our investment in CapEx also is cheaper to what we have between 2020 and 2022. Our CapEx will sure get between 15%-20%, and that's what we're targeting with margins of EBITDA of 47% and 48%. If we look at doubling the size, as we said, or increasing the number of kilometers and home pass, I'm sure get to the penetration rate of subscribers, we sure will look very good into 26 and 27. Very clear, Raymundo and Luis. Thank you. Thank you very much. You're welcome. Thank you. Our next question is from Alejandro Gallostra with BBVA. Please proceed with your question. Hi. Good morning. Enrique, Raymundo, Luis. I have a question about pricing. You've mentioned multiple times of the gearing discounts in order to gain traction in the new territories. Could you tell us what's the discount that you're offering in these new territories and how these prices with and without discounts compare to prices of your competitors? How you got sure that you will not initiate a price war? Also, I also like to know what's been the churn, your churn experience in these territories after once the discounts ended. Sure, Alejandro. I can tell you, for example, in terms of the double play that we have, we have good speed and we're targeted below what other companies have. For example, Telmex in that part. Our double play pays at MXN 350 with 50 megabits is very competitive. It's the same price that we have in the existing territories. Our triple play is below what the competition has. Subscribers of Totalplay and izzi has an ARPU. The ARPU is public. You can see the ARPU that they have. We're targeting below that, and we do that in every market that we have because our ARPU in organic is below what they have in their existing territories without them having our competition. That's why we managed to have the penetration that we have coupled with the product and the network that we have over there. Right now we're selling at MXN 400, MXN 500, regardless whether it's double or triple, whether you put a credit card or you don't put. Those are part of the little details. I can tell you that we are below the ARPU that they have by around 10%. That's, that's with the discount, Raymundo? With the discount, you take 50 MXN less than what I'm telling you. that the we are below over 10%. Over 10% on the. On the discount. On the discount. the discount. Once they finish to have that, okay, after the six months, we're only MXN 30, MXN 20, MXN 50 below competition, looking into different territories. We don't want to start the price war. We want to continue to have our existing pricing structure when we finish the promotional rate. What I can tell you is when they finish that period, they pay the same that we have in organic, pretty much. Some of the research that you can see out there show that Megacable subscriber targets to the lowest ARPU. That's why we have the highest penetration, the lowest income in the house. That's why we're below competition across all the different systems that we have. We don't make any big difference. Once we finish the promotional period, they will have an ARPU very similar of what we have in our existing territories, which of course try to increase with apps and rate increase. Okay, Raimundo, I understand. The second part you asked about the churn. The churn when you start a very aggressive of campaign has 2 components. One component is from people that take the promotion and disconnect in the first 60 to 90 days. We have that very clear and identified. What I can tell you is that when we pass that promotion from those sales that we do, which is normal, it's part of the scratch that we do in the first 60 days of something that is coming from the market. When we have that churn, it's below to what we have right now, slightly below to what we have right now. It is very good the level of churn in the expansion territories. Okay. That's great to know. Thank you. It's my understanding that once discounts end, the pricing will not be that different from your competitors. How do you plan to differentiate your product from the rest? As I told you, we have the three axes of the, of our strategy. I mean, we have a great network already built. In our existing territories, we convert our network in that part. I said that 55% of the network is FTTH and 70% by the end of the year. Regardless, when we have Also in HFC, the best plan in HFC because all our nodes are at 125 compared to 150 and 500. You can count that it's way better than in the United States. One is network, the other one is product. Our product Xview Plus platform is way better than the competition in that part. That's proven by the 90 million reproductions that we know we having existing subscribers and growing across. The other one is company efficiency. Our Net Promoter Score is increasing, our margin is good. That's how we manage to keep those prices below competition. We will continue to have that strategy, Alejandro. Okay, understood. Understood. Thank you. Second question, if I may, very quickly. Despite all the answers you've given during the call, I still don't have clear when do you expect the EBITDA growth to accelerate. I believe Enrique said that probably at the end of this year, most probably in 2024. I'd like you to be more specific. When do you expect EBITDA growth to accelerate? I would also like to understand if EBITDA growth acceleration should come mainly from this recovery in prices once discounts stabilize or end. If EBITDA growth should come mostly from efficiencies. Thank you. Well, first of all, Alejandro, let me tell you. We are increasing new kilometers, and that will be the case for the following 7, 8 quarters. We will be increasing the number of subscribers for the following same number of quarters and beyond that. Once the subscriber base is kind of stabilized, then you will see the EBITDA margins to grow and to go up, and also, of course, the EBITDA. We still have negative EBITDA in the new territories. Territories. It's going to be, you know, slowly improving. It's going to be improving, but it's not something that you're gonna see in Q4 or Q3 this year. This is going to be going to zero or positive EBITDA creation, but it's gonna be slow. For 2025, definitely you're gonna see a change as Raimundo established, and that's gonna be shown even before 2025. Second half of 2024, you're gonna see the EBITDA acceleration in the picking. The CapEx reduction. Understood. Of course, the CapEx reduction, and that's when we are gonna see the cash flow, second half of 2024, cash flow going up like crazy. Thank you. Very clear. The increase, Alejandro, in EBITDA for 2023 is gonna be a shift for sure compared to 2022. There's going to be a growth in EBITDA for sure. You just have to count on what the EBITDA of the first quarter, the efficiencies that we have, and the growing of subscribers for the next quarters to come. The trend of growing EBITDA, it is real. Okay. Very clear now. Thank you very much. Thank you, Alejandro. Our next question is from Andres Coello with Scotiabank. Please proceed with your question. Thank you for the follow-up. It's gonna be a quick one. Are you still in conversations with Televisa? Is that still going on? The question of EC and EK. Is that still going on or there are no ongoing negotiations? Thank you. I couldn't understand. Sorry, repeat. If there are still conversations with Televisa. Oh, no. No. The answer is no. Yeah. Hello? Next question, please. Is from Marcelo Santos with JP Morgan. Please proceed with your question. Thank you for the follow-up as well. Very quickly, when you said the maximum leverage that you would not surpass, was it 3 times net debt to EBITDA? Just to clarify. No, no. No, no, no. I mentioned two, and everyone here made faces to me. Yeah. The expansion plan doesn't consider going up over 1.5. Yeah. times the EBITDA. The number that I mentioned is that, we will never- That is gonna be in 2024. Four. 2024. we're still a year to reach that, in the 1.4- below. 1.5 times. We don't know what new opportunities or what new things could arise. We just wanna have room to above that. The expansion plan doesn't consider anything over 1.5. Yeah. No, it's very clear. Next. Yeah. Thank you for asking, Marcelo. I mean, it just. Clarifying. Clarifying. Thank you. I'd like to turn the floor back over to management for web platform questions. Okay. We have one Juan from Citi. The financial reports reported at the BMV, when looking at investment flow, there is a near MXN 2 billion expense. Can you please share some details about what is this about? Yeah. Some of the flows are coming from, some financial funding tools, temporary financial tools. Those will be repaid before the end of the year. It's a short term. We have no more questions, so I'll turn it over to Mr. Yamuni for final remarks. Okay. Thank you very much. As a final remark, please, as always, it is a pleasure to discuss our results with you. Please contact our investor relation department if you have any questions or concern regarding the company. Have a wonderful day. In Mexico, have a wonderful long weekend. Next Monday is a holiday here. Thank you very much. We are at your request if you have any questions. Thank you very much. Yeah. We're very, very pleased, we appreciate all your questions regarding our expansion plan and the company. It really was a very good session. As Enrique said, have a very nice weekend. We're open to any questions that you may have individually. Thank you. Thank you, everybody. Thank you. This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.