Telefonica has reported a 7.2% rise in net profit for the nine months to September, boosted by mobile phone sales in Spain and Latin America. Strong fixed-line business at home also helped to lift profits.
Spain's largest telecoms group said net profit rose to $1.41 billion, while core earnings rose by 8.5%, in line with forecasts. Overall sales climbed 11.2% to $20 billion, slightly less than forecast.
Telefonica's mobile phone and internet arms, Telefonica Moviles and Terra Lycos, added 2.9% and 2.5%, respectively.
Shares have fallen about 8% this year over fears that economic trouble in Latin America, especially Argentina, could cut profits. But Telefonica has outperformed the 30% fall in the telecoms sector of the Stoxx index this year, helped by having relatively lower debt than many of its major European peers.
Telefonica said Latin America was the fastest growing region in terms of new mobile phone customers, but the fall in local currencies had eroded earnings in Argentina and Brazil.