TIM S.A. (TIMB): history, ownership, mission, how it works & makes money

TIM S.A. (TIMB) Information


A Brief History of TIM S.A. (TIMB)

Founding and Early Years

TIM S.A., originally known as Telecom Italia Mobile, was founded in 1995 as the mobile division of Telecom Italia. The company was launched to provide mobile telecommunication services in Brazil and became one of the leading providers in the country.

Market Expansion

In 2002, Telecom Italia acquired a significant share in TIM Brasil, solidifying its presence in the Brazilian telecommunications market. By 2009, TIM Brasil accounted for approximately 26% of the mobile market share in Brazil.

Acquisition by Telecom Italia

In 2008, Telecom Italia fully merged TIM Brasil into its operations, leading to increased investment and network expansion across Brazil. This merger led to a reported revenue of BRL 36.4 billion in 2011.

Financial Performance

In 2020, TIM S.A. reported a revenue of BRL 24.3 billion and an EBITDA of BRL 10.7 billion. The net income for the same year was recorded at BRL 3.1 billion, reflecting a steady growth trajectory despite competitive pressures.

Customer Base Growth

As of 2023, TIM S.A. boasts a customer base of approximately 54 million mobile subscribers in Brazil. The company has continually focused on expanding its 4G LTE and fiber-optic services to enhance customer experience.

Technological Innovations

TIM S.A. has invested heavily in technology and infrastructure to support its services. In 2021, the company allocated approximately BRL 6.2 billion to capital expenditures, focusing on expanding its network capabilities and rolling out 5G services.

Sustainability Initiatives

In alignment with global sustainability goals, TIM S.A. announced a commitment to achieve 100% renewable energy usage by 2025. The company aims to reduce its carbon footprint by 23% by 2025 compared to 2021 levels.

Year Revenue (BRL) EBITDA (BRL) Net Income (BRL) Customer Base (millions)
2018 BRL 22.5 billion BRL 9.8 billion BRL 2.5 billion 49
2019 BRL 23.2 billion BRL 10.3 billion BRL 2.9 billion 51
2020 BRL 24.3 billion BRL 10.7 billion BRL 3.1 billion 52
2021 BRL 25.0 billion BRL 11.0 billion BRL 3.5 billion 53
2022 BRL 26.0 billion BRL 11.5 billion BRL 3.9 billion 53.5
2023 BRL 27.0 billion BRL 12.0 billion BRL 4.2 billion 54

Recent Developments

In mid-2023, TIM S.A. announced a strategic partnership with major technology firms to develop digital solutions for enhancing customer experience, focusing on AI and IoT applications within telecommunications.

Future Outlook

Looking forward, TIM S.A. plans to further invest in 5G technology and expand its service offerings beyond traditional telecommunication, targeting the growing market for digital services and smart city solutions. The company anticipates an increase in capital expenditure to about BRL 7.0 billion by 2024.



A Who Owns TIM S.A. (TIMB)

Ownership Structure

As of September 2023, the ownership structure of TIM S.A. primarily consists of various institutional and individual shareholders. The significant shareholders include:

  • Vivendi S.A. - 23.75%
  • Ministero dell'Economia e delle Finanze (MEF) - 23.63%
  • BlackRock, Inc. - 5.25%
  • Capital Group Companies - 5.1%
  • Other institutional investors - 42.27%

Shareholder Breakdown

The following table provides a detailed breakdown of TIM S.A.'s shareholders and their respective ownership percentages:

Shareholder Ownership Percentage Type of Investor
Vivendi S.A. 23.75% Media Conglomerate
Ministero dell'Economia e delle Finanze (MEF) 23.63% Government
BlackRock, Inc. 5.25% Institutional Investor
Capital Group Companies 5.1% Institutional Investor
Other institutional investors 42.27% Various

Financial Performance Indicators

For the fiscal year ending December 2022, TIM S.A. reported the following financial indicators:

  • Total Revenue: €19.48 billion
  • Net Income: €1.57 billion
  • EBITDA: €7.59 billion
  • Total Assets: €36.21 billion
  • Total Equity: €12.2 billion

Market Capitalization

As of October 2023, TIM S.A. has a market capitalization of approximately €10.4 billion. The share price has been fluctuating, reflecting various market conditions:

  • Current Share Price: €0.38
  • 52-week Range: €0.29 - €0.49
  • Average Daily Volume: 12.4 million shares

Recent Corporate Developments

In 2023, TIM S.A. announced strategic partnerships aimed at enhancing its telecommunications infrastructure, including:

  • Investment of €3 billion in 5G network expansion
  • Collaboration with local governments for digital inclusion initiatives
  • Discussions regarding potential merger with other telecom entities

Dividends and Shareholder Returns

For the year 2022, TIM S.A. declared a dividend of €0.05 per share, maintaining a consistent return policy despite market challenges:

  • Dividend Yield: 13.16%
  • Payout Ratio: 30%
  • Dividend History: Last paid in June 2023


TIM S.A. (TIMB) Mission Statement

Overview of TIM S.A. (TIMB)

TIM S.A, listed as TIMB, operates predominantly in the telecommunications sector in Brazil. The company's mission is to provide inclusive digital solutions that enhance connectivity and drive innovation in services.

Key Components of TIM's Mission Statement

  • Connectivity: To ensure that more Brazilians have access to quality telecommunication services.
  • Innovation: To integrate cutting-edge technology in their offerings.
  • Sustainability: To operate in an environmentally sustainable manner.
  • Customer Satisfaction: To enhance the customer experience through superior service delivery.

Financial Performance

As of the latest financial reporting, TIM S.A. has demonstrated robust performance metrics. For the year 2022, the company reported:

Financial Metric 2022 Amount (BRL) 2021 Amount (BRL)
Net Revenue 40.5 billion 38.1 billion
EBITDA 13.8 billion 12.9 billion
Net Income 4.1 billion 3.5 billion
Capital Expenditure 5.0 billion 4.5 billion

Strategic Goals Aligned with the Mission

TIM S.A. has outlined several strategic goals that support its mission statement:

  • Expand Coverage: Increase service coverage to underserved areas, targeting a 25% increase by 2025.
  • Enhance Service Portfolio: Introduction of 5G services initiated in 2021, with plans to expand into 400 cities by 2023.
  • Digital Transformation: Ongoing investment in AI and IoT technologies, with an investment increase of 15% expected in 2023.
  • Sustainability Initiatives: A commitment to reducing carbon emissions by 30% by 2030.

Market Position

As of 2023, TIM S.A. holds a significant share in the Brazilian telecommunications market, with a market share of approximately 25% in mobile services and 20% in broadband services.

Customer Engagement Strategy

The company emphasizes strong customer engagement through various channels:

  • Social Media: Over 2 million followers on Facebook and Twitter.
  • Customer Support: A dedicated support team that handles approximately 10 million inquiries annually.

Recent Developments

In 2023, TIM S.A. focused on strategic partnerships and technological advancements. Notable statistics include:

Development Details
5G Rollout Expanded to 200 additional cities, totaling 600 cities with 5G coverage.
Partnerships Collaborated with major tech firms, enhancing service delivery through integrated solutions.
Customer Retention Achieved a 90% customer retention rate through loyalty programs.

Sustainability and Corporate Responsibility

TIM S.A. is committed to sustainability, focusing on:

  • Renewable Energy Usage: Aiming for 50% of energy consumption sourced from renewable sources by 2025.
  • Community Engagement: Invested BRL 300 million in community development projects in 2022.

Conclusion on Mission Alignment

The mission of TIM S.A. aligns closely with its operational strategies and financial performance, illustrating a strong commitment to enhancing connectivity, customer satisfaction, and sustainable growth.



How TIM S.A. (TIMB) Works

Company Overview

TIM S.A., known as TIM Brasil, is a major telecommunications operator in Brazil, providing services such as mobile telephony, fixed telephony, broadband services, and pay television. As of 2023, TIM holds approximately 26.4% market share in the Brazilian mobile telecommunications market.

Financial Performance

For the fiscal year ending December 31, 2022, TIM reported the following financial figures:

Financial Metric Amount (R$ Million)
Revenue R$ 43,040
Net Income R$ 5,546
EBITDA R$ 17,300
Debt R$ 15,200
Cash and Cash Equivalents R$ 4,000

Service Offerings

TIM’s core service offerings include:

  • Mobile telephony services
  • Fixed broadband services
  • Fixed telephony services
  • Pay TV services

Mobile Telephony

As of 2023, TIM operates a mobile network covering approximately 98% of the population in Brazil with over 60 million mobile subscribers.

Fixed and Broadband Services

In the fixed-line segment, TIM had around 9 million fixed-line services as of the end of 2022. Broadband services accounted for more than 5 million subscribers, with the company investing heavily in fiber optic network expansion.

Investment Strategy

In 2023, TIM announced capital expenditures exceeding R$ 7 billion aimed at network modernization and infrastructure expansion.

Market Positioning

According to the latest reports, TIM is positioned as the third largest mobile service provider in Brazil, with a strong focus on 4G and 5G technology rollouts.

Customer Base

TIM's customer demographics include a diverse range of consumers, with significant market segments being:

  • Business clients
  • Residential clients
  • Prepaid subscribers
  • Postpaid subscribers

Technological Innovations

The company has invested in technology innovations such as:

  • 5G network deployment
  • Internet of Things (IoT) solutions
  • Digital customer service platforms

Regulatory Environment

TIM operates under the regulations set forth by the National Telecommunications Agency (ANATEL) in Brazil, which oversees telecommunications practices, ensuring compliance and quality of services.

Corporate Social Responsibility

As of 2023, TIM has implemented various initiatives, including:

  • Environmental sustainability programs
  • Digital inclusion projects
  • Community engagement efforts

Competitive Landscape

TIM competes with several key players in the Brazilian telecommunications sector, including:

  • Vivo
  • Claro
  • Oi

Strategic Partnerships

In recent years, TIM has formed strategic alliances with technology companies to enhance service delivery, including partnerships in:

  • Cloud services
  • Cybersecurity solutions
  • Smart city initiatives


How TIM S.A. (TIMB) Makes Money

Telecommunications Services

TIM S.A. generates substantial revenue from its telecommunications services, which include mobile and fixed-line services. In 2022, TIM reported revenues of €16.4 billion.

Mobile Services

The mobile segment accounts for a significant portion of TIM's total revenue. For the fiscal year 2022, mobile service revenues were approximately €10.5 billion. The number of mobile customers reached around 46 million.

Fixed-Line Services

Fixed-line services also contribute to TIM’s revenue streams. In 2022, fixed-line service revenues were around €5.9 billion, with approximately 8.4 million fixed broadband customers.

Value-Added Services

TIM provides a variety of value-added services (VAS) which include digital services, cloud solutions, and IoT (Internet of Things) services. In 2022, revenues from VAS were approximately €1.2 billion.

Wholesale Services

The wholesale division of TIM offers network services to other telecommunications operators. In 2022, wholesale services generated revenues of about €1.5 billion.

Financial Performance Overview

The following table summarizes the financial performance of TIM S.A. for the year 2022:

Category Revenue (€ billion) Customer Base
Mobile Services 10.5 46 million
Fixed-Line Services 5.9 8.4 million
Value-Added Services 1.2 N/A
Wholesale Services 1.5 N/A
Total Revenue 16.4 N/A

Geographical Revenue Distribution

Revenue generated by TIM S.A. can also be analyzed geographically. In 2022, the revenue distribution was as follows:

Region Revenue (€ billion)
Italy 14.0
International Operations 2.4

Investment in Infrastructure

TIM invests heavily in its network infrastructure. In 2022, capital expenditures were approximately €3.0 billion, focusing on 5G rollout and fiber-optic network expansion.

Partnerships and Collaborations

TIM engages in strategic partnerships to enhance its service offerings. Key collaborations in 2022 included partnerships with major technology firms for cloud and IoT solutions.

Market Position and Competition

The competitive landscape includes major players such as Vodafone and Iliad in the Italian market. TIM holds a market share of approximately 36% in mobile services as of Q1 2022.

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