UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of August, 2016
Commission File Number: 001-14475
TELEFÔNICA BRASIL S.A.
(Exact name of registrant as specified in its charter)
TELEFONICA BRAZIL S.A.
(Translation of registrant’s name into English)
Av. Eng° Luís Carlos Berrini, 1376 - 28º andar
São Paulo, S.P.
Federative Republic of Brazil
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F |
X |
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Form 40-F |
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Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes |
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No |
X |
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes |
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No |
X |
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São Paulo Corporate Towers Av. Presidente Juscelino Kubitschek, 1.909 Vila Nova Conceição 04543-011 - São Paulo - SP - Brasil
Tel: +55 11 2573-3000 ey.com.br | ||
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Independent auditor’s report on interim financial information
To Shareholders, Board of Directors and Officers
Telefônica Brasil S.A.
São Paulo - SP
We have reviewed the individual and consolidated interim financial information of Telefônica Brasil S.A., (“Company”), contained in the Quarterly Information Form (Informações Trimestrais - ITR) for the quarter ended on June 30, 2016, which comprise the balance sheet as of June 30, 2016 and the related statements of income and of comprehensive income for the three-month and six-month period ended on June 30, 2016, and changes in equity and of cash flows for the six-month period then ended, including other explanatory information.
Management is responsible for the preparation of the individual and consolidated interim financial information in accordance with Accounting Standard CPC 21 (R1) Interim Financial Reporting (Demonstração Intermediária) issued by Comitê de Pronunciamentos Contábeis - CPC and with IAS 34 – Interim Financial Reporting, issued by the International Accounting Standards Board (IASB), as well as for the presentation of this information in conformity with the standards issued by the Brazilian Securities and Exchange Commission (CVM) applicable to the preparation of Quarterly Information Form (ITR). Our responsibility is to express a conclusion on this interim financial information based on our review.
Scope of review
We conducted our review in accordance with Brazilian and International Standards on Review Engagements (NBC TR 2410 - Revisão de Informações Intermediárias Executada pelo Auditor da Entidade and ISRE 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with auditing standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion on the individual and consolidated interim financial information
Based on our review, nothing has come to our attention that causes us to believe that the individual and consolidated interim financial information included in the Quarterly Information Form (ITR) referred to above were not prepared, in all material respects, in accordance with CPC 21 (R1) and IAS 34 applicable to the preparation of the Quarterly Information Form (ITR), and presented consistently with the rules issued by the Brazilian Securities and Exchange Commission (CVM).
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São Paulo Corporate Towers Av. Presidente Juscelino Kubitschek, 1.909 Vila Nova Conceição 04543-011 - São Paulo - SP - Brasil
Tel: +55 11 2573-3000 ey.com.br | ||
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Other matters
Statements of value added
We have also reviewed the individual and consolidated interim Value Added Statement for the six-month period ended on June 30, 2016, prepared under management’s responsibility, whose presentation in the interim financial information is required by the rules issued by the Brazilian Securities and Exchange Commission (CVM) applicable to preparation of the Quarterly Information Form (ITR), and as supplementary information under IFRS, which do not require Value Added Statement presentation. This statement has been subject to the same review procedures previously described and, based on our review, nothing has come to our attention that causes us to believe that it is not fairly presented, in all material respects, in relation to the overall accompanying interim financial information.
São Paulo, July 25, 2016.
ERNST & YOUNG
Auditores Independentes S.S.
CRC-2SP015199/O-6
Luiz Carlos Passetti
Contador CRC-1SP144343/O-3
TELEFÔNICA BRASIL S.A. | ||||||||||||||||||||
Balance Sheets |
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At June 30, 2016 and December 31, 2015 |
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(In thousands of reais) |
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Company |
Consolidated |
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Company |
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Consolidated | |||||||
ASSETS |
Note |
06.30.16 |
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12.31.15 |
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06.30.16 |
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12.31.15 |
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LIABILITIES AND SHAREHOLDERS’ EQUITY |
Note |
06.30.16 |
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12.31.15 |
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06.30.16 |
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12.31.15 | ||
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Current assets |
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17,576,182 |
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15,185,519 |
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18,541,442 |
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17,909,303 |
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Current liabilities |
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18,706,671 |
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15,948,843 |
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18,952,498 |
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17,981,713 |
Cash and cash equivalents |
4 |
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5,063,123 |
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4,206,595 |
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5,675,712 |
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5,336,845 |
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Personnel, social charges and benefits |
14 |
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765,811 |
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520,023 |
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781,899 |
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698,846 |
Trade accounts receivable, net |
5 |
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8,201,726 |
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7,000,379 |
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8,586,366 |
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8,285,319 |
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Trade accounts payable |
15 |
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7,405,874 |
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7,496,947 |
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7,564,743 |
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8,373,235 |
Inventories, net |
6 |
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438,128 |
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558,264 |
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478,512 |
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603,631 |
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Taxes, charges and contributions |
16 |
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1,505,615 |
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1,175,293 |
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1,581,106 |
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1,716,002 |
Taxes recoverable |
7.1 |
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2,128,408 |
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2,164,544 |
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2,172,151 |
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2,521,292 |
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Dividends and interest on equity |
17 |
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4,214,731 |
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2,209,362 |
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4,214,731 |
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2,209,362 |
Judicial deposits and garnishments |
8 |
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263,895 |
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235,343 |
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263,928 |
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235,343 |
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Provisions and contingencies |
18 |
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1,008,714 |
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894,069 |
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1,008,714 |
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914,377 |
Prepaid expenses |
9 |
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838,045 |
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317,325 |
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853,030 |
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356,446 |
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Deferred revenues |
19 |
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454,075 |
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562,601 |
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457,127 |
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564,557 |
Dividends and interest on equity |
17 |
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18,156 |
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18,645 |
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- |
|
489 |
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Loans, financing, financial lease and contingent consideration |
20 |
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1,521,326 |
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1,811,037 |
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1,521,326 |
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2,222,067 |
Derivative transactions |
33 |
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78,750 |
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81,306 |
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78,750 |
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81,306 |
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Debentures |
20 |
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122,343 |
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120,924 |
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122,343 |
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120,924 |
Other assets |
10 |
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545,951 |
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603,118 |
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432,993 |
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488,632 |
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Derivative transactions |
33 |
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184,992 |
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151,686 |
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184,992 |
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151,686 |
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Other liabilities |
21 |
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1,523,190 |
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1,006,901 |
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1,515,517 |
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1,010,657 |
Non-current assets |
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83,683,674 |
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82,387,176 |
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83,006,119 |
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83,775,761 |
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Short-term investments pledged as collateral |
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97,626 |
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90,863 |
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97,636 |
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109,864 |
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Non-current liabilities |
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14,233,419 |
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13,056,610 |
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14,275,297 |
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15,136,109 | |
Trade accounts receivable, net |
5 |
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164,173 |
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217,621 |
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267,490 |
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330,451 |
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Personnel, social charges and benefits |
14 |
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27,562 |
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19,808 |
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27,647 |
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19,808 |
Taxes recoverable |
7.1 |
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551,605 |
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337,477 |
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552,807 |
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409,653 |
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Trade accounts payable |
15 |
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67,742 |
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- |
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67,742 |
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67,742 |
Deferred taxes |
7.2 |
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457,372 |
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- |
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609,588 |
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711,590 |
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Taxes, charges and contributions |
16 |
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58,695 |
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57,416 |
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86,033 |
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87,018 |
Judicial deposits and garnishments |
8 |
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5,714,185 |
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4,880,489 |
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5,785,751 |
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5,518,120 |
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Deferred taxes |
7.2 |
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- |
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155,951 |
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- |
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- |
Prepaid expenses |
9 |
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27,909 |
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28,632 |
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29,697 |
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30,609 |
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Provisions and contingencies |
18 |
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6,242,582 |
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5,077,839 |
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6,270,378 |
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5,890,319 |
Derivative transactions |
33 |
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179,374 |
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417,558 |
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179,374 |
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417,558 |
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Deferred revenues |
19 |
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438,553 |
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358,963 |
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438,589 |
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359,237 |
Other assets |
10 |
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55,137 |
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55,228 |
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55,935 |
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62,799 |
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Loans, financing, financial lease and contingent consideration |
20 |
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3,553,454 |
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3,141,987 |
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3,553,454 |
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4,454,509 |
Investments |
11 |
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1,374,295 |
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24,342,692 |
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87,680 |
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101,161 |
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Debentures |
20 |
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3,430,209 |
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3,423,790 |
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3,430,209 |
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3,423,790 |
Property, plant and equipment, net |
12 |
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30,248,885 |
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22,019,076 |
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30,313,493 |
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30,476,765 |
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Derivative transactions |
33 |
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61,417 |
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82,421 |
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61,417 |
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82,421 |
Intangible assets, net |
13 |
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44,813,113 |
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29,997,540 |
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45,026,668 |
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45,607,191 |
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Liabilities for post-retirement benefits plans |
32 |
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80,465 |
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76,616 |
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80,465 |
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85,343 |
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Other liabilities |
21 |
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272,740 |
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661,819 |
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259,363 |
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665,922 |
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Equity |
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68,319,766 |
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68,567,242 |
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68,319,766 |
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68,567,242 |
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Capital |
22 |
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63,571,416 |
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63,571,416 |
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63,571,416 |
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63,571,416 |
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Capital reserves |
22 |
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1,347,952 |
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1,347,952 |
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1,347,952 |
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1,347,952 |
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Income Reserves |
22 |
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2,415,453 |
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2,410,571 |
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2,415,453 |
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2,410,571 |
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Premium on acquisition of equity interest |
22 |
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(75,388) |
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(75,388) |
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(75,388) |
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(75,388) | |
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Other comprehensive income |
22 |
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(571) |
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25,468 |
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(571) |
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25,468 |
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Additional dividend proposed |
22 |
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- |
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1,287,223 |
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- |
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1,287,223 |
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Retained earnings |
22 |
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1,060,904 |
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- |
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1,060,904 |
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- |
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TOTAL ASSETS |
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101,259,856 |
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97,572,695 |
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101,547,561 |
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101,685,064 |
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TOTAL LIABILITIES AND EQUITY |
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101,259,856 |
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97,572,695 |
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101,547,561 |
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101,685,064 |
TELEFÔNICA BRASIL S. A. | |||||||||||||||||
Income Statements | |||||||||||||||||
For the three- and six-month periods ended June 30, 2016 and 2015 |
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(In thousands of reais) |
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Company |
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Consolidated | ||||||||||||
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Three-month periods ended |
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Six-month periods ended |
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Three-month periods ended |
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Six-month periods ended | ||||||||
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Note |
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06.30.16 |
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06.30.15 |
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06.30.16 |
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06.30.15 |
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06.30.16 |
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06.30.15 |
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06.30.16 |
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06.30.15 |
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Operating revenue, net |
23 |
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9,912,641 |
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8,414,876 |
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18,270,754 |
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16,836,157 |
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10,510,049 |
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9,962,125 |
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20,941,445 |
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18,945,203 |
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Cost of sales and services |
24 |
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(5,007,150) |
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(4,303,895) |
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(9,164,401) |
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(8,592,857) |
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(5,300,261) |
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(5,068,448) |
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(10,656,903) |
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(9,605,288) |
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Gross profit |
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4,905,491 |
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4,110,981 |
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9,106,353 |
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8,243,300 |
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5,209,788 |
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4,893,677 |
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10,284,542 |
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9,339,915 |
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Operating income (expenses) |
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(3,931,561) |
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(3,269,175) |
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(6,656,268) |
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(6,517,559) |
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(3,962,778) |
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(3,639,509) |
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(7,162,299) |
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(6,922,113) |
Selling expenses |
24 |
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(3,092,816) |
|
(2,686,978) |
|
(5,675,176) |
|
(5,369,141) |
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(3,105,136) |
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(2,973,591) |
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(6,090,665) |
|
(5,682,237) |
General and administrative expenses |
24 |
|
(680,228) |
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(456,692) |
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(1,218,879) |
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(877,733) |
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(699,367) |
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(531,434) |
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(1,314,454) |
|
(961,254) |
Other operating income |
25 |
|
89,265 |
|
130,938 |
|
721,937 |
|
243,712 |
|
90,473 |
|
146,631 |
|
754,770 |
|
260,457 |
Other operating expenses |
25 |
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(247,782) |
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(256,443) |
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(484,150) |
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(514,397) |
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(248,748) |
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(281,115) |
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(511,950) |
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(539,079) |
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Operating income |
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973,930 |
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841,806 |
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2,450,085 |
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1,725,741 |
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1,247,010 |
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1,254,168 |
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3,122,243 |
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2,417,802 |
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Financial income |
26 |
|
699,109 |
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1,568,219 |
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1,446,710 |
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2,181,793 |
|
722,433 |
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1,633,509 |
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1,520,633 |
|
2,280,064 |
Financial expenses |
26 |
|
(1,027,368) |
|
(1,512,814) |
|
(2,071,416) |
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(2,374,344) |
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(1,028,492) |
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(1,805,036) |
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(2,143,485) |
|
(2,669,443) |
Equity pickup |
11 |
|
194,369 |
|
123,002 |
|
450,380 |
|
327,452 |
|
476 |
|
440 |
|
724 |
|
672 |
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Income before taxes |
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840,040 |
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1,020,213 |
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2,275,759 |
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1,860,642 |
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941,427 |
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1,083,081 |
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2,500,115 |
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2,029,095 |
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Income and social contribution taxes |
27 |
|
(140,544) |
|
(150,397) |
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(358,033) |
|
(411,107) |
|
(241,931) |
|
(213,265) |
|
(582,389) |
|
(579,560) |
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Net income for the period |
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699,496 |
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869,816 |
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1,917,726 |
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1,449,535 |
|
699,496 |
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869,816 |
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1,917,726 |
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1,449,535 |
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Basic and diluted earnings per share (in R$) |
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Common shares |
28 |
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0.39 |
|
0.56 |
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1.07 |
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1.05 |
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Preferred shares |
28 |
|
0.43 |
|
0.62 |
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1.17 |
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1.16 |
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TELEFÔNICA BRASIL S.A. | |||||||||||||||||||||
Statements of Changes in Shareholders’ Equity | |||||||||||||||||||||
Six-month periods ended June 30, 2016 and 2015 |
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| |
(In thousands of reais) |
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Capital reserves |
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Income Reserves |
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Capital |
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Premium on acquisition of interest |
|
Other capital reserves |
|
Treasury Shares |
|
Legal reserve |
|
Tax incentives |
|
Reserve for expansion and modernization |
|
Retained earnings |
|
Additional dividend proposed |
|
Other comprehensive income |
|
Total Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of December 31, 2014 |
37,798,110 |
|
(70,448) |
|
2,799,004 |
|
(112,107) |
|
1,532,630 |
|
1,849 |
|
- |
|
- |
|
2,768,592 |
|
232,465 |
|
44,950,095 |
Additional dividends proposed for year 2014 |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(2,768,592) |
|
- |
|
(2,768,592) |
Expired equity instruments |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
58,623 |
|
- |
|
- |
|
58,623 |
DIPJ (Corporate Income Tax Return) Adjustment - Tax incentives |
- |
|
- |
|
- |
|
- |
|
- |
|
1,220 |
|
- |
|
(1,220) |
|
- |
|
- |
|
- |
Cancellation of treasury shares, according to EGM of March 12, 2015 |
- |
|
- |
|
(112,107) |
|
112,107 |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
Capital increase - EGM of April 28, 2015 |
15,812,000 |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
15,812,000 |
Direct costs on capital increases (net of taxes), according to EGM of April 28, 2015 |
- |
|
- |
|
(62,812) |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(62,812) |
Capital increase - EGM of April 30, 2015 |
295,285 |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
295,285 |
Direct costs on capital increases (net of taxes), according to EGM of April 30, 2015 |
- |
|
- |
|
(3,776) |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(3,776) |
Capital increase - merger of shares in GVTPart – EGM of May 28, 2015 |
9,666,021 |
|
- |
|
(1,188,707) |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
8,477,314 |
Dissenters' right - Acquisition of GVTPart. |
- |
|
- |
|
- |
|
(86,023) |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(86,023) |
Other comprehensive income |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(218,422) |
|
(218,422) |
Net income for the period |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
1,449,535 |
|
- |
|
- |
|
1,449,535 |
Interim interest on equity |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(515,000) |
|
- |
|
- |
|
(515,000) |
Interim dividends |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(270,000) |
|
- |
|
- |
|
(270,000) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of June 30, 2015 |
63,571,416 |
|
(70,448) |
|
1,431,602 |
|
(86,023) |
|
1,532,630 |
|
3,069 |
|
- |
|
721,938 |
|
- |
|
14,043 |
|
67,118,227 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expired equity instruments |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
435,378 |
|
- |
|
- |
|
435,378 |
DIPJ (Corporate Income Tax Return) Adjustment - Tax incentives |
- |
|
- |
|
- |
|
- |
|
- |
|
3,859 |
|
- |
|
(3,859) |
|
- |
|
- |
|
- |
Direct costs on capital increases (net of taxes), according to EGM of April 28, 2015 |
- |
|
- |
|
4,155 |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
4,155 |
Dissenters' right - Acquisition of GVTPart. |
- |
|
- |
|
- |
|
(1,782) |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(1,782) |
Premium on acquisition of equity interest by TData |
- |
|
(4,940) |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(4,940) |
Other comprehensive income |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
264,990 |
|
- |
|
11,425 |
|
276,415 |
Net income for the period |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
1,970,714 |
|
- |
|
- |
|
1,970,714 |
Income allocation: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Legal reserve |
- |
|
- |
|
- |
|
- |
|
171,013 |
|
- |
|
- |
|
(171,013) |
|
- |
|
- |
|
- |
Interim interest on equity |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(1,230,925) |
|
- |
|
- |
|
(1,230,925) |
Expansion and modernization reserve |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
700,000 |
|
(700,000) |
|
- |
|
- |
|
- |
Additional dividend proposed |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(1,287,223) |
|
1,287,223 |
|
- |
|
- |
Balances as of December 31, 2015 |
63,571,416 |
|
(75,388) |
|
1,435,757 |
|
(87,805) |
|
1,703,643 |
|
6,928 |
|
700,000 |
|
- |
|
1,287,223 |
|
25,468 |
|
68,567,242 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional dividends proposed for year 2015 |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(1,287,223) |
|
- |
|
(1,287,223) |
Expired equity instruments |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
66,060 |
|
- |
|
- |
|
66,060 |
DIPJ (Corporate Income Tax Return) Adjustment - Tax incentives |
- |
|
- |
|
- |
|
- |
|
- |
|
4,882 |
|
- |
|
(4,882) |
|
- |
|
- |
|
- |
Other comprehensive income |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(26,039) |
|
(26,039) |
Net income for the period |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
1,917,726 |
|
- |
|
- |
|
1,917,726 |
Interim interest on equity |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(918,000) |
|
- |
|
- |
|
(918,000) |
Balances as of June 30, 2016 |
63,571,416 |
|
(75,388) |
|
1,435,757 |
|
(87,805) |
|
1,703,643 |
|
11,810 |
|
700,000 |
|
1,060,904 |
|
- |
|
(571) |
|
68,319,766 |
TELEFÔNICA BRASIL S. A. | |||||||||||||||
Statements of Comprehensive Income | |||||||||||||||
For the three- and six-month periods ended June 30, 2016 and 2015 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands of reais) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company |
|
Consolidated | ||||||||||||
|
Three-month periods ended |
|
Six-month periods ended |
|
Three-month periods ended |
|
Six-month periods ended | ||||||||
|
06.30.16 |
|
06.30.15 |
|
06.30.16 |
|
06.30.15 |
|
06.30.16 |
|
06.30.15 |
|
06.30.16 |
|
06.30.15 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income for the year |
699,496 |
|
869,816 |
|
1,917,726 |
|
1,449,535 |
|
699,496 |
|
869,816 |
|
1,917,726 |
|
1,449,535 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized gains (losses) on investments available for sale |
66 |
|
206 |
|
(172) |
|
(783) |
|
66 |
|
206 |
|
(172) |
|
(783) |
Taxes on unrealized gains (losses) on investments available for sale |
(23) |
|
(70) |
|
58 |
|
266 |
|
(23) |
|
(70) |
|
58 |
|
266 |
|
43 |
|
136 |
|
(114) |
|
(517) |
|
43 |
|
136 |
|
(114) |
|
(517) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gains (losses) on derivative transactions |
6,141 |
|
3,206 |
|
(17,277) |
|
(1,050) |
|
6,141 |
|
3,321 |
|
(17,277) |
|
(935) |
Taxes on gains (losses) on derivative transactions |
(2,088) |
|
(1,090) |
|
5,874 |
|
357 |
|
(2,088) |
|
(1,090) |
|
5,874 |
|
357 |
|
4,053 |
|
2,116 |
|
(11,403) |
|
(693) |
|
4,053 |
|
2,231 |
|
(11,403) |
|
(578) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cumulative translation adjustments (CTA) on foreign currency transactions |
(10,311) |
|
423 |
|
(14,522) |
|
5,210 |
|
(10,311) |
|
423 |
|
(14,522) |
|
5,210 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other net comprehensive income to be reclassified into income in subsequent periods |
(6,215) |
|
2,675 |
|
(26,039) |
|
4,000 |
|
(6,215) |
|
2,790 |
|
(26,039) |
|
4,115 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gains (losses) on derivative transactions |
- |
|
(945,914) |
|
- |
|
(336,125) |
|
- |
|
(945,914) |
|
- |
|
(336,125) |
Taxes on gains (losses) on derivative transactions |
- |
|
321,611 |
|
- |
|
114,283 |
|
- |
|
321,611 |
|
- |
|
114,283 |
|
- |
|
(624,303) |
|
- |
|
(221,842) |
|
- |
|
(624,303) |
|
- |
|
(221,842) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Losses on other comprehensive income (loss) |
- |
|
- |
|
|
|
- |
|
- |
|
(695) |
|
- |
|
(695) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest in comprehensive income of subsidiaries |
- |
|
(580) |
|
- |
|
(580) |
|
- |
|
- |
|
- |
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other net comprehensive income to be not reclassified into income in subsequent periods |
- |
|
(624,883) |
|
- |
|
(222,422) |
|
- |
|
(624,998) |
|
- |
|
(222,537) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive income for the period, net of taxes |
693,281 |
|
247,608 |
|
1,891,687 |
|
1,231,113 |
|
693,281 |
|
247,608 |
|
1,891,687 |
|
1,231,113 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted earnings per share (in R$) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares |
0.39 |
|
0.39 |
|
1.05 |
|
0.39 |
|
|
|
|
|
|
|
|
Preferred shares |
0.42 |
|
0.39 |
|
1.16 |
|
0.39 |
|
|
|
|
|
|
|
|
TELEFÔNICA BRASIL S.A. | ||||||||
Statements of Cash Flows | ||||||||
Six-month periods ended June 30, 2016 and 2015 |
|
|
|
|
|
|
|
|
(In thousands of Reais) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company |
|
Consolidated | ||||
|
|
06.30.16 |
|
06.30.15 |
|
06.30.16 |
|
06.30.15 |
Total cash generated from operating activities |
|
4,070,188 |
|
2,721,001 |
|
5,040,548 |
|
3,323,699 |
|
|
|
|
|
|
|
|
|
Expenses (incomes) not representing changes in cash |
|
6,859,295 |
|
6,117,360 |
|
8,151,367 |
|
7,297,753 |
Income before taxes |
|
2,275,759 |
|
1,860,642 |
|
2,500,115 |
|
2,029,095 |
Depreciation and amortization |
|
3,389,592 |
|
2,810,898 |
|
3,866,606 |
|
3,099,990 |
Foreign exchange gain (losses) on loans |
|
13,739 |
|
(141,854) |
|
13,739 |
|
81,307 |
Currency variations gain (losses) |
|
239,156 |
|
163,103 |
|
229,000 |
|
171,137 |
Equity pick-up |
|
(450,380) |
|
(327,452) |
|
(724) |
|
(672) |
Losses (gains) on write-off/disposal of property |
|
(452,157) |
|
21,415 |
|
(457,619) |
|
27,987 |
Estimated impairment losses on accounts receivable |
|
577,628 |
|
543,545 |
|
661,433 |
|
609,212 |
Provision for (reversal from) suppliers |
|
318,334 |
|
321,637 |
|
332,457 |
|
370,073 |
Write-off and reversal of estimated losses from impairment and obsolescence of inventories |
|
(19,774) |
|
(15,061) |
|
(20,020) |
|
(16,034) |
Pension plans and other post-retirement benefits |
|
(4,788) |
|
21,594 |
|
(5,544) |
|
21,586 |
Provisions for tax, labor, civil and regulatory contingencies |
|
496,186 |
|
413,793 |
|
528,127 |
|
427,796 |
Interest expenses |
|
507,652 |
|
415,468 |
|
548,145 |
|
446,644 |
Other |
|
(31,652) |
|
29,632 |
|
(44,348) |
|
29,632 |
|
|
|
|
|
|
|
|
|
Increase or decrease in operating assets and liabilities |
|
(2,789,107) |
|
(3,396,359) |
|
(3,110,819) |
|
(3,974,054) |
Trade Accounts receivable |
|
(608,191) |
|
(664,268) |
|
(899,519) |
|
(757,292) |
Inventories |
|
139,910 |
|
(156,409) |
|
145,139 |
|
(179,920) |
Taxes recoverable |
|
2,918 |
|
(100,492) |
|
(53,673) |
|
(104,794) |
Prepaid expenses |
|
(381,424) |
|
(446,092) |
|
(397,099) |
|
(441,228) |
Other current assets |
|
31,723 |
|
6,998 |
|
18,875 |
|
(47,732) |
Other non-current assets |
|
30,565 |
|
(131,989) |
|
7,530 |
|
(131,961) |
Personnel, social charges and benefits |
|
67,253 |
|
(141,562) |
|
90,892 |
|
(133,789) |
Trade accounts payable |
|
(655,123) |
|
(277,052) |
|
(486,108) |
|
(398,411) |
Taxes, charges and contributions |
|
(118,816) |
|
(186,651) |
|
30,031 |
|
(187,484) |
Interest paid |
|
(446,340) |
|
(402,210) |
|
(486,407) |
|
(441,248) |
Income and social contribution taxes paid |
|
(157,831) |
|
- |
|
(370,109) |
|