The Argentine provider of value added services, ATS, expects sales abroad to grow to 60% of revenues next year from the current 50%, said to BNamericas José Luis Taravilse, manager of the firm’s regional sales.
In 2006, ATS expects to increase its projects in the region by 30%. 30% out of 50% of ATS’s foreign sales are to Braziland 20% to the rest of Latin America.
The firm expects its total revenues to amount to US$9mn-10mn at 2005 year-end and aims at accomplishing a 30-40% growth in 2006.
Its customers include the Spanish company Telefónica Móviles (Nyse: TEM) in some of its operations like Movistar in Latin America, Vivo and Oi in Brazil, the Mexican company América Móvil (Nyse: AMX) with Claro in Brazil, the Spanish company Telefónica (Nyse: TEF) and the operator of trunking NII Holdings (Nasdaq: NIHD).
“ATS is a company that was formed in Argentina in 1991. We now have offices in Brazil and Uruguay. We have concluded partnership agreements with Paraguay, Bolivia, Peru, Ecuador and Colombia. We are currently in talks with potential partners in Chile and Venezuela. In addition, we are in talks with possible partners in Mexico and El Salvador, for the purpose of having a regional partner for Central America,” Taravilse said.
According to him, the agreements should be ready some time in 2006. ATS is also considering the possibility of opening a direct office in Miami.
“[An office] in Miami would enable us to expand our coverage to the US and Canada, an area not covered by us yet. Also, Central American and Caribbean countries tend to gladly accept companies having US offices. This gives us a certain degree of confidence to carry on with our business,” he added.
Taravilse explained that there are no current plans to open another direct office in the region, since they have already entered into agreements with partners. “No matter how good the business may be, (…) we do respect our partners.”
With six different product lines, Taravilse expects the largest growth to come from the sales of a fraud control system, known as EIR. Another product line that should generate huge sales is the on-hold tones area.
ATS also offers mobile phone prepaid platforms, communications platforms oriented to the corporate segment and pre-customer services for call centers.
“We are working steadily towards certifying the Level 3 CMMi standard. We conducted an assessment to evaluate our current status. We are currently at between 2 and 3 and expect the certification for the beginning of the second semester [of 2006]. We understand that this will help us on several fronts because it will improve the normalized standard, the quality of products, and it will contribute to the reusability of the sources on which we are working; plus, it will provide us with additional help, since many of the companies of the region are starting to choose providers that work with quality standards,” the executive said.