MEXICO CITY, April 17 (Reuters) - Mexican

telecommunications giant America Movil said it is

investing in 5G across its markets as it remains on track to

implement its $7.1 billion capital expenditure plan set for this

year.

The company had in February warned of reduced spending

following years of significant output on buying spectrum and

refreshing its network infrastructure. Last year it spent $8.6

billion.

This comes a day after America Movil showed first quarter

net profit down 55% year on year, weighed by a stronger peso and

lack of extraordinary income from selling cell phone towers, as

it had done in the same quarter a year earlier.

The peso appreciated over 8% to the U.S. dollar over the

first three months of 2024, after sweeping gains last year

diluted the earnings of Mexican companies earning income abroad.

Quarterly net profit landed below forecasts by analysts

at J.P. Morgan, which it attributed to lower-than-expected

results across several regions, a ransomware attack and much

lower results in Argentina.

Strong results in key markets Brazil and Mexico helped

push growth past forecasts in terms of revenues and core

earnings, however, the analysts said.

Looking forward, America Movil said Peru would be a

focus this year, after launching a new data center in the

country in January.