Millicom (Tigo) Q2 2024 Earnings Release
Millicom (Tigo) Q2 2024 Earnings Release
Luxembourg, August 02, 2024 – Millicom is pleased to announce its second quarter 2024 results. Please find below links to the Q2 2024 Earnings Release and IAS 34 Interim Condensed Consolidated Financial Statements.
Q2 Highlights*
- Revenue $1.46 billion, up 4.7%
- Operating profit $345 million, up 74.1%
- EBITDA $634 million, up 23.1% - Colombia EBITDA margin 39.5%
- Net income $78 million ($0.46 per share)
- Equity free cash flow $268 million
- Leverage 2.77x
| Financial highlights ($ millions) | Q2 2024 | Q2 2023 | Change % | Organic Change % | H1 2024 | H1 2023 | Change % | Organic Change % |
| Revenue | 1,458 | 1,393 | 4.7% | 1.4% | 2,945 | 2,762 | 6.6% | 2.6% |
| Operating Profit | 345 | 198 | 74.1% | 669 | 388 | 72.4% | ||
| Net Profit (Loss) | 78 | (22) | NM | 170 | (19) | NM | ||
| Non-IFRS measures (*) | ||||||||
| Service Revenue | 1,362 | 1,291 | 5.5% | 2.1% | 2,738 | 2,555 | 7.1% | 2.9% |
| EBITDA | 634 | 515 | 23.1% | 19.7% | 1,266 | 1,022 | 23.8% | 19.9% |
| Capex | 134 | 182 | (26.3)% | 247 | 367 | (32.7)% | ||
| Operating Cash Flow | 500 | 333 | 50.2% | 44.7% | 1,018 | 655 | 55.5% | 48.8% |
| Equity Free Cash Flow | 268 | (24) | NM | 269 | (157) | NM |
*See page 10 for a description of non-IFRS measures and for reconciliations to the nearest equivalent IFRS measures.
Millicom Chief Executive Officer Marcelo Benitez commented:
"Millicom has undergone an important transformation aimed at significantly increasing the company's equity free cash flow generation. These efforts began to pay off in Q2, with EBITDA up almost 20% organically, EFCF of $268 million and leverage down significantly to 2.77x, putting the company on track to achieve its 2024 targets.
Meanwhile, we are streamlining our product offerings and internal processes, which is enhancing productivity and generating cost savings beyond the initial targets of the efficiency project Everest. Additionally, we are prioritizing ARPU growth in Mobile, reducing churn in Home, and accelerating growth in B2B. We are also making return-focused investments to sustain our market leadership and drive customer growth in the second half of 2024. All these actions are designed to ensure continued EFCF growth in 2025 and beyond, in line with our long-term plan.
As we wrap up my initial quarter as CEO, I want to express my gratitude to the entire Millicom team for their tremendous energy and dedication, even amid significant challenges and uncertainties. Together, we are transforming into a more agile and efficient platform to fulfill our mission of building digital highways that connect people, improve lives, and develop our communities.”
2024 Financial Targets
Millicom targets equity-free cash flow above $600 million in 2024, excluding proceeds for the previously-announced tower sale in Colombia. Millicom also targets leverage to near 2.5x at year-end 2024. Excluded from both targets are cash proceeds and related taxes stemming from any potential future tower transaction.
• IAS 34 Interim Condensed Consolidated Financial Statements
Millicom is planning to host a video conference for the global financial community on August 2, 2024, at 14:00 (Stockholm) / 13:00 (London) / 08:00 (Miami).
Registration for the interactive event is required at the following link. After registering, you will receive a confirmation email containing details about joining the video conference. Participants who wish to ask a question during the live event must notify the Investor Relations team via email to investors@millicom.com after the start of the event.
Participants may also join the conference in listen-only mode by dialing any of the following numbers and entering the Webinar ID: 886 2640 8960:
US: +1 929 205 6099 Sweden: +46 850 539 728
UK: +44 330 088 5830 Luxembourg: +352 342 080 9265
Additional international numbers are available at the following link. Accompanying slides and a replay of the event will be available on the Millicom investors website.
For further information, please contact:
| Press: Sofía Corral, Communications Director press@millicom.com | Investors: Michel Morin, VP Investor Relations investors@millicom.com |
About Millicom
Millicom (NASDAQ U.S.: TIGO, Nasdaq Stockholm: TIGO_SDB) is a leading provider of fixed and mobile telecommunications services in Latin America. Through our TIGO® and Tigo Business® brands, we provide a wide range of digital services and products, including TIGO Money for mobile financial services, TIGO Sports for local entertainment, TIGO ONEtv for pay TV, high-speed data, voice, and business-to-business solutions such as cloud and security. As of June 30, 2024, Millicom, including its Honduras Joint Venture, employed approximately 15,000 people and provided mobile and fiber-cable services through its digital highways to more than 45 million customers, with a fiber-cable footprint about 14 million homes passed. Founded in 1990, Millicom International Cellular S.A. is headquartered in Luxembourg.
Regulatory Statement
This information was prior to this release inside information and is information that Millicom is obliged to make public pursuant to the EU Market Abuse Regulation. This information was submitted for publication, through the agency of the contact person set out above, at 12:00 CET on August 2, 2024.
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