- Revenue up 8.3% like-for-like to $1,246m
- Record mobile data customers up by 788,000 in the quarter
- Financial services transfers exceed $500m in March
- EBITDA of $494m and margin within guidance
There was encouraging progress in new product areas identified for their
potential when Millicom unveiled its five-year strategy for doubling growth last
month, including:
- The fastest-ever growth in new mobile data customers with 788,000 new
customers using mobile data services in the quarter, an 18% increase versus the
strong level of net additions achieved in the fourth quarter of 2012.
- Recurring mobile data revenue grew by 30% year-on-year in local currency
in Latin America and close to 35% for the company overall and
- The transfer of over $500 million in March through our mobile money
services network. In our most advanced market, the volume transferred was
equivalent to around 15% of the local GDP in the month.
Commenting on the performance, Hans-Holger Albrecht, President and CEO of
Millicom said:
“Last month, we outlined our mid-term strategy and ambition to double revenues
by the end of 2017 whilst maintaining strong profitability and enhancing cash
flow generation.
Our business is performing in line with our expectations with an 8.3% like-for
-like increase in revenue in the first quarter. This growth represents a slight
acceleration versus the previous quarter, despite the quieter Easter period
falling in Q1 this year.
In MFS, we reached an important milestone as in our most advanced market of
Tanzania, we shipped through our network the equivalent of around 15% of the
country’s GDP in the month of March. Synergies abound: now in Ghana, food can be
purchased from one of our online businesses and paid for with Tigo Cash. Such
developments illustrate the opportunities ahead.
I am also delighted that during the quarter we strengthened our Corporate
Responsibility activity. This is integral to our work and a vital expression of
our values.”
2013 forward looking statements
We expect 2013 Group EBITDA margin to be above 40% (excluding Online) and to
decline at a lower rate than over the past twelve months. The capex to revenue
ratio will peak at around 20%, excluding spectrum acquisition.
In 2013 we expect the Online division to generate revenue in excess of $100
million and EBITDA losses to be in the range of $125-200 million. Losses will be
on the higher side of the range if we see an opportunity to accelerate growth
and ramp up launch of new businesses.
$m Q1 Q1 YOY % change YTD YTD YOY % change
2013 2012 (local 2013 2012 (local
currency) currency)
Revenue 1,246 1,168 4.9% 1,246 1,168 4.9%
EBITDA (i) 494 517 (7.2%) 494 517 (7.2%)
EBITDA margin 39.7% 44.2% (4.5ppt) 39.7% 44.2% (4.5ppt)
Normalized 143 175 143 175
Net Profit
(ii)
Capex (iii) 193 172 193 172
(i) EBITDA: operating profit before interest, tax, depreciation and
amortization; derived by deducting cost of sales, sales and marketing costs and
general and administrative expenses from revenue and adding other operating
income
(ii) Net profit adjusted for items such as foreign exchange movements, movements
in valuation of the Honduras put option, Colombian deferred tax asset, and
revaluation of previously held interests.
(iii) Excluding towers sold to, and leased back from tower companies, spectrum
and assets acquired with Cablevision Paraguay.
Conference call details
A presentation and conference call to discuss results of the quarter will take
place at 14.00 Stockholm / 13.00 London / 08.00 New York, on Wednesday, April
17, 2013. Dial-in numbers: +46 (0)8 5052 0189, +44 (0) 208 515 2313, or +1 480
293 1741. Access code: 461 20 46.
A live audio stream of the conference call can also be accessed at
www.millicom.com. Please dial in / log on 10 minutes prior to the start of the
conference call to allow time for registration.
Slides to accompany the conference call are available at www.millicom.com.
For further information, please visit www.millicom.com or contact:
President and CEO
Hans-Holger Albrecht
Tel: +46 856 200 012
Press
Julian Eccles, VP, Corporate Communications
Tel: + 44 7720 409 374 / press@millicom.com
Investor Relations
Justine Dimovic, Director, Head of Investor Relations
Tel: +352 691 750 479 / investors@millicom.com
Millicom is a leading telecom operator dedicated to emerging markets in Latin
America and Africa. Millicom sets the pace when it comes to providing innovative
and customer-centric digital lifestyle services to the world’s emerging markets,
giving access to the world, primarily through mobile devices. The Millicom Group
employs more than 10,000 people and provides mobile services, access to the
internet, content and financial services to over 47 million customers. Founded
in 1990, Millicom International Cellular SA is headquartered in Luxembourg and
listed on NASDAQ OMX Stockholm under the symbol MIC. In 2012, Millicom generated
revenue of USD 4.81 billion and EBITDA of USD 2.07 billion.
This press release may contain certain “forward-looking statements” with respect
to Millicom’s expectations and plans, strategy, management’s objectives, future
performance, costs, revenue, earnings and other trend information. It is
important to note that Millicom’s actual results in the future could differ
materially from those anticipated in forward-looking statements depending on
various important factors.
All forward-looking statements in this press release are based on information
available to Millicom on the date hereof. All written or oral forward-looking
statements attributable to Millicom International Cellular S.A., and Millicom
International Cellular S.A. employees or representatives acting on Millicom’s
behalf are expressly qualified in their entirety by the factors referred to
above. Millicom does not intend to update these forward-looking statements.
First quarter revenue up 8% as Millicom builds for the future
| Source: Millicom International Cellular S.A.
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