IHS (US:IHS)2025-08-12 10:08Financial Performance - The company reported a significant increase in revenue, achieving $500 million in Q3 2024, representing a 15% year-over-year growth[9]. - Adjusted EBITDA for the quarter was $200 million, reflecting a 10% increase compared to the previous year[9]. - Revenue for Q2 2025 was $433.3 million, a slight decrease of 0.5% compared to $435.4 million in Q2 2024[13]. - Operating income for the first half of 2025 increased to $309.4 million, up from $141.1 million in the same period of 2024[13]. - The company reported a net income of $63.0 million for the first half of 2025, a recovery from a loss of $1,681.6 million in the same period of 2024[13]. - For the six months ended June 30, 2025, total revenues reached $872.9 million, up from $853.1 million in the same period of 2024, indicating a growth of about 2.1%[53]. - Segment Adjusted EBITDA for the six months ended June 30, 2025, increased to $563.7 million from $499.7 million in 2024, representing a growth of approximately 12.8%[55]. - Basic income per share for Q2 2025 was $0.11, a recovery from a loss of $0.36 in Q2 2024[72]. Cash Flow and Liquidity - Cash from operations for Q2 2025 was $254.8 million, a 68% increase from $151.6 million in Q2 2024[20]. - Net cash from operating activities for the first half of 2025 was $438.0 million, compared to $210.5 million in the same period of 2024, representing a 108% increase[20]. - Cash from operations for the six months ended June 30, 2025, was $471.0 million, compared to $244.6 million for the same period in 2024, reflecting a 92.5% increase[89]. - The Group's cash and cash equivalents at the end of Q2 2025 were $533.1 million, up from $445.7 million at the end of Q2 2024[20]. - The company’s cash and cash equivalents decreased to $531.8 million as of June 30, 2025, down from $578.0 million at December 31, 2024[15]. Debt and Financing - Finance costs significantly decreased to $228.7 million in H1 2025 from $1,812.7 million in H1 2024, indicating improved financial management[13]. - The Group's repayment of borrowings in Q2 2025 was $328.4 million, compared to $78.1 million in Q2 2024, reflecting a substantial increase in debt servicing[20]. - Total borrowings as of June 30, 2025, were $3,239.6 million, with a fair value of $3,263.4 million[43]. - As of June 30, 2025, total borrowings decreased to $3,239.6 million from $3,347.9 million as of December 31, 2024, reflecting a reduction of approximately 3.2%[81][84]. Asset Management - Total assets increased to $4,489.8 million as of June 30, 2025, compared to $4,246.5 million at the end of 2024[15]. - Non-current assets rose to $3,505.3 million as of June 30, 2025, up from $3,322.2 million at December 31, 2024[15]. - The company’s total liabilities stood at $4,588.2 million as of June 30, 2025, slightly up from $4,560.9 million at the end of 2024[15]. - Equity attributable to owners improved to $(270.8) million as of June 30, 2025, from $(473.2) million at the end of 2024[15]. - Segment assets as of June 30, 2025, totaled $4.2 billion, compared to $4.3 billion as of June 30, 2024, reflecting a slight decrease[58]. Strategic Initiatives - The company anticipates a 20% growth in contracted revenue for the next fiscal year, driven by new lease agreements and expansions in existing markets[9]. - Future market expansion plans include entering two new countries in Africa by the end of 2025, targeting a 25% increase in market share[10]. - The company is investing $100 million in new technology to enhance operational efficiency and reduce costs over the next three years[10]. - The company is actively pursuing strategic acquisitions to enhance its portfolio, with a target of adding 1,000 new towers by 2026[10]. - The company announced the sale of its wholly owned subsidiary, IHS Rwanda, for total consideration of up to $274.5 million, which includes deferred payments and an earn-out based on future performance[92]. Cost Management - Power generation costs for the three months ended June 30, 2025, were $81.8 million, down from $90.6 million in the same period of 2024, a decrease of about 8.7%[61]. - The company incurred unallocated corporate expenses of $28.8 million for the three months ended June 30, 2025, down from $36.4 million in the same period of 2024, a decrease of approximately 21.0%[56]. - The total administrative expenses for the six months ended June 30, 2025, were $140.8 million, down from $252.6 million in the same period of 2024, a decrease of 44.2%[63]. - Staff costs for Q2 2025 were $47.5 million, up from $45.7 million in Q2 2024, representing a 3.9% increase[63]. Environmental Initiatives - The Carbon Reduction Roadmap aims to reduce Scope 1 and Scope 2 emissions intensity by 50% by 2030, using 2021 emissions data as the baseline[10].