Millicom (Tigo) Q4 2024 Earnings Release

Core Insights - Millicom reported its Q4 2024 results, showing a revenue of $1.43 billion, a decrease of 3.2% year-on-year, but a full-year revenue increase of 2.5% to $5.80 billion [5][7] - The company achieved significant improvements in operating profit and net income, with Q4 operating profit at $373 million (up 63.4%) and net income of $31 million compared to a loss of $63 million in Q4 2023 [5][7] - Millicom's EBITDA for Q4 was $618 million, reflecting an 11.0% increase, while full-year EBITDA rose to $2.47 billion, up 16.9% [5][7] Financial Highlights - Q4 2024 revenue was $1,428 million, down from $1,475 million in Q4 2023, a decline of 3.2% [5] - Operating profit for Q4 reached $373 million, a significant increase from $228 million in the same quarter last year, marking a 63.4% rise [5] - Net profit for Q4 was $31 million, a recovery from a loss of $63 million in Q4 2023 [5] - Full-year revenue for 2024 was $5,804 million, up 2.5% from $5,661 million in 2023 [5] - Full-year operating profit increased to $1,342 million, up 62.5% from $826 million in 2023 [5] - Full-year net income was $253 million, compared to a loss of $82 million in 2023 [5] Operational Performance - The company reported strong commercial activity in Q4, with 274,000 net additions in postpaid mobile and 49,000 in home FTTH/HFC [7] - For the full year, Millicom achieved 965,000 net additions in postpaid mobile and 115,000 in home FTTH/HFC [7] - Equity free cash flow (EFCF) for Q4 was $236 million, significantly up from $39 million in Q4 2023 [5][7] - Full-year EFCF reached $728 million, compared to a negative $18 million in 2023 [5][7] Strategic Outlook - Millicom aims for an EFCF target of around $750 million for 2025, driven by efficiency measures and lower restructuring costs [8] - The company plans to advance strategic initiatives in Costa Rica and Colombia and complete a tower divestment [8] - The CEO highlighted the successful completion of a restructuring program and the reinstatement of shareholder remuneration as key achievements [6]