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Financial Data and Key Metrics Changes - The company reported a strong start to 2025 with a 26% organic revenue growth, driven by nearly 8% constant currency growth [5][6] - Adjusted EBITDA reached $253 million with a margin of 57.5%, up 1320 basis points year over year [6][18] - ALFCF was $150 million, representing a 248% increase year over year, attributed to improved profitability and rephasing of interest payments [6][18] - Total CapEx was $44 million, down 17.8% year over year, reflecting a narrowed focus on capital allocation [7][19] - The consolidated net leverage ratio decreased to 3.4x from 3.7x at the end of 2024 [8][26] Business Line Data and Key Metrics Changes - In Nigeria, revenue increased by 19% year on year, driven by FX resets, power indexation, and tenancy growth [21] - The Sub-Saharan Africa segment saw an 8.1% revenue decrease, while adjusted EBITDA increased by 2.9% year on year [22] - The Latin America segment experienced a 0.5% revenue decrease, but adjusted EBITDA increased by 5% [24] Market Data and Key Metrics Changes - The Nigerian FX market stabilized with the naira averaging $15.27 to the dollar in Q1 2025, down from $16.29 in Q4 2024 [20] - Inflation in Nigeria remained stable at 24.2% as of March 2025 [20] - The company noted a strong macroeconomic environment in Nigeria and Brazil, supporting growth opportunities [10] Company Strategy and Development Direction - The company is focused on improving profitability and cash flow generation while strengthening its balance sheet [8][10] - A strategic priority includes asset disposals, with the recent agreement to sell IHS Rwanda for $274.5 million, reflecting a transaction multiple of 8.3 times adjusted EBITDA [9][10] - The company aims to maximize returns for stakeholders and is exploring additional value-creative disposal opportunities [10][46] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the outlook for 2025, supported by improving macroeconomic conditions in key markets [10][40] - The company is monitoring global macroeconomic uncertainties that could impact operations [40][41] - Management reiterated that the first quarter performance was in line with expectations, with a positive outlook for the remainder of the year [34][35] Other Important Information - The company has approximately $4 billion in external debt and lease liabilities, with $629 million in cash and cash equivalents as of March 31, 2025 [25][26] - The withholding tax rate in Nigeria decreased from 10% to 2%, benefiting ALFCF cash conversion [19] Q&A Session Summary Question: Was Q1 performance in line with expectations? - Management confirmed that Q1 performance was in line with expectations, with a strong start to the year [34][35] Question: What risks are anticipated for the remainder of 2025? - Management noted that while the macro environment is improving, global uncertainties remain a concern [40][41] Question: Can you provide details on the asset sale program? - Management stated that while initial goals have been met, they will continue to explore additional disposals to unlock shareholder value [46][47] Question: What is the expected cash from the Rwanda sale? - The Rwanda sale is expected to generate $274.5 million in cash, with no debt attached to the asset [69][70] Question: What is the outlook for EBITDA growth in Nigeria? - Management indicated that FX resets will continue to impact EBITDA, but the focus will shift to organic growth drivers [64][66]