Millicom Q4 2024 Earnings Report
Key Takeaways
Millicom posted revenue of $1.43 billion in Q4 2024, a 3.2% year-over-year decline due to lower B2B sales in Panama. However, operating profit surged 63.4% to $373 million, driven by efficiency gains. Net income improved to $31 million from a $63 million loss in Q4 2023. Free cash flow jumped to $213 million, reflecting disciplined capital spending and lower spectrum payments.
Revenue declined 3.2% year-over-year to $1.43 billion.
Operating profit increased 63.4% to $373 million.
Net income improved to $31 million from a $63 million loss in Q4 2023.
Equity free cash flow surged to $236 million, supporting debt reduction efforts.
Millicom Revenue
Millicom EPS
Millicom Revenue by Segment
Millicom Revenue by Geographic Location
Forward Guidance
Millicom expects stable revenue and improved profitability in 2025, with a focus on efficiency measures, debt reduction, and dividend payments.
Positive Outlook
- Targeting $750 million in Equity Free Cash Flow for 2025.
- Continued debt reduction efforts, with leverage expected to remain below 2.5x.
- Strategic initiatives in Costa Rica and Colombia to drive revenue growth.
- Planned sale of non-core assets expected to strengthen balance sheet.
- Resumption of quarterly dividends with a $3.00 per share annual payout.
Challenges Ahead
- Weak foreign exchange rates may impact revenue growth.
- Regulatory risks and potential legal challenges in key markets.
- Competitive pressures in mobile and fixed broadband segments.
- Macroeconomic uncertainty in Latin America could affect consumer spending.
- Higher financing costs due to elevated interest rate environment.