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Mar 31

IHS Q1 2025 Earnings Report

IHS delivered strong revenue and profitability growth in Q1 2025, led by a sharp rise in Adjusted EBITDA and a return to positive net income.

Key Takeaways

IHS Holding Limited posted a solid Q1 2025 with revenue reaching $439.6 million and net income turning positive at $30.7 million. Adjusted EBITDA jumped 36.4%, while cash from operations more than doubled year-over-year.

Revenue grew to $439.6M, primarily driven by organic growth and FX resets.

Net income recovered to $30.7M, reversing a $1.56B loss in Q1 2024.

Adjusted EBITDA margin improved to 57.5%, supported by cost controls and FX gains.

Cash from operations rose to $216.3M, driven by better profitability and tax optimization.

Total Revenue
$440M
Previous year: $418M
+5.2%
EPS
$0.1
Previous year: -$0.47
-121.3%
Adjusted EBITDA Margin
57.5%
Capital Expenditures
$43.6M
Previous year: $53.1M
-17.9%
Cash and Equivalents
$629M
Previous year: $333M
+88.8%
Free Cash Flow
$150M
Previous year: -$66.9M
-324.1%
Total Assets
$4.42B
Previous year: $4.61B
-4.1%

IHS

IHS

IHS Revenue by Segment

IHS Revenue by Geographic Location

Forward Guidance

IHS reiterated its FY2025 outlook, expecting revenue between $1.68B and $1.71B and improved profitability, supported by continued 5G rollout and cost discipline.

Positive Outlook

  • Full year 2025 revenue guidance of $1.68B–$1.71B maintained.
  • Adjusted EBITDA expected between $960M–$980M.
  • Strong cash generation outlook with ALFCF guidance of $350M–$370M.
  • Continued Naira stabilization in Q1 2025.
  • Rwanda divestiture enhances balance sheet flexibility.

Challenges Ahead

  • FX volatility remains a risk across key markets.
  • Revenue headwinds from churn in MTN Nigeria sites.
  • SSA revenue decline due to pass-through contract changes.
  • Capex guidance still includes high investment in Brazil new sites.
  • Uncertain regulatory approval timeline for Rwanda deal close.