Millicom International Cellular S.a. · NASDAQ:TIGO
Millicom International Cellular — Q1 2021 Earnings Presentation
28 slides from Millicom International Cellular's earnings presentation, Apr 29, 2021
Slide 1: A record start to 2021
A record start to 2021 First Quarter 2021 Mauricio Ramos, CEO Tim Pennington, CFO April 29th, 2021 Millicom International Cellular S.A.
Slide 2: Safe Harbor
Safe Harbor Cautionary Language Concerning Forward-Looking Statements Statements included herein that are not historical facts, including without limitation statements concerning future strategy, plans, objectives, expectations and intentions, projected financial results, liquidity, growth and prosp
Slide 3: Non IFRS measures
Non IFRS measures This presentation contains financial measures not prepared in accordance with IFRS. These measures are referred to as “non-IFRS” measures and include: non-IFRS service revenue, non-IFRS EBITDA, and non- IFRS Capex, among others defined below. Annual growth rates for these non-IFRS
Slide 4: 1. Q1 2021 Highlights
1. Q1 2021 Highlights
Slide 5: Key messages
Key messages 1 Above pre-COVID levels 2 Record Q1 net additions 3 Strong momentum across all countries and businesses 4 Investment led growth 5
Slide 6: Above pre-COVID levels
1 Above pre-COVID levels Latam home customers (‘000) Q1 20 – Q1 21 +7.1% Home 4,545 4,701 customers 4,391 4,296 4,453 Latam service revenue1 ($m) Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q1 20 – Q1 21 +2.2% 1,413 Latam mobile customers (‘000) Q1 20 – Q1 21 Service +8.5% Revenue1 Mobile 41,734 42,805 Q1 20 Q2 2
Slide 7: Record results in Home
2 Record results in Home Record HFC net additions Home revenue re-accelerating Latam home service revenue1 ($m) Q1 20 - Q1 21 Latam HFC customer relationships (‘000) Q1 20 - Q1 21 BBI +166 +7.9% 3,899 412 3,733 3,630 3,531 3,484 Pay Q1 20 TV Q2 20 Q3 20 Q4 20 Q1 21 Rising network penetration Latam H
Slide 8: Back to growth in Mobile
2 Back to growth in Mobile Record 1.1m net adds in Q1 B2C service revenue recovery Latam B2C mobile service revenue1 (%) Q1 20 – Q1 21 Latam mobile subscribers (‘000) Q1 20 – Q1 21 +8.5% 42,805 0.6% 41,734 0.0% 39,449 39,483 37,777 -1.9% Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 -4.3% 4G adoption accelerating L
Slide 9: All countries trending up
3 All countries trending up Service revenue local currency growth (%)1, Q1 20 – Q1 21 Guatemala Honduras Panama El Salvador 6.1% -0.3% 8.9% 4.8% -2.3% -1.0% -5.2% -0.9% Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Colombia Bo
Slide 10: Good momentum in B2B
3 Good momentum in B2B SME returning B2B Service revenue1 Latam SME accounts (‘000) Q1 20 – Q1 21 rebounding +3.4% Latam B2B organic service revenue1 growth (%) Q1 20 – Q1 21 -3.3% -3.2% Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 -6.3% Enterprise growing Latam enterprise accounts (‘000) -8.4% Q1 20 – Q1 21 -8.5%
Slide 11: Investment led growth
4 Investment led growth Colombia El Salvador Nicaragua Best mobile network Excellent consistent quality Excellent consistent quality Fastest mobile network Fastest download and upload Best mobile network Excellent consistent quality Best latency coverage video, voice app, download, Fastest mobile ne
Slide 12: 2. Q1 2021 Financial Review
2. Q1 2021 Financial Review
Slide 13: Group results summary – Q1 2021
Group results summary – Q1 2021 Group revenue to Latam service revenue1 bridge, Q1 2021 1,618 89 1,530 118 1,413 530 1,088 Group Guatemala Underlying1 Africa & Latam Telephone and Latam service Revenue & Honduras revenue Unallocated Revenue Equipment revenue1 Revenue Group operating profit to Latam
Slide 14: Latam service revenue – Q1 2021
Latam service revenue – Q1 2021 YoY organic growth for service revenue1($m) Q1 20 – Q1 21 2.2% -3.2% 1,413 7.9% 0.6% Q1 20 Mobile Home B2B FX and other Q1 21 B2C Service Revenue1 YoY organic growth 14 1) Non-IFRS measure. Please refer to the non-IFRS disclosures in this presentation for a descriptio
Slide 15: Q1 Latam service revenue by country
Q1 21 Latam service revenue by country1 Service revenue ($m), and YoY local currency growth2, Q1 20 – Q1 21 Guatemala (24% of Latam) Honduras (10% of Latam) Panama (10% of Latam) El Salvador (7% of Latam) +6.1% -0.3% -1.0% +8.9% 335 136 146 95 Q1 20 Q1 21 Q1 20 Q1 21 Q1 20 Q1 21 Q1 20 Q1 21 Colombia
Slide 16: Latam EBITDA – Q1 2021
Latam EBITDA– Q1 2021 YoY organic growth EBITDA1 ($m) Q1 20 – Q1 21 +6.3% 638 600 5.9% Q1 20 Organic growth FX and Other Q1 21 39.9% 41.7% EBITDA1 YoY organic growth EBITDA1 margin 16 1) Non-IFRS measure. Please refer to the non-IFRS disclosures in this presentation for a description of non-IFRS mea
Slide 17: Q1 Latam EBITDA by country
Q1 21 Latam EBITDA by country1 EBITDA ($m), and YoY local currency growth2, Q1 20 – Q1 21 Guatemala (32% of Latam) Honduras (10% of Latam) Panama (10% of Latam) El Salvador (6% of Latam) +11.2% +2.5% -3.1% +13.7% 214 67 67 40 Q1 20 Q1 21 Q1 20 Q1 21 Q1 20 Q1 21 Q1 20 Q1 21 52.5% 54.9% 45.1% 45.8% 45
Slide 18: Latam OCF – Q1 2021
Latam OCF– Q1 2021 YoY organic growth OCF1($m) Q1 20 – Q1 21 +10.4% 471 427 9.7% Q1 20 Organic growth FX and Other Q1 21 28.4% 30.8% OCF1 YoY organic growth OCF1 margin 18 1) Non-IFRS measure. Please refer to the non-IFRS disclosures in this presentation for a description of non-IFRS measures. A rec
Slide 19: Net financial obligations and leverage
Net financial obligations and leverage Underlying financial obligations1($m) Q4 20 – Q1 21 +18 1,285 6,622 3 5,337 35 5,319 19 Underlying Underlying EFCF Spectrum FX & others Underlying net Leases Underlying net debt1 after leases1 debt1 Q1 2021 net financial YE 2020 obligations1 Q1 2021 Proportiona
Slide 20: Leverage improving
Leverage improving Proportionate leverage1 Q1 20 – Q1 21 3.29 3.25 3.24 3.20 3.13 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 20 1) Non-IFRS measure. Please refer to the non-IFRS disclosures in this presentation for a description of non-IFRS measures. A reconciliation of non-IFRS measures to the nearest equivalen
Slide 21: 3. Closing remarks
3. Closing remarks
Slide 22: Wrap up
Wrap up Strong start to the year Growth accelerating Leverage declining Continued flexible approach to managing the business 22
Slide 23: Q&A
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Slide 24: Group Financial highlights – Q1 2021
Group Financial highlights – Q1 2021 IFRS Group Consolidated Financial Statements1 Selected P&L data Key Observations $ million Q1 2021 Q1 2020 % Var •A $8 million one-off in 2020 Revenue 1,088 1,088 0.1% Cost of sales (303) (305) (0.5)% •B Brand amortization in Panama Operating expenses (391) A (40
Slide 25: Debt Maturity Schedule
Debt Maturity Schedule Q1 21 Average maturity 5.9 Years Average cost of debt 5.5% 830 808 721 680 676 627 606 529 466 29s $675m Cable Telecel 6.250% Onda $550m $600m 26s 5.875% 28s 4.500% 31s $450m $450m $500m 6.625% 5.125% 4.500% 128 SEK 2bn 91 4.913%* 2021 2022 2023 2024 2025 2026 2027 2028 2029 2
Slide 26: Capital structure
Capital structure Financial obligation profile March 31st, 2021 Latam HQ Africa Geography 63% 31% 5% Bonds Banks Leases Source 56% 26% 17% Interest Fixed or Swapped Variable rates* 81% 19% FX Local Other exposure* 47% 53% Less than 5Y 5Y or more Maturity* 36% 64% * Excluding Leases. El Salvador's of
Slide 27: Financial obligations by country
Financial obligations* by country Central America Africa Corporate Group (underlying) South America Gross: $2,498m Gross: $399m Gross: $2,337m Gross: $7,445m Gross: $2,212m Net: $2,161m Net: $387m Net: $2,088m Net: $6,622m Net: $1,986m Of which Leases: $1,285m Guatemala: Gross: $639m Net: $478m Hond
Slide 28: Millicom - The Digital Lifestyle
tico MILLICOM THE DIGITAL LIFESTYLE
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