logo
Share SHARE
FONT-SIZE Plus   Neg

Millicom International Q1 Profit Plunges - Quick Facts

Millicom International Cellular (MIICF.PK) reported first quarter net profit of $95 million, or $0.93 per share, lower than $259 million, or $2.45 per share, last year. The prior-year results have been restated for the impact of accounting for the Honduras put option under IAS 32.

Normalized Net Profit fell to $159 million or $1.56 per share from $183 million or $1.73 per share in the comparable period a year ago.

Group Revenue was up to $1.17 billion from $1.08 billion in the prior-year quarter. Organic local currency revenues weer up 8.4% year-over-year.

Mikael Grahne, President and CEO of Millicom commented,

"In the first quarter of 2012, we accelerated our investments in our new organization structure, in our networks and in our product offering, including through pricing initiatives...

This quarter group revenue grew 8.4% over Q1 2011 when we recorded our highest quarterly growth rate of the past three years. Our strategy to focus on innovation in products and services is delivering strong results again this quarter. More than 80% of our growth is derived from products and services that did not exist three years ago..."

Looking forward, in line with its achievements over the past two years, in 2012, the company again aims to strike the right balance between top line growth, profitability, cash flow generation and Return on Invested Capital. Millicom expects the EBITDA margin to be around the mid-40s and operating free cash flow margin to be around 20% of revenues. The company anticipates capex in 2012 to increase versus 2011 while remaining below 20% of revenues, as it invests further in data capacity and in IT and billing platforms.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Life expectancy at birth in the U.S. is already lower than most other developed nations and is now projected to fall further behind by 2030, according to a new study. It also suggests that by 2030, national female life expectancy in South Korea could break the 90 year barrier. Department store chain J.C. Penney Co. Inc. on Friday reported a turnaround to profit in the fourth quarter as a slight decline in sales was more than offset by lower expenses. Adjusted earnings per share for the quarter beat analysts' expectations, while revenues slightly missed their estimates. Earlier today, J.C. Penny announced a plan to optimize its national retail operations. Google is planning to significantly expand a carpool service on its navigational app Waze, according to a report in the Wall Street Journal. The move indicates the company is edging closer to a potential clash with ride-hailing service Uber Technologies Inc.
comments powered by Disqus
Follow RTT