logo
Plus   Neg
Share
Email
Comment

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
Tech giants Amazon.com, YouTube and Twitter as well as Verizon Communications are exploring bids for digital streaming rights to the National Football League or NFL's Thursday Night Football package, according to media reports. The NFL is likely to strike a multi-year deal for the digital streaming rights. However, the television audience for the NFL has declined for two consecutive years. Wynn Resorts Ltd. said Friday that former Chief Executive Officer Steve Wynn is not entitled to any severance payment of other compensation from the company. Wynn resigned last week as CEO and Chairman of the board following allegations of sexual misconduct. In a regulatory filing, Wynn Resorts said it entered into a separation agreement between Steve Wynn, and Wynn Resorts Holdings LLC. Beverages giant Coca-Cola Company on Friday reported a net loss for the fourth quarter, reflecting a one-time charge related to the U.S. tax reform and a double-digit decline in revenues. However, adjusted earnings per share matched analysts' expectations, while revenues beat their estimates. The company's shares are rising more than 2 percent in pre-market activity.
comments powered by Disqus
Follow RTT