Millicom International Q3 IFRS Profit Declines; Affirms Guidance - Quick Facts

(RTTNews) - Millicom International Cellular S.A. (MICC, MIICF.PK) reported that its third-quarter IFRS profit before taxes from continuing operations decreased year-over-year to $52 million from $81 million. Net profit attributable to owners of the company from continuing operations was $21 million compared to $31 million. EPS from continuing operations attributable to owners of the company was $0.20 compared to $0.31.

On a management reporting basis, as if the Honduran and Guatemalan businesses continue to be fully consolidated, profit before tax increased to $116 million from $81 million, a year ago. Profit for the period from continuing operations was $63 million compared to $43 million, prior year. Adjusted EBITDA grew by 4.0% organically to $562 million and the adjusted EBITDA margin improved to 36.1% from 34.2% in the same period last year. The company said the year-on-year growth in adjusted EBITDA reflects the underlying growth on a like-for-like basis, excluding the impact of one-off items reported in the third quarter of 2015 as well as in third-quarter 2016.

IFRS revenue was $1.10 billion compared to $1.60 billion, a year ago. On a Management reporting basis, as if the Honduran and Guatemalan businesses continue to be fully consolidated, total group revenue was $1.56 billion, 2.8% lower than the same quarter last year as reported, but 2.0% lower on an organic basis (in local currency and at constant perimeter). Service revenue declined by 0.2% in the quarter on an organic basis compared to the same period in 2015. Handset revenue was significantly lower than the same period last year, mainly reflecting the market in Colombia.

For full year 2016, the company continues to expect: service revenue to grow low to mid-single digit; and adjusted EBITDA to grow mid to high-single digit.