Millicom (Tigo) Q3 2025 Earnings Release

Rhea-AI Summary

Millicom (TIGO) reported Q3 2025 results on November 6, 2025: revenue $1.42B, operating profit $390M, and a record Adjusted EBITDA $695M. Net profit attributable to owners was $195M, which includes approximately $138M from closure of infrastructure transactions. Equity free cash flow for the quarter was $243M. Leverage stood at 2.09x, aided by one-time cash proceeds of $537M from infrastructure transactions. Management reiterated 2025 targets of ~$750M EFCF and year-end leverage below 2.5x, excluding proceeds from inorganic asset sales.

Positive

• Adjusted EBITDA +18.7% YoY to $695M
• Operating profit +30.1% YoY to $390M
• Topline organic growth +3.5% year-over-year (service revenue)
• Equity free cash flow $243M in Q3 and $638M YTD 9M2025 (+18.1% YTD)

Negative

• Revenue down 0.7% YoY to $1.42B (9M revenue -4.8%)
• Q3 EFCF declined 10.4% YoY (243 vs 271)
• Net profit includes ~$138M one-time gain from infrastructure transactions
• Leverage 2.09x materially aided by one-time proceeds of $537M
• 2025 targets exposed to weaker FX and legal settlement impacts

Insights

Equity Analyst

Strong quarter: record Adjusted EBITDA and improved cash metrics, partly driven by infrastructure sale proceeds.

The business shows improved profitability with Adjusted EBITDA of $695 million and an Adjusted EBITDA margin of 48.9%, alongside operating profit of $390 million. Revenue for Q3 was $1.42 billion, roughly flat year‑over‑year with a reported 3.5% topline increase on a service‑revenue organic basis, supported by mobile subscriber additions and ARPU expansion in key markets. Net profit attributable to owners rose to $195 million, which includes approximately $138 million of one‑time net profit from infrastructure transactions.

Key dependencies and risks include the one‑time nature of infrastructure proceeds and foreign‑exchange and legal‑settlement impacts noted for 2025 targets. Management reiterated a full‑year EFCF target of around $750 million and year‑end leverage below 2.5%, while year‑to‑date leverage already benefited from $537 million of one‑off cash proceeds. Watch near‑term drivers: delivery against the 2025 EFCF target, any additional inorganic proceeds (e.g., sale of Lati International), and quarterly organic service‑revenue trends; monitor results over the next two quarters for confirmation that improved margins reflect recurring performance rather than one‑off items.

Millicom (Tigo) Q3 2025 Earnings Release

Luxembourg, November 6, 2025 – Millicom is pleased to announce its third quarter 2025 results. Please find below links to the Q3 2025 Earnings Release and IAS 34 Interim Condensed Consolidated Financial Statements.

Q3 2025 Highlights*

• Revenue $1.42 billion

• Operating profit $390 million, and record Adjusted EBITDA $695 million

• Net profit attributable to company owners $195 million, including approximately $138 million net profit from the closure of infrastructure transactions

• Equity free cash flow $243 million

• Additional interim dividend declared in August of $2.5 per share, amounting approximately $420 million
• Leverage of 2.09x, benefiting from one-time cash proceeds of $537 million from infrastructure transactions

 

Financial highlights ($ millions)	Q3 2025	Q3 2024	Change %	Organic % Change	9M 2025	9M 2024	Change %	Organic % Change
Revenue	1,420	1,431	(0.7)%	3.0%	4,166	4,376	(4.8)%	1.1%
Operating Profit	390	300	30.1%		1,170	968	20.8%
Net Profit attributable to company owners	195	51	NM		1,064	221	NM
Non-IFRS measures (*)
Service Revenue	1,337	1,344	(0.5)%	3.5%	3,904	4,082	(4.4)%	2.0%
Adjusted EBITDA	695	585	18.7%	23.8%	1,971	1,851	6.5%	13.1%
Capex	161	166	(3.3)%		447	414	8.2%
Operating Cash Flow (OCF)	534	419	27.5%		1,524	1,437	6.0%
Equity free cash flow (EFCF)	243	271	(10.4)%		638	540	18.1%

*See page 11 for a description of non-IFRS measures and for reconciliations to the nearest equivalent IFRS measures.

Millicom Chief Executive Officer Marcelo Benitez commented:

"The third quarter was another strong period for Millicom, both operationally and strategically.

We continued to execute our strategic plan with discipline, advancing key inorganic growth initiatives and resolving legacy processes that position us for long-term success. Our consistent commercial execution and sharp focus on capital allocation are delivering tangible results. Topline growth accelerated to 3.5 percent year-over-year, driven by mobile subscriber additions and ARPU expansion in key geographies. This momentum reflects the strength of our commercial strategy and the resilience of our markets. This quarter, we achieved a record Adjusted EBITDA of $695 million dollars and an Adjusted EBITDA margin of 48.9 percent, marking a significant step forward in profitability. Equity Free Cash Flow reached $243 million for the quarter, up $98 million year-to-date compared to the same period last year. As we look ahead we continue to execute our commercial strategy and remain committed to our culture of disciplined capital deployment and operational efficiency, which continues to drive sustainable value for all our stakeholders."  

2025 Financial Targets

Millicom continues to target 2025 EFCF of around $750 million and year-end leverage below 2.5x. These targets reflect full year run-rate savings expected from efficiency measures implemented during 2024 and lower expected restructuring costs in 2025, partially offset by the impact of weaker projected foreign exchange rates and legal settlements. The targets exclude the impact of inorganic initiatives, such as proceeds related to the sale of Lati International and other assets. 

• Q3 2025 Earnings Release

• IAS 34 Interim Condensed Consolidated Financial Statements

Millicom is planning to host a video conference for the global financial community on November 6, 2025, at 08:00 (New York) / 13:00 (London). Registration for the interactive event is required at the following link.

After registering, you will receive a confirmation email containing details about joining the video conference.

Participants who wish to ask a question during the live event must notify the Investor Relations team via email to investors@millicom.com after the start of the event.

Participants may also join the conference in listen-only mode by dialing any of the following numbers and entering the Webinar ID: 856 1232 5655

US: +1 929 205 6099                                                           Sweden: +46 850 539 728

UK: +44 330 088 5830                                                         Luxembourg: +352 342 080 9265

Additional international numbers are available at the following link. Accompanying slides and a replay of the event will be available on the Millicom investors website.

For further information, please contact:

Press: Sofía Corral, Communications Director press@millicom.com

Investors: Luca Pfeifer, VP of Investor Relations investors@millicom.com

About Millicom

Millicom (NASDAQ: TIGO) is a leading provider of fixed and mobile telecommunications services in Latin America. Through its TIGO® and Tigo Business® brands, the company provides a wide range of digital services and products, including TIGO Money for mobile financial services, TIGO Sports for local entertainment, TIGO ONEtv for pay TV, highspeed data, voice, and business-to-business solutions such as cloud and security. As of September 30, 2025, Millicom, including its Honduras Joint Venture, employed approximately 14,000 people and provided mobile and fiber-cable services through its digital highways to more than 46 million customers, with a fiber-cable footprint over 14 million homes passed. Founded in 1990, Millicom International Cellular S.A. is headquartered in Luxembourg with principal executive offices in Doral, Florida.

Attachments

• Millicom - IAS34 - Q3 2025
• Millicom - Earnings Release - Q3 2025

FAQ

What were Millicom (TIGO) Q3 2025 revenue and adjusted EBITDA?

Q3 2025 revenue was $1.42B and Adjusted EBITDA was a record $695M.

How did Millicom (TIGO) Q3 2025 net profit compare to Q3 2024?

Net profit attributable to owners was $195M in Q3 2025 versus $51M in Q3 2024, including ~$138M from infrastructure transactions.

What was Millicom (TIGO) equity free cash flow (EFCF) in Q3 2025 and 9M 2025?

EFCF was $243M in Q3 2025 and $638M for the first nine months of 2025.

Why is Millicom (TIGO) leverage 2.09x in Q3 2025?

Leverage of 2.09x benefited from one-time cash proceeds of $537M from infrastructure transactions.

What 2025 financial targets did Millicom (TIGO) reiterate on November 6, 2025?

Management reiterated a target of around $750M EFCF for 2025 and year-end leverage below 2.5x, excluding inorganic proceeds.

Are there risks to Millicom (TIGO) 2025 targets mentioned in the Q3 2025 release?

Yes; the company cited exposure to weaker foreign exchange rates and legal settlements that could partially offset savings.