Stefan Gauffin • DNB ASA

Question 1

Stefan Gauffin's questions to Millicom International Cellular SA (TIGO) leadership • Q4 2024

Feb 27, 2025

Question

Stefan Gauffin asked for clarification on the 2025 outlook for cash CapEx versus booked CapEx, the details behind the provision for adverse legal rulings, and the spot rate Millicom anticipates using for its Bolivian operations.

Answer

CFO Bart Vanhaeren clarified that booked CapEx for 2025 will stabilize around the 2024 level of $677 million, and cash CapEx is expected to converge with this number over time. He noted the legal provision relates to a case in Costa Rica and general risks in Latin America. For Bolivia, Vanhaeren expects to adopt an accounting spot rate reflecting a devaluation in the 60% range, which will significantly impact reported revenue and EBITDA in U.S. dollars.

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Question 2

Stefan Gauffin's questions to Millicom International Cellular SA (TIGO) leadership • Q3 2024

Oct 25, 2024

Question

Stefan Gauffin of DNB asked for more details on the increased competition in Guatemala mentioned in the call. He also requested a breakdown of the high one-off costs in the quarter, specifically how much was related to restructuring, and asked for an updated run-rate for the company's overall cost-saving program.

Answer

Executive Marcelo Benitez explained that competition in Guatemala has intensified as a competitor aggressively expanded into departments where Millicom was previously the sole operator. He outlined a defensive playbook focusing on network availability, distribution, and affordability. Executive Bart Vanhaeren clarified the one-off costs, noting over $20 million related to defense against the Atlas tender offer and the remainder being primarily severance. He indicated Q4 restructuring costs would be lower. Marcelo Benitez confirmed the savings run-rate triangulates well with previous targets.