Millicom International Cellular S.A. (NASDAQ:TIGO) Q2 2024 Earnings Conference Call August 2, 2024 8:00 AM ET

Company Participants

Marcelo Benitez - Chief Executive Officer
Maxime Lombardini - Chief Operating Officer
Bart Vanhaeren - Chief Financial Officer

Conference Call Participants

Andreas Jossen - Carnegie
Stefan Gauffin - DNB
Phani Kanumuri - HSBC

Operator

Hello everyone and welcome to our Second Quarter 2024 Results Call. This event is being recorded. Our speakers today will be our CEO Marcelo Benitez; our COO Maxime Lombardini, and our CFO Bart Vanhaeren. The slides for today's presentation are available on our website, along with the earnings release and our financial statements.

Now please turn to slide two for the Safe Harbor disclosure. We will be making forward-looking statements which involve risks and uncertainties, and these could have a material impact on our results.

On slide three, we defined the non-IFRS metrics that we will be referencing today throughout the presentation, and you can find reconciliation tables in the back of our earnings release, as well as on our website.

With those disclaimers out of the way, let me turn the call over to our CEO, Marcelo Benitez. Marcelo?

Marcelo Benitez

Thanks, Michelle. And hello, everyone. Thanks for joining us to discuss the company's performance during the second quarter. This has been an outstanding quarter for us at Millicom. And before we begin, I want to express my heartfelt thanks to all the members of the TIGO team. We have strengthened TIGO’s market leadership and successfully implemented a more efficient platform to ensure the company's profitable growth for the years to come. Once again, a huge thank you.

Now please turn to slide five for the highlights of the second quarter. The key highlight this quarter is our equity free cash flow, which reached $268 million and consistent with our current capital allocation priorities, we use this cash flow to reduce our net debt. So our leverage ended the quarter at 2.7 times, thanks also to the organic EBITDA growth of almost 20%, which is coming from continued growth in mobile and B2B business and from the very significant efficiencies that we have unlocked over the past year.

During this quarter, we've also made significant progress on several strategic projects that have the potential to greatly improve EFCF and return on capital across the group for the years to come. Bart will give you an update on some of these projects toward the end of today's presentation.