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Key highlights (Q2 2022)

Financial highlights

  • H1 2022 revenue increased by 25% year-on-year to US$265.4m (H1 2021: US$212.4m) driven by acquisitions in Senegal, Madagascar and Malawi and strong organic tenancy growth across the Group. Excluding acquisitions, revenue increased 12% year-on-year.
    • Q2 2022 revenue increased by 8% quarter-on-quarter to US$137.9m (Q1 2022: US$127.5m).
  • H1 2022 Adjusted EBITDA increased by 19% year-on-year to US$136.1m (H1 2021: US$114.2m), driven by revenue growth, with H1 2022 Adjusted EBITDA margin decreasing 3ppt year-on-year to 51% (H1 2021: 54%), reflecting the previously communicated investment in corporate SG&A to support the Group’s ongoing expansion into ten markets and higher fuel costs in DRC in Q2 2022.
    • Q2 2022 Adjusted EBITDA increased by 4% quarter-on-quarter to US$69.4m (Q1 2022: US$66.7m), with Q2 2022 Adjusted EBITDA margin at 50% (Q1 2022: 52%).
  • Operating profit increased 48% year-on-year to US$39.8m (H1 2021: US$26.9m) driven by strong revenue growth, partially offset by a modest increase in administrative expenses as part of the Group’s ongoing expansion.
    • Loss before tax increased to US$122.2m (H1 2021 US$43.6m), driven by a US$83.8m year-on-year increase in non-cash expenses related to the fair value movements of the embedded derivatives in the Group's bond and foreign exchange movements on Euro and US dollar denominated intercompany borrowings.
  • Portfolio free cash flow increased by 36% year-on-year to US$100.4m (H1 2021: US$73.8m), driven by Adjusted EBITDA growth and timing of non-discretionary capital expenditure.
  • Cash generated from operations increased 99% to US$91.0m driven by higher Adjusted EBITDA and movements in working capital.
  • Net leverage increased by +0.7x year-on-year to 3.9x (H1 2021: 3.2x), primarily due to acquisitions in Madagascar and Malawi, and quarter-on-quarter by 0.2x (Q1 2022: 3.7x), remaining comfortably within the Group's medium term target range of 3.5x-4.5x.
    • Strong balance sheet with 96% of drawn debt at a fixed rate, no near term maturities and fully-funded for announced transactions.
  • Business underpinned by long-term contracted revenues of US$4.2bn (H1 2021: US$3.5bn), of which 99% is from large multinational MNOs, with an average remaining life of 7.2 years (H1 2021: 7.4 years).
    • Embedded CPI and power price escalators embedded into customer contracts provides an effective hedge against inflation and fuel price movements over a full-year cyclePro forma for announced transactions in Oman and Gabon, the Group has contracted revenues of US$5.3 billion.

Read the H1 2022 results announcement here

Operational highlights

  • Sites increased by 2,091 year-on-year to 10,694 sites (H1 2021: 8,603 sites), reflecting 1,213 acquired sites in Malawi and Madagascar and 878 organic site additions.
    • Sites increased organically by 183 quarter-on-quarter (Q1 2022: 10,511).
  • Tenancies increased by 3,459 year-on-year to 20,549 tenants (H1 2021: 17,090 tenants), reflecting 1,692 acquired tenancies in Malawi and Madagascar and 1,767 organic tenancy additions.
    • Tenancies increased organically by 316 quarter-on-quarter (Q1 2022: 20,233).
  • Tenancy ratio decreased 0.07x year-on-year to 1.92x (H1 2021: 1.99x), reflecting the dilutive impact of acquired assets in Madagascar (1.20x) and Malawi (1.58x).

Read the H1 2022 results announcement here