HELIOS TOWERS REPORTS 17TH CONSECUTIVE QUARTER OF EBITDA GROWTH
Helios Towers, the independent telecoms tower infrastructure company, announces results for the 3 months to 31 March 2019.
- Revenue for the first quarter increased by 5% year-on-year to US$93.7m (Q1 2018: US$88.9m)
- Adjusted EBITDA up 16% year-on-year to US$48.8m (Q1 2018: US$42.0m) with Q1 2019 Adjusted EBITDA margin at 52% (Q1 2018: 47%), up 5ppts
- Cash and cash equivalents of US$109.5m at the end of the period (31 March 2018: US$89.8m)
- Increase in tenants of 4% year-on-year to 13,600 tenants (Q1 2018: 13,063 tenancies)
- Increase in total sites of 4% year-on-year to 6,716 total sites (Q1 2018: 6,485 total sites)
- Tenancy ratio increased by 0.02x to 2.03x (Q1 2018: 2.01x)
- Completion of previously announced partnership agreement with Vulatel, to create Helios Towers South Africa (‘HTSA’), and acquisition with SA Towers
- Helios Towers remains focussed on continued organic growth through additional colocation volumes, amendment revenues and built-to-suit tenancies as well as margin expansion driven by additional operational efficiencies
- The acquisition of 13 edge data centres in South Africa combined with tower pipeline of over 500 tower locations provides a platform for both geographic and product diversification in a highly attractive infrastructure market with positive demographic trends and a high demand for advanced mobile and other telecommunications services
Ongoing Strategic Review
- Helios Towers and its shareholders are exploring strategic options for the business and confirm that this may include the possibility of listing its equity on public markets. Any listing of equity on any public market would be subject to prevailing market conditions. At this stage, the Board and shareholders have made no firm decision on a listing and all options remain open to the company.
KASH PANDYA, CHIEF EXECUTIVE OFFICER OF HELIOS TOWERS, SAID:
“We are delighted to have delivered another strong quarter for Helios Towers. Our seventeenth consecutive quarter of adjusted EBITDA growth came as a result of continual revenue growth and operational efficiencies. The now completed partnership with Vulatel and acquisition with SA towers marks the start of an exciting expansion into the South African mobile market, and we look forward to working with our partners to help build out wireless and fixed line open access infrastructure across the country.
“Moving into the second quarter, our focus remains on delivering for our customers, employees and investors. The Group is well positioned for continued growth in some of the most attractive and highest growth telecom markets in Sub-Saharan Africa.”
|Edward Bridges / Stephanie Ellis||FTI Consulting LLP||+44 (0)20 3727 1000|
About Helios Towers ("HT")
- Helios Towers is a leading independent telecommunications tower infrastructure company in Africa, having established one of the continent's most extensive tower portfolio with over 6,700 towers across five countries. It builds, owns and operates telecom passive infrastructure, providing services to mobile network operators.
- It owns and operates more sites than any other operator in each of Tanzania, Democratic Republic of Congo (“DRC”), and Congo Brazzaville. It is also a leading operator in Ghana with a strong urban presence and established a presence in South Africa in 2019.
- It pioneered the sale-leaseback model in Africa, buying towers that were held by single operators and providing services utilising the tower infrastructure to the seller and other operators. This allows wireless operators to outsource non-core tower-related activities, enabling them to focus their capital and managerial resources on providing higher quality services more cost-effectively.
- Investors in the company include: Helios Investment Partners, Quantum Strategic Partners, Albright Capital Management LLC, RIT Capital Partners Plc, the International Finance Corporation and Millicom International Cellular.