Q4 2021 Millicom International Cellular SA Earnings Call

Yeah.

[music].

Speaker 1: Hello, everyone, and welcome to Millicom's fourth quarter 2021 earnings call. I'm Michel Morin, head of strategy and investor relations at Millicom, and this event is being recorded. Our speakers today will be our CEO , Mauricio Ramos, and our CFO , Tim Pennington. And after their prepared remarks, we will have a Q&A session.

No.

Sure.

Hello, everyone and welcome to Millicom's fourth quarter, 2021 earnings call and Michel Morin head of strategy and Investor Relations at Millicom and this event is being recorded our speakers today will be our CEO , we sold Atmos and our CFO , Tim Pennington and after their prepared remarks, we will.

The Q&A session.

Speaker 2: By now you should have received a copy of our earnings release which is available on our website and along with the slides that we will be referencing during today's presentation.

By now you should have received a copy of our earnings release, which is available on our website along with the slides that we will be referencing during today's presentation.

Speaker 2: Now, please turn to slide two for our safe harbor disclosure. We will be making forward-looking statements, which involve risks and uncertainties and could have a material impact on our results.

Now please turn to slide two for our Safe Harbor disclosure, we will be making forward looking statements, which involve risks and uncertainties and could have a material impact on our results. We will also be referring to many non IR for us metrics throughout the presentation and we define these metrics on slide three and you can find.

Speaker 2: We will also be referring to many non-IFRS metrics throughout the presentation and we define these metrics on slide three and you can find reconciliation tables in the back of our earnings release and on our website.

Reconciliation tables in the back of our earnings release and on our website. So with those legal disclaimers out of the way, let me turn the call over to Mauricio Ramos, our CEO Mauricio.

Speaker 2: So with those legal disclaimers out of the way, let me turn the call over to Mauricio Ramos, our CEO .

Speaker 3: Thanks, Michelle. Good morning and good afternoon, everyone. Thank you for joining us today. We had another excellent quarter in Q4 to what was a strong finish to a solid year in 2021. So let's jump right in with the highlights for the year on slide.

Thanks, Michele good morning, and good afternoon, everyone. Thank you for joining US today, we had another excellent quarter in Q4.

It was a strong finish to a solid year in 2021.

Let's jump right into the highlights for the year on slide five.

Speaker 3: First, 2021 was a year of continued strong customer growth. Across all our business lines and in all our countries, we saw strong demand and robust customer growth throughout the year. And this continued on in Q4. Second, we were able to convert that healthy customer growth into strong revenue and EPA growth of 7%, which gives us good momentum as we enter 2022.

First 2021 was a year of continued strong customer growth.

Across all our business lines and in all our countries, we saw strong demand and robust customer growth throughout the year and this continued on in Q4 second we were able to convert that healthy customer growth into strong revenue and EBITDA growth of 7%, which gives us good momentum as we enter 2022.

Speaker 3: Third, in a year when we decided to invest to capture that growth, we delivered strong operating cash flow well ahead of our guidance for the year. And fourth, and finally, we continue to raise the bar.

In a year, when we decided to invest to capture that growth. We delivered strong operating cash flow well ahead of our guidance for the year.

And fourth and finally, we continue to raise the bar on ESG, which we will discuss later today.

Speaker 3: which we will discuss later today and at more length at our investor day this coming Monday.

More length at our Investor day, this coming Monday.

Speaker 3: Let's look at the details beginning with a home customer growth on slide six.

Let's look at the details beginning with a home customer growth on slide six.

Speaker 3: We now serve more than 4.1 million cable customers.

We now serve more than $4 1 million cable customers.

Speaker 3: We added a record 415,000 new customers relationship in 2021 and roughly 700,000 in the last two years.

We added a record 450000, new customers relationship in 2021.

Roughly 700000 in the last two years.

Speaker 3: This customer growth in our home business over the past three years is even more significant when you consider also that we're seeing better pricing, including charging for installation fees in many countries.

Customer growth in our home business over the past few years is even more significant when you consider also that we're seeing better pricing, including charging cancel issued P. As in many countries.

Speaker 3: Our home ARPU was up 2.5% organically in 2021. That's our strongest ARPU growth in the last four years.

Our home ARPA was up two 5% organically in 2021, that's our strongest hardware growth in the last four years and in fact, we have raised prices throughout the year and the vast majority of our markets now turning to mobile in the next slide we had our strongest performance in years, adding more than 3 million subscribers, including more than 1 million.

Speaker 3: And in fact, we have raised prices throughout the year in the vast majority of our markets. Now, turning to mobile on the next slide, we had our strongest performance in years, adding more than 3 million subscribers, including more than 1 million in postpaid, which is right on the back of our strategy to push postpaid in our market.

In postpaid, which is right on the back of our strategy to push full speed in our markets. This is mostly due to our record performance in Colombia.

Speaker 3: This is mostly due to our record performance in Colombia. But practically, every country had a solid year in postpaid. So our customer base is up 22%.

Practically every country had a solid year in postpaid.

Customer base is up 22%.

Speaker 3: And finally, we saw steady growth in our B2B customer base throughout 2021, driven primarily by our SME client segment, which grew every quarter and ended a year up 16% year on year.

And finally, we saw steady growth in our <unk> customer base throughout 2021, driven primarily by our SME client segment, which grew every quarter and ended the year up 16% year on year.

Speaker 3: On slide nine, you can see how we're translating that customer position into strong service revenue on EBDA growth, 6.7%. And you can see on the right that every country and every business line reported positive growth a year in 2021, with a home business leading the way with 10.9% growth.

On slide nine you can see how were translated at customer acquisition into strong service revenue on EBITDA growth six 7% and you can see on the right, but every country and every business line reported positive growth year in 2021, with a home business, leading the way with 10, 9%.

Speaker 3: Now let's take a look at our performance in our largest countries beginning on slide 10 with Guatemala, which has yet another fantastic year.

Now, let's take a look at our performance in our largest countries beginning on slide 10, Gigawatts model, which had yet another fantastic year.

Speaker 3: Guatemala provides a good example of a country where we have consistently invested in our network, in our brand, in our distribution, in our customers, and in our team. And the results speak for themselves. Over the past two years, we have made strategic spectrum purchases that have allowed us to drive our NPS scores higher and that continue to add customers. In a country where 80% of our revenues come from mobile, we grew service revenue by 7% and EBDA by 10%.

And while that provides a good example of a country, where we have consistently invested in our network and our brand distribution in our customers and in our team and the results speak for themselves over the past two years, we have made strategic spectrum purchases that have allowed us to divert NPS scores higher and that continue to add customers.

A country, where 80% of our revenues come from mobile we grew service revenue by 7% and EBITDA by 10%.

Speaker 3: And as you can see on the next slide, we closed the year ahead of all the targets we set when we announced the acquisition of our minority partners 45% stake back in November . Take good note of the numbers on this page, both on the left and on the right, because it is not every day that you see a telecom business with an EBDA margin of more than 50% and an equity free cash flow margin of 30%, a business that we now own 100% of and that continue to perform very strongly. Now let's start.

And as you can see on the next slide we closed a year ahead of all the targets, we set when we announced the acquisition of our minority partner's 45% stake.

In November .

Good note of the numbers on this page both on the left and on the right because it is not everyday you see a telecom business with an EBITDA margin of more than 6% and an equity free cash flow margin of 30%.

<unk> that we now own 100% of and that continued to perform very strongly.

Now, let's start to look at Colombia on the next slide.

Speaker 3: You can see a customer intake was very strong and very consistent throughout the year. We had a monster year in postpaid with 800,000 net apps. It used to be that a good year for us in Columbia was something like 100,000 postpaid net apps.

As you can see our customer intake was very strong and very consistent throughout the year, we had a monster year in postpaid with 800000 net ads.

Used to be that a good year for us in Colombia with something.

<unk> thousand postpaid net adds.

Speaker 3: we got $800,000 in 2021. And you can see on the bottom left that this customer growth is driving our top line, which is clearly inflected, driven by mobile.

800000 in 2021.

And you can see on the bottleneck of this customer growth is driving our top line, which is clearly in <unk> driven by mobile.

Speaker 3: And that is starting to lift our EBITDA as the incremental revenue is now beginning to offset the higher customer acquisition costs that we have been incurring since Q2 of this year. And that sets us up for a solid 2022 in Colombia.

And that is starting to lift our EBITDA is the incremental revenue is now beginning to offset the higher customer acquisition costs that we have been in currency Q2 of this year and that sets us up for a solid 2022 in Colombia.

Speaker 3: Now let's look at Panama. You all know the story here. We bought two leading businesses, and our team did the hard work of combining and integrating them throughout the pandemic. And we have emerged as a clear leader in the Panamanian telecom market, with every part of our business growing, along with an economy that is now recovering strongly. So as you can see, our three largest countries performed very well in 2021, and we have entered 2022 with excellent momentum. Now let's shift gears.

Now, let's look at Panama.

All noticed all year, we bought two leading businesses and our team did the hard work of combining integrating them throughout the pandemic and.

And we have emerged as a clear leader in the Panamanian telecom market with every part of our business growing along with an economy that is now recovering strongly so as you can see our three largest countries performed very well in 2021, who have entered 2020 with excellent momentum.

Now, let's shift gears, a little bit to look at our operating cash.

Speaker 3: We told you at the very beginning of 2021 that we saw an opportunity to invest more than usual this past year in order to capture some additional growth that we saw in the market. And we did just that.

Hold you at the very beginning to 2021, but we saw an opportunity to invest more than usual this past year in order to capture some additional growth that we saw in the market and we did just that we invest we added record numbers of home and postpaid customers and we sustained mid single digit service revenue growth consistent with our long term growth ambition that we have.

Speaker 3: We invested, we added record numbers of home and postage customers, and we sustained mid-single-digit service revenue growth, consistent with the long-term growth ambition that we had outlined before the pandemic. And we also told you that we would deliver at least $1.4 billion, and we have come in well ahead of that, even as we invested heavily to support our customer acquisition and as near completion in some important mobile network projects that have been going for a while.

Line before the amendment.

And we also told you that we were delivered at least $1 4 billion.

And we have come in well ahead of that even as we invested heavily to support our customer acquisition and is near completion and some important mobile network projects that had been going for a while.

Speaker 3: These investments now position us to sustain our strong momentum into 2022.

This investment now position us to sustain our strong momentum into 2022.

Speaker 3: Finally, 2021 was a watershed year for ESG agenda. We continue to raise the bar in this area.

Finally, 2021 was a watershed year for ESG agenda, and we continue to raise the bar in this area.

We would take.

Speaker 3: our role as agents of positive change in the region very, very seriously.

Our role as agents of positive change in the region very very seriously.

And we want to raise the bar even further.

Speaker 3: So come next Monday during investor day, we're gonna talk a lot more about the commitments we're making for the longterm in ESG agenda for the region. Now, let me turn it over to Tim to go over the financials for the.

So come next Monday during Investor Day, we're going to talk a lot more about the commitments, we're making for the long term in our ESG agenda for the region now let me turn it over to Tim to go over the financials for the quarter.

Yeah.

Thank you Ms. Yes.

Speaker 3: Thank you, Mauricio. Let me take you through the Q4 numbers, the balance sheet situation, and how we intend to report in 2020.

Let me take you through the Q4 numbers the balance sheet situation and how we intend to report in 2022.

Speaker 3: So starting on slide 16, this is just our usual bridge from the reported IFRS numbers for the quarter to the underlying numbers for LATAM service revenue and EBITDA, which better reflects the way we manage the group.

So starting on slide 16 this.

This is just a usual breaks from the reported <unk> numbers for the quarter to the underlying numbers for Latam service revenue and EBITDA, which better reflects the way we manage the group.

Speaker 3: With the consolidation of Guatemala, which took place midway through Q4, this will be the last time we report like this.

With the consolidation of whats model, which took place midway through Q4. This will be the last time, we report like this and.

Speaker 3: In future we will focus our attention on our IFRS results but for this quarter we will continue to discuss our performance for the LATAM segment as we've done in the past several courses.

In future, we will focus our attention on our <unk> results.

This quarter, we will continue to discuss our performance for the last one segment as we've done in the past several quarters.

So let's go to slide 17.

Speaker 3: We reported positive year-on-year growth in every quarter of 2021. In Q4, we saw 5.7% organic growth. It was supported by a stable macro. Remittances from the US continue to be exceptionally strong and improve vaccination rates, which are now above 50% in several countries.

We posted positive year on year growth in every quarter of 2021 in Q4, we saw a five 7% organic growth.

It was supported by a stable macro remittances from the U S continued to be exceptionally strong.

To improve vaccination rates, which are now above 50% in several countries.

Speaker 3: Now, as you can see from the slide, performance was driven by the home business up 10% on last year, sustained by record net customer additions, improved penetration, which was up 200 basis points in HFC, and stable outputs.

Now as you can see from the slide performance was driven by the home business up 10% from last yet sustained by record net customer additions improved penetration, which was up 200 basis points in HST.

Stable office.

Speaker 3: There was another good performance from our consumer mobile business, maintaining a very healthy 4.2% year-on-year growth, driven by subscriber growth. We're now just under 45 million customers and a more stable R2 environment.

So there is another good performance from our consumer mobile business, maintaining a very healthy four 2% year on year growth driven by subscriber growth.

Now just under 45 million customers and our most stable auto environment.

Speaker 3: As a reminder, our consumer mobile business has already returned to pre-Covid levels, so the 4.2% growth we reported in Q4 of this year is against the most challenging comparison of last year. This should give you a better sense of the strong momentum we saw during Q4, thanks in large part to the additional investment we've made in our mobile networks over the last couple of years.

As a reminder, our consumer mobile business has already returned to pre COVID-19 levels. So the full 2% growth we reported in Q4 this year as against the most challenging comparison of last year. This should give you a better sense of the strong momentum we saw during Q4. Thanks in large part to the additional investments we've made in our.

Mobile networks.

The last couple of years.

Speaker 3: And finally, B2B delivered positive momentum, 3.3% up on a year ago, as the majority of our country saw performance improve.

And finally, <unk> delivered positive momentum three 3% up on a year ago as the majority of our country sell performance improvements.

Speaker 3: Now drilling down further on slide 18 to service revenue performance by country.

Now drilling down further on slide 18 at the service revenue performance by country.

Speaker 3: Once again, every country performed better in Q4 than they did a year ago.

Once again every country performed better in Q4 than they did a year ago.

Speaker 3: Standout performances were from El Salvador and Panama, whilst Columbia accelerated.

Standout performances from El Salvador, and Panama lots Columbia accelerated.

Speaker 3: El Salvador continues to sustain a very strong performance with all three business lines performing well.

I'll follow it all continues to sustain a very strong performance with all three business lines performing well.

Speaker 3: Whilst in Panama this was the third consecutive quarter we've grown mobile has been particularly stronger over the last couple of quarters and we saw double digit growth in B2B.

Whilst in Panama. This was the third consecutive quarter, we've grown mobile has been particularly strong over the last couple of quarters and we saw double digit growth in database.

Speaker 3: which is a very strong sign that our B2B business is beginning to return to pre-Covid level.

It's a very strong sign that our <unk> business is beginning to return to pre COVID-19 levels.

Speaker 3: In Colombia, our consumer mobile business accelerated to almost 13% year on year, driven by growth in postpaid mobile. We're now approaching two and a half million postpaid customers in Colombia. And we're starting to see this drive our RPU higher. It increased sequentially for a second consecutive quarter.

In Colombia, our consumer mobile business accelerated to almost 13% year on year.

By growth in postpaid mobile, we're now approaching $2 5 million postpaid customers in Colombia.

And we're starting to see this drive outgrew Hyatt and increased sequentially from our second consecutive quarter.

Speaker 3: So the strong mobile performance was the main factor driving the overall acceleration to 6.4% in this quarter.

So the strong mobile performance was the main factor driving the overall acceleration of six 4% in this quarter.

Speaker 3: Guatemala, by its standards, had a quieter quarter. Q4 last year was exceptionally strong, so it's always going to be a tough act to follow. So if you look at Guatemala for the full year, it's grown by 7.3% overall.

I've got some other bi standards had a quiet quarter Q4 last year was exceptionally strong certainly saw its going to be a tough act to follow so if you look at Guatemala for the full year, it's grown by seven 3% overall.

Okay, Let's turn now to EBITDA on slide 19.

Speaker 3: LATAM EVGA of $617 million was down 2.7%, largely on cost impact.

Latam EBITDA of $617 million was down two 7% mostly on cost impacts.

Speaker 3: Direct costs were up mostly because bad debt returned to a more normal run rate compared to a year ago. Recall that bad debt charges last year were distorted by the impact of COVID. So our bad debt was 20 million higher this year. With respect to OPEX, Mauricio showed the very strong customer growth.

Direct costs were up nicely because by that return to a more normal run rates compared to a year ago recall that bad debt charges last year were distorted by the impact Covid. So bad debt was $20 million higher this year.

With respect to Opex.

No shows and the very strong customer growth.

Speaker 3: But this comes at a cost, largely reflected by higher commissions, but also costs linked to subscribers like content costs and network costs. In total, this added around $20 million to OPEX compared to last year.

But this comes at a cost largely reflected by higher commissions, but also cost linked to subscribers like content costs and network costs in total they found it around $20 million to opex compared to last year.

We also incurred an additional $8 million of corporate costs to support our tico money investments.

Speaker 3: We also incurred an additional $8 million of corporate costs to support our TIGO money investment.

Speaker 3: Now, we see this level increasing to around $10 million per quarter in 2022, which will be largely reflected in corporate.

Now, we see this level increasing to around $10 million per quarter in 2022, which will be largely reflected in corporate costs.

Speaker 3: Now, looking more closely at EBITDA performance by country on slide 20.

Now looking more closely at EBITDA performance by country on slide 20.

Speaker 3: The next picture here, as a factor as I've just explained on the previous slide, had differing impacts at the country level.

A mixed picture and as the factors I've just explained on previous slides have differing impacts at the country level.

Speaker 3: Starting with Panama, I'm very pleased to report a very strong result, up 19%. Revenue driven, but also with strong cost control, especially in the second half of the year.

Starting with Panama I'm very pleased to report a very strong up 19% revenue driven but also with strong cost control, especially in the second half of the year.

Speaker 3: Elsewhere, Guatemala, Bolivia, Honduras, and Colombia were affected by the bad debt normalization I referred to earlier. Whilst additionally, Colombia was also affected by higher network maintenance.

Elsewhere, Guatemala, Bolivia, Honduras, and Columbia were affected by the bad debt normalization I referred to earlier, whilst Additionally, Columbia was also affected by higher network maintenance costs.

Speaker 3: Guatemala was also impacted by lower margins on handsets, which were more expensive due to the global chip shortage. This is the one market where we sell a lot of handsets.

Guatemala was also impacted by lower margins on handsets, which were more expensive due to the global chip shortage. This is the one market, where we sell a lot of handsets.

Speaker 3: In addition, the growth in customers did put pressure on our network.

The growth in customers did put pressure on our network costs.

Speaker 3: In Honduras, we had very strong subscriber growth in the fourth quarter. This contributed to higher sales and marketing costs. It was also affected by higher electricity costs, dampening the EVTA performance.

In <unk>, we had very strong subscriber growth in the fourth quarter. This contributed to higher sales and marketing costs. It was also affected by higher electricity costs dampening the EBITDA performance.

Speaker 3: and then finally Paraguay where we saw a decrease driven by higher costs on commercial activity particularly a new exclusive soccer contract and also in MFA.

And then finally, Paraguay, while we saw a decrease driven by higher cost on commercial activity, particularly a new exclusive soccer contracts and also in MFS.

Now moving to slide 21, you can see how our operating cash flow, that's our EBITDA less capex compared to the previous year.

Speaker 3: Now moving to slide 21, you can see how our operating cash flow, that's our RebitDA less CapEx compared to the previous year.

Speaker 3: You can see that we added $129 million to our EBITDA. But as Mauricio has already explained, we decided to invest that EBITDA growth into higher capital.

You can see that we added $129 million to our EBITDA, but as Maurice has already explained we decided to invest on EBITDA growth and some higher capex largely a catch up on the lower investments in 2020 and to take advantage of the opportunities that <unk> outlined.

Speaker 3: largely a catch-up on the lower investments in 2020 and to take advantage of the opportunities that Mauricio outlined and as a result OCS was 2.6 percent lower at just over 1.45 billion but this was still well ahead of the guidance we gave. Finally let me close.

And as a result, ACI was two 6% lower at just over $1 $45 billion, but this was still well ahead of the guidance we gave.

Finally, let me close on the leverage situations.

Speaker 3: The major transaction in the quarter was, of course, the acquisition of the remaining 45% in Guatemala for $2.2 billion.

The major transaction in the quarter was of course, the acquisition of the remaining 45% in Guatemala for $2 2 billion.

Speaker 3: This is the reason net debt is 1.7 billion higher than it was a year ago, closing the year with just over 7 billion dollars in net debt and 8.3 billion dollars if we include lease

This is the reason net debt is $1 7 billion higher than it was a year ago.

Closing the year with just over $7 billion in net debt and $8 3 billion. If we include leases.

Speaker 3: You will have also seen we've been very active in the debt markets, rebalancing our maturity profile with the Comcel bond announced on the 28th of January .

He will also seen we've been very active in the debt market rebalancing, our maturity profile with the comp sell bond announced on the 28 to January .

Speaker 3: So we've now largely concluded the refinancing of the bridge loan.

So we've now largely completed the refinancing of the bridge loan.

This gives us.

Speaker 3: This gives us a proportionate net debt revidier of 3.36 times at the year-end, which pro forma for the up-and-coming $750 million rights issue, would lead leverage a fraction over three times. That's lower than 3.1 times we indicated at the time of the deal.

<unk> net debt to EBITDA of $3 three six times at the yearend, which pro forma for the upcoming $750 million rights issue would lead to leverage a fraction over three times slower than the $3. One times, we indicated at the time of the deal.

I'm talking O'brien tissue at this point, we would normally give our outlook for the year, but because of the rights issue. We have some legal constraints and can't comment specifically on 2022.

Speaker 3: And talking of rights issue at this point we would normally give our outlook for the year but because of the rights issue we have some legal constraints and can't comment specifically on 2022.

Speaker 3: What I can share with you is that we are targeting organic OCF growth of around 10% on average over the next three years, and we will be giving you more detail about our medium term plans in the capital markets day on Monday. So with that, let me pass it.

What I can share with you is that we are targeting organic ocs growth.

Round, 10% on average over the next three years, and we will be giving you more detail about our medium term plans and the capital markets day on Monday.

So with that let me pass it back to you <unk> to wrap up.

Speaker 4: Thank you, Tim. Before we take your questions, let me recap the key highlights of the year. We had one of our best years ever in terms of customer intake. We added more than three million mobile subscribers, one million of them on postpaid, and four hundred and fifteen thousand net additions to our home cable fiber business.

Thank you Tim before we take your questions. Let me recap the key highlights of the year, we had one of our best years ever in terms of customer needs. It.

More than 3 million mobile subscribers 1 million of them on postpaid and 415000 net additions to our home cable fiber business service revenue and EBITDA grew strongly with both up 7%.

Speaker 4: Service revenue on EBDA grew strongly, with both up 70%. And in a year in which we chose to invest in the business, operating cost came in well ahead of our target.

A year in which we chose to invest in the business operating cash flow came in well ahead of our targets.

Speaker 4: And finally, we completed the acquisition of our minority partner in Guatemala in a transaction that was immediately created to our cash flow and to our net income, and that will make it easier for us and for you to model and value a business, as you will see beginning with our Q1 reporting in April . With that, we're ready for your questions.

And finally, we completed the acquisition of our minority partner in Guatemala transfer.

Transaction that it was immediately accretive to our cash flow onto our net income and that will make it easier for us and for you to model and value of business as you would see beginning with our Q1 reported in April with that we're ready for your questions.

Speaker 2: Thanks, Mauricio. So we'll now proceed with the Q&A session. If you'd like to ask a question, please email us at investorsatmillicom.com and we will add you to the queue. You may also email us your question and we'll answer it live. We'll now go to Diego Aragão from Golden Tax. Diego.

Thanks Tommy.

So we'll now proceed with the Q&A session, if you'd like to ask a question. Please E mail us at investors at Millicom Dot Com and we will add you to the queue.

You May also email ask your question and we will answer it.

Clive.

Now go to Diego Arago from Goldman Sachs vehicle.

So just give it one second.

TMO.

Speaker 5: Yes, hey, Michelle, thank you. Thank you, Mauricio. Thank you, Tim. Good to see you. So look, my first question is on the leverage. This should be at around three times, even though I just said for the future, you know, right offering as mentioned by Tim. So I just wonder if you can comment on your expectation for the leverage, for instance, what will be a sustainable level for your business and how long it will take for you to get.

Yes.

Hey, Michelle Thank you think commodities to a ticket Tim good to see you silica.

My first question is on the average.

This should be at around two times EBITDA.

For the future right offering as mentioned by team. So just wondering if you could comment on your expectation for the leverage point is what will be a sustainable level for your business and how long is too big for you to get there.

Speaker 4: Thank you, Diego. That's a great question, and I have the luxury of having two CFOs. The one thing I'm not going to do is take the leveraged question today, Diego. You know, let them figure out who's going to take it. With that, I just want to make sure everybody meets Sheldon to my left.

Thanks, Joe that's a great question and I have the luxury.

Having two CFO .

One thing I'm not going to do is take the leverage question.

Yes.

Right.

With that I, just want to make sure everybody Sheldon.

To my left.

Speaker 4: is that he's a new guy in town. You'll see a lot of him on Monday because he's hit the ground running and he can answer just about any question that you can throw at him. So he's only getting a teen's help today just because he's on an apprenticeship for a little while. You gotta figure out who's gonna take the leverage first.

Is this new guidance how are.

Youll see a lot of them on Monday, but we hit the ground running.

He could answer just about any question, but it's been throw out here.

Getting a pinch out today, just because we don't a pregnancy for a little while so you got to figure out.

Yes.

Speaker 3: Okay, I'll start because then Sheldon can sort of disabuse anything that I say in another month's time.

Okay.

I'll stop because then the Sheldon can sort of.

Is there anything that I say in melanoma.

Speaker 6: But, you know, I mean, you know, we've been very focused on leverage and very pleased that on a pro forma basis, we're just a fraction above three at the year end.

And the network.

Being very focused on that rich.

I am pleased that on a pro forma basis.

Just a fraction above three at year end.

Speaker 3: And, you know, we said that we're going to be below three by the end of 2022.

We said that we're going to be below three by the end of 2022 and in fact on Monday nights, giving benefit that we got.

Speaker 6: And in fact, on Monday, we're going to we're going to target 2.5 times by 2025. You know, we should be in that sort of ballpark. But Diego, I don't want you to misunderstand, we're still targeting that two times.

Target at two five times by <unk>.

By 2025, we should be in that ballpark.

I don't want you to misunderstand, we're still targeting about two times net leverage target within that as David the write off waiting for us.

Speaker 3: that leverage target within that is the right operating level for us.

Great. Thank you. Thank you I guess, maybe the second question first.

Speaker 5: Thank you. Thank you. I guess maybe the second question and.

Speaker 5: First, nice to meet you. Looking forward to see you in person. So the second question is regarding Colombia. Very soft performance in that market despite a growing competition, right? So just want to get your views on the outlook actually.

Nice to meet you.

Looking forward to see you in person.

The second question is regarding the ammonia versus off perform a sign that the market. Despite.

A growing competition right. So just wanted to get her views on the outlook actually for the market, especially because you're asking speaking a little bit.

Speaker 5: for the market, especially because theoretically speaking, I think the competition should continue to be tough in that market, considering recent transactions from KKR with Telefonica, recent, let's say, comments from American Mobile about their expectations for Colombia. So I think it will be good to hear from you about that market in particular. Thank you.

<unk> should continue to be.

The market considering recent transaction from KKR.

<unk>.

Let's say comments from America module above their expectations, but will not deploy.

It will be good.

Good to hear from you.

About this marketing particular, thank you.

Yes, so thank you everyone for that.

Speaker 4: Yeah, so thank you for that.

You'll see a lot more on Monday, but.

Speaker 4: We like the position we're in in Colombia for the long term.

We like the position we're in.

Colombia for the long term.

Speaker 4: We've got the spectrum, we're the largest holder of 700 gigahertz spectrum that's strategically very relevant. We're putting it to use with a network that today, for the second year in a row, has been externally validated as the best network.

We got the spectrum with the law.

Largest holder of 700 gigahertz spectrum that strategically very relevant we're putting into use with our network dot today for the second year in a row has to be externally validated at the best network.

Speaker 4: just about every category in the country. Now, on the back of that, we've increased distribution and service layers to the organization. We've invested heavily in our commercial capacities.

Just about every category in the country.

On the back of that we've increased distribution service layers through the organization we've invested heavily.

Our commercial capacities.

Speaker 4: And we've also continued to deploy our fiber cable net in Colombia, very successful.

And we've also continued to deploy our fiber cable that in Colombia, very successful, which users on mobile the ability to offload to Wi Fi to converge. So when you look at the strategic picture in Colombia, and yes, it's competitive.

Speaker 4: which gives us, on mobile, the ability to offload and put Wi-Fi in to converge. So when you look at the strategic picture in Colombia, and yes, it's competitive, and yes, Telefónica has made a partnership with KKR, where we sit strategically is a million miles better than where we were two years ago, and it's a very strong position. Now the thing

Yes teleporting.

Has been our partnership with KKR, where we sit strategically is amelia months better than where we were two years ago very strong position not the thing that has changed.

Speaker 4: Because I've been saying this now for, I think, a few quarters, right? The thing that has changed is that before I was saying, listen, it's coming, we're going to win. Today, you now have a few set of quarters in which the numbers are really coming our way. It's 1 million post-paid net assets, almost, that we have in Colombia, 800,000. Our market share has peaked up to 300 basis points just this year.

If I can say it is now.

A few quarters.

Change is up before I was saying.

We're going to win today do not have a can you.

Few several quarters.

The numbers are really coming our way, that's 1 million postpaid net adds.

Our market share has picked up to 300 basis points just this year.

Speaker 4: And in the context of a global market that is indeed competitive and which has seen prices come down, our revenue, the overall combination of price and quantity, is actually up. And as we anticipated, and I'll go into more of the quarters, there would be an inflection point, whereas in Colombia, and I said it's just coming, I don't know what is coming.

And in the context of a more of a market that is indeed competitive which has seen prices come down our revenue overall competition on price and quantity is actually up and as we anticipated and I'll go into more of the quarters.

There would be an inflection point was in Colombia, I said, it's just coming out of what is going to be Q4 Q1 is about capex.

Speaker 4: or Q1, this must have happened in my voice last time around, you already see it in Q4. Clearly picking up revenue, clearly affecting the EVA, because a lot of the network built.

<unk> rewards.

You already see it in Q4, clearly picking up revenue clearly affecting EBITDA.

All the network.

Speaker 4: half of it, two-thirds of it is behind us, then OCF is also picking up in Colombia. For the first time.

How about two thirds of it is behind US that <unk> is also picking up in Colombia for the first time.

Ever.

Speaker 4: we have market share of mobile that's in the 20s. 21%, that hasn't happened before. Now.

We have market share of mobile apps and the trends.

But that hasn't happened before.

Now.

Speaker 4: We all know that it's going to remain top. Of course, it's going to remain top. But I think we're the best position because we got the best network. We got the best spectrum, the best team. We can converge. We have Wi-Fi. And.

We all know that it's going to remain top of course is going to remain tough.

But I think we're the best decision because we've got the best network. We've got the best spectrum. The best team, we can emerge we have Wi Fi.

<unk>.

We have very little mobile market share.

Speaker 4: Adam fixed, we continue to build, and we continue to add. So I'm not saying it's going to be.

On fixed we continue to build and will continue.

So im not saying its going to be a walking at park, but I'm feeling a lot better on Columbia now that we're beginning to deliver the goods.

Speaker 4: but I'm feeling a lot better on Columbia now that we're beginning to deliver the new issue.

That's very helpful. So thank you.

Speaker 2: Thanks, Diego. So now we'll go to Stefan Goffin from D&D.

Thanks Diego.

So now we'll go to Stefan <unk> from Dnb.

Speaker 7: Yes, hello. First, hi Sheldon, nice to see you and I would also like to thank Tim for good cooperation over the last few years.

Yes Hello.

Hi, <unk> nice to see you.

I would also like to thank Tim for good cooperation over the last few years.

Speaker 7: So a couple of questions. I think you mentioned that corporate cost increased 8 million euro a year. I have a bigger increase in my numbers if I just deduct the country reporting. So are there any costs relating to the Guatemala transaction in there? Secondly, I'm just

So.

Couple of question I think you mentioned that corporate cost increased $8 million year over year.

I have a bigger increase.

In my numbers, if I just deduct the.

<unk> reporting so are there any cost relating to the Guatemala transaction in there.

Secondly.

I'm just.

Speaker 7: thinking about the equity issue, which I think has been putting pressure on the share.

Thinking about the equity issue, which I think have been putting pressure on the share.

Speaker 7: and you have been talking about

And you have been talking about.

Yeah.

Speaker 7: showing value by carving out the infrastructure and you're also

Showing value by carving out the infrastructure.

Youre also.

Doing the full exit from Africa, So just thinking what.

Speaker 7: doing the full exit from Africa. So just thinking, would it be possible to look at other ways to finance the...

Would it be possible to to look at other ways to finance the.

Speaker 7: the transaction. And then just finally, Honduras and Paraguay, both markets were having negative growth in EBITDA and weaker margin profile. Should we be concerned around the competition level in any of those markets? Thank you.

The transaction.

And then just finally, Honduras, Paraguay both markets.

Markets were having.

Negative growth in EBITA and weaker margin profile, if there should we be concerned around.

The competition leveling and many of those markets. Thank you.

Speaker 4: All right, so we'll have Tim begin, and I'll address a little bit of the undulated and powder wine. Probably make use of your question to go a little bit picture, just to put everything in context. Let's answer the questions first, and then we can go to them.

Alright.

People have.

<unk> addressed a little bit of the Unbilled in Paraguay.

Probably made use of your question to go a little bit pictures.

That sounds good questions.

Speaker 3: Yeah, on copper costs, Stefan, I guess they were higher than the $8 million that I clued up, but you know, the big change in the quarter was that, you know, we invested $8 million in TDOM money in the quarter, which wasn't there in the previous quarter. And I also flagged that next year, you know, we expect to invest about $10 million a quarter in that business. So that will be a change.

Yes.

Corporate costs.

I guess that was higher than the $8 million.

Big change.

Most of us.

<unk>.

We invested $8 million in <unk>.

Quarter, which wasn't that in the previous quarter.

And I also flagged that next year.

Investments in these loans.

In the quarter.

So that will be a change for us now.

Speaker 6: Now the delta you're looking for is really just a normalization of our corporate costs. You know kind of last year was particularly low because frankly we you know we stepped on everything you know in 2020 we stopped a lot of things obviously compensation levels were lower and activity levels were low we didn't sort of we didn't travel for instance you know our travel budget was next door thing so you know a lot of the balance was just a return to a normal.

<unk> you're looking for is is really just the normalization of our corporate costs.

Kind of last year was particularly low because frankly, we.

We stepped on everything we can in 2020, we stopped to lowest things obviously compensation levels were low.

Activity levels allowed so we.

He didn't travel for instance.

But it was mixed.

What is the balance is just a normal mix.

Speaker 7: But should we look for around $40 million corporate cost going forward, or should it be higher? I think our normal run rate would be just a shade under $40 million, and then the MFS impact will be on top of that.

But should we look for.

Around four.

Corporate costs going forward or should it be higher.

I think a normal run rate would be just a shade under 40, and then the MFS impact will be on top of that.

Okay. Thank you.

Okay.

Speaker 4: So on Paraguayan dudas, and then we'll do the picture I think it's a good time to do that. The simple answer, Stephanie, is.

So.

Paraguay, having good us.

Chuck This is attempted to do that the simple answer Stephane.

Speaker 4: Although the EBDA line looks a little weaker, the reality is that both businesses are actually performing much better in the top line. And we're very happy about that. In Honduras, as you recall from the last quarter, we were not particularly happy that it was the one country that we failed or weren't at the top.

Although.

EBITDA line looks a little weaker the reality is that both businesses are actually performing much better in the top line.

And we're very happy about that.

Newness as you recall from the last quarter.

We're not particularly happy that it was a one country that we felt were ones that we bring as we could.

Speaker 4: And the reality is that the investments that we have been making in Honduras, we've been putting money into increasing coverage and modernizing the network, are actually beginning to pay off. And it's mobile and the cable network, by the way. They're beginning to pay off. And if you look at the intake numbers from Honduras, and the quarter pickup in revenue in Honduras seems to be really picking up. So I'm actually quite positive that Honduras is on the Mendoo track.

And the reality is that the investments that we have been making.

Christie coverage modernizing the network actually beginning to pay off with smaller on the cable network by the way they are beginning to pay off and if you look at the intake numbers Shlomo good us.

In the quarter a pickup in revenue.

Seems to be really picking up so I'm actually quite positive that <unk> is on the magnitude of the track.

Speaker 4: And Paraguay is similar in terms of customer stability and actually positive intake. We're now seeing positive intake, both in mobile and significantly on cable. And a pricing environment that is quite stable, compared to what it was a couple of years ago. What you see on the EVGA level line, and I'll pass it over to Tim to complement, is really just a position of the exclusive soccer rights that are a big driver to our public.

Paraguay is.

Sooner in terms of customer stability and actually positive intake.

<unk> positive patients.

Uh huh.

On cable.

The pricing environment that is quite stable compared to what it was a couple of years ago.

We assume that EBITDA level line will pass it over to Chief component is really just the acquisition of the exclusive soccer rights that are big drivers.

Yes.

No.

Speaker 6: I think that covers that. I'll come back on your equity issue point unless you want any more colour on yours in Paraguay.

I'm Stephanie.

I think that that comes that I'll come back on your equity issue.

Unless you want any more color on wound dressing irobot.

Speaker 7: No, well, could you give information on how much the Fokkerites were or is that... In your dreams, Stefan. No, I mean, look, you know, that is... We count extremely valuable. That's the answer, extremely valuable.

No.

Could you give information on how much the <expletive> right, we're or a spot.

Yes.

Any agreements.

No I mean looking at that is if I can.

What kind of extremely valuable.

Thank you.

Speaker 6: The big commercial incentive is that one, so, yeah. And look, on the equity issue, and I do take your point, you know, we are grateful for Shell that's buried with us with the rights issue, but we felt, you know, the right thing to do with the Guatemala acquisition was to effectively neutralize the leverage impact, and that means asking Shell to support for equity.

We value that.

<unk> thousand vessel.

Yes.

The only the only equity issue and I do take your point, yes, we are all grateful for challenge that I've witnessed the rights issue, but we felt the right thing to do with the possible acquisition was to effectively neutralize the leverage impact did not win that adversely shelves will track with you that of course, we have we have.

Speaker 2: Of course, you know, we have we have other options in our locker, you mentioned Africa, you mentioned, but the problem with all of those is that they're uncertain in timing.

Other options in our Lucky you mentioned Africa, you mentioned interest, but the problem with all of those of that uncertainty is finding for us.

Speaker 6: and frankly you know we did want to move as fast as we could to get our leverage back to the levels that we were pre the transaction.

And frankly, we did will ensue and necessity, we could to get our leverage back to the levels that we were pre the transaction.

Speaker 3: and the only real way to do that was through the rights issue notwithstanding that we have to wait for the audits to count and things like that.

And the only real way to do that was through the rights issue notwithstanding that we have to wait through discounts and things like that so kind of put them all through amongst other things, though because those those are things that.

Speaker 6: So, you know, kind of put a marker on those other things, because, you know, those are things that will accelerate the de-leveraging that we haven't really taken into account of, because we're not willing to call the timing impact on them. So, you know, kind of for us, those are, you know, benefits on top, which will help us with, you know, our leverage targets, and hopefully accelerate.

Accelerate the deleveraging that we haven't really taken into council, because we don't always call the timing.

So kind of for us those now.

<unk> benefits.

Benefits on top which will help us with.

Leverage targets and hopefully accelerate the leverage targets.

Speaker 3: But, you know, a caution that they're not, with the possible exception after, they're not immediate things, they're probably one to two years old.

A question and then ill.

With a possible extension of the immediate things that probably was TSM.

Speaker 4: So let me perhaps use that question, you know, because every time we talk about.

So let me perhaps use that question because every time, we talk about.

Speaker 4: capital structure, equity debt, et cetera. It's good to really bake in the big picture into what's happening. And you'll hear a lot more about this on Monday.

Capital structure equity et cetera, it's grew too.

Really became a big picture into what's happening.

And you'll hear a lot more of these on demand.

Speaker 4: But, and we've done the call today, separate from the call on Monday on purpose. So today, we can basically say this was the last part of the first term. And on Monday, we're going to show you how we're feeling about the business for its second term, if you will, of the game. And that's important. So when you look at the picture, what we've done and what we're going to do.

And we've done the call today separate from the call on Monday on purpose. So today, we can basically say this was the last part of the course churn on a Monday, we're going to show your model assuming that all the business for a second term real uptick.

The game.

So when you look at Big picture, what we've done and we're going to do.

Speaker 4: We think the business is, in terms of the way we reshuffle the proponents, extremely clean. This is what we set out to do when we joined seven years ago. We're out of Africa. By the way, we're going to be finishing up in Tanzania in a matter of weeks.

We think the business is in terms of the way we reshuffled the performance.

Extremely pleased this is what we set out to do when they joined US seven years ago, where out of Africa by the way, we're going to be finishing up in terms of the year in a matter of.

Speaker 8: We're out of it.

How quickly.

Yes.

Yeah.

Speaker 4: right? We're big into the strategic locations that we wanted to be in Central America, Guatemala, Panama. We've done the M&A that we wanted to do. And as a result of that, what we have is a portfolio that is highly concentrated on dollar economies or dollar-linked economies. I'll show you on Monday, we estimated about 80% of our opening cash flow is actually dollar-linked or actual dollars.

Right.

Big into the strategic location that we wanted to be in Central America, what's behind that.

And we've done the M&A that we wanted to do and as a result of that.

While we have as a portfolio.

I needed concentrated on delivering on our news or dollar linked economies.

Monday, we estimated at about 80% of operating cash flow is actually dollars in actual dollars.

Speaker 4: And we've made a big bet on cable that's paying off. We've got a cable business that's $2 billion in revenue, growing 10%. And our business today is 40% cable, 60% subscription, 80% OCDF in the country. This is what we set out to do. And as we see here today.

We've made a big bet on keyboard, that's paying you got Kimball business Thats $2 billion in revenue, 10% and our.

Our business today is 40% cable, 60% subscription 80% ownership in the country. This is what we set out to do.

As we sit here today no.

Speaker 4: Not only is that cable bed really fulfilling its promise, we put a lot of money to modernize our networks, whether it's El Salvador and it's working, whether it's Nicaragua and it's working, whether it's Guatemala or the Boston Spectrum and it's working.

These are people that really fulfilling each pumps, we put a lot of money to modernize our networks, whether it's south of the already working whether it's <unk>, whether it's walking out of the box and spectrum.

Speaker 4: All business lines, all countries are growing. And by the way, before we get to the B2B question, which I'm sure we're going to get, B2B, which was the last one, is beginning to show its comeback. So the business is.

All business lines all countries are growing.

And by the way before we get the BD question controls and again determining which was the last one.

Viewing to show its comeback so the business is.

Speaker 4: are roaming all lines, all countries, and.

All lines all countries.

Hi.

Speaker 4: I'm not going to kill the punchline for Monday. We can smell them on.

I'm not going to kill the contract for one day, we can smell of the month.

Speaker 4: And that's what we're saying. Opening cash flow goal target for the next few years on average is 10%. And on Monday we're going to give you more of what the second half is going to look like. But we're very happy where we are because on top of this, which basically means we got cash flow coming our way in the second half of the game, we played the first half to get to where we are. The second half is about scoring the goals on cash flow.

That's what we're saying operating cash flow growth target for the next few years on average is 10% on a Monday or we can do more of what the second half.

But we're very happy where we are because on top of this which Michigan means we've got cash flow coming our way in the second half of the game. We play in the first half to get to where we are.

The second half is about scoring the goals on capital.

Speaker 4: And we also use the first half of our game to build this new asset and to build this new asset, which now gives us the opportunity to play with them to unlock all the value, which is hidden in there. Those assets are valuable and we're looking for ways to show that hidden value and capture that opportunity for growth in value for our investors.

Also used the first half of our team to build this new crop asset and to build the future.

Now gives us the opportunity to play with them to unlock shareholder value, which is even in that those assets are volume and we're looking for ways to show that hidden value.

Capture that opportunity for growth in value for our Investor base. So all of that hopefully gives you an idea of why.

Speaker 4: So all of that, hopefully, gives you an idea why.

Speaker 4: We still have things to do, like finish up the game in Colombia.

We still have things to do.

Like finish up the game in Colombia.

Speaker 4: We're doing great, but the game's not over. We do have to get that leverage down for sure, right? And the rents are free with the support of our shareholders. We believe the customers that we're gonna show will demonstrate that they should help us bring the leverage down. It's gonna set us up for a phenomenal second half. I'm gonna stop short of that because I'm gonna get the lawyers calling me and telling me you've given a little bit too much.

Doing great additional Rover, we do have to get leverage down for sure and the retrofitting with the support of our shareholders. We believe the customer that we're going to show or demonstrate that they should help us bring the leverage down it's going to set us up for a phenomenal second half I'm going to stop short of that because I'm going to get the large OLED TV.

Given a little bit too much.

Speaker 7: Thank you, guys. Thank you. Thank you, Stephan. All right. Next, we'll go to Marcelo Santos at J.P.Morgan. Marcelo? Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi. Hi.

Thanks, Okay. Thank you guys. Thank you thank.

Thank you Stephane Alright, and next we will go to Marcelo Santos with Jpmorgan.

Speaker 9: Hi, good morning to all. Thanks for the presentation. I have two questions. One is on your target to pass 1 million homes, I think on the next year.

Hi, good morning to all.

For the presentation I have two questions.

One is on your target to pass 1 million homes I think on the next year could you.

Speaker 9: Could you discuss a little bit more the breakdown between how much of that would be fiber and how much of that would be cable and where are you concentrating the fiber investment?

To us a little bit more of the breakdown between how much of that would be fiber and how much of that would be a cable and where are you concentrating the fiber investments and the second one is on Guatemala.

Speaker 9: And the second one is on Guatemala. It was a little bit softer this quarter. You gave some ideas on the presentation why it was, but if you...

It was a little bit softer this quarter you gave some ideas on the presentation why it was but if you if you could discuss a little bit deeper and how to think about this going forward. Thank you.

Speaker 9: discuss a little bit deeper and how to think about this going forward. Thank you.

Okay.

So.

Let me perhaps.

Speaker 4: kind of set the record straight. The fourth quarter in Guatemala against the fourth quarter of the Cairo year was really strong. It's just the fourth quarter of the Cairo year was phenomenally good. So the comp was really a difficult one. So it only looks soft in comparison to the Cairo quarter if they're not going to do the fourth quarter positive. Guatemala is still very, very strong.

Kind of set the record straight.

But the full accordingly against the fourth quarter was really strong. It's just the fourth quarter of the prior year was phenomenally. Good. So the comp was really a difficult one so it only looks solid in the presence of the California phenomenon.

Pardon me.

The model is still very very strong.

Okay.

Speaker 4: I'm glad about the fiber question, Marcelo, because it allows us, and we'll talk about this a lot on Monday as well, so I don't want to get ahead of myself.

I'm sorry about the fiber question.

Because.

It allows us and we'll talk about this a lot.

On Monday, as well, so I don't want to.

Get ahead of ourselves.

Speaker 4: We've been working for a long time and planning and preparing the network for a moment at which

We'll be working for a long time and planning on preparing the network for a moment of which.

Speaker 4: Fiber transition will be the perfect sweet spot for us.

Fiber transition will be the perfect sweet spot for us.

And.

Speaker 4: procurement team has now been able to find a cost of construction for fiber that is about 30% cheaper for us than building HFC. 30% cheaper because we now set up the procurement team.

The procurement team has now been able to find the cost of construction or fiber that is about 30% cheaper for us than building HFC, 30% cheaper because we now set up the procurement teams and we've been putting a lot of fiber into the neighborhoods.

Speaker 4: And in the past, we've been putting a lot of fiber into the network. So going forward, it is both very cost efficient for us to drop additional bits of fiber in the areas where the HFC gets to the nodes with a ton of fiber, and we've got a lot of capillarity. And going forward, we're going to build cheaper, and we're going to build with fiber.

So going forward. It is both very cost efficient for us to drop additional metro fiber in the areas, where the HFC gets through the nose, where the ton of fiber and we've got a lot of capillarity and going forward, we're going to build cheaper I'm going to feel that with fiber.

Speaker 4: The message I'm giving you is we've been working on this for a long time, and we're ready to switch mentally and say, from here on, it's all fiber. In 2022, the majority, over half of it, will be fiber. But after that year, it will effectively be all fiber. So you can mentally think that all new grain fields for us, from here on, are going to be fiber. I've done it again. I'm killing one day. Perfect. Thank you.

The message I'm, giving you is we'll be working on this for a long time and were readying the switch mentally unstable near Arkansas filings.

2022.

The majority over half of it will be fiber.

After a year.

Effective and reviewed all fiber. So you commented as being the all new Greenfield for us for the fiber.

Fiber.

Amit again, I'll tell you one day.

Thank you.

Perfect. Thank you.

Right.

And next we'll go to surgery at Gabelli.

Speaker 10: Good morning, guys. Thank you for taking the questions. Team, congratulations on your retirement. It has been a pleasure working with you over the years. And Sheldon, congratulations on joining TIGO and good to see you.

Good morning, guys. Thank you for taking the questions.

Tim Congratulations on your retirement.

Pleasure working with you over the years and sell them kind of a time Samsung joining <unk> good to see you.

Speaker 10: My first question is on Columbia, Mauricio you obviously outlined your competitive position in the market, how you feel good about your position and the assets in the market. Obviously you're taking share and sales and marketing activities have pressured margins in the short term. Maybe the question was for you and team and Sheldon as you

My first.

Some is on Colombia.

Marissa you obviously outlined.

Our competitive position in the market how you feel good of your position.

The essence is the market obviously you are taking share.

Sales and marketing activities.

Restaurant margins in the short term.

Maybe it's a question most of our U S team.

Seldon.

As you.

Speaker 10: If you continue on your share taking activity, at what point do you see more meaningful transformation of the margin profile and what are some of the things that could drive longer term margin improvement in Columbia and how do you think about kind of more mature margin profile in that market a few years down the road?

If you continue on your start thinking of activity at what point do you see more meaningful.

Formation of the margin profile and what are some of the things.

Could drive longer term margin improvement and prolonged.

How to think about.

Kind of a more mature margin profile in that market a few years down the road.

Speaker 4: So let me give it a crack strategically and then Kim can bring me down to reality. So in the short term, we're already seeing inflection. I already said that because we've invested so much on the network and building there.

So let me give it a crack strategically.

Can you kind of bring that.

Sure.

So.

In the short term.

We're already seeing inflection I already said that.

Because we've invested so much on the network building.

Speaker 4: distribution and the service layers of the organization. So we're now reflecting in terms of marketing. But long term, strategically, certainly as you very well know, this is a unique opportunity with market disruption for someone that has such a strong strategic position like the one we built to correct the big problem we have historically had in Colombia, which is ecosystem.

<unk> service layers of the organization. So we're now reflecting in terms of margins.

Long term strategically certainly as you very well know this is a unique opportunity with market disruption where someone that has such a strong strategic decision like the one we built.

Rick the big problem, we are historically out of Colombia, which is lack of scale.

Speaker 4: Once you reach decent scale on mobile, then long-term margins go up. That's what the protocol is here. And that's why we have to go through this period of price disruption and low R2 and all of that thing to get ourselves to a position where we have sufficient scale to have good margins for the long run, like everywhere else we do.

Once you reach a decent scale mobile than long term margins for a while.

While the political this year and Thats why we have to grow through this period.

Disruption.

Although our pools and all are about to get ourselves to a position where we have sufficient scale to have good margins over the long run like everyone else we do.

Okay.

Yeah.

Speaker 10: Great, and my second question is a follow-up on the previous question on the fiber build. As you look to deploy fiber to the home, what types of markets would it be prioritizing in 2022? And maybe you could share what percentage of your homes or what percentage of your footprint you already have passed this fiber.

Right and.

My second question is a follow up on the previous question on the fiber build.

As you look.

To deploy fiber to the home.

What types of markets would you be prioritizing.

And point 2002 and.

Maybe you could share what percentage of your home so what percentage of your footprint you already have fastest fibre.

Speaker 4: Yeah, so that's a better way to answer that for us. I think the key point is that.

Yeah, so, perhaps a better way to answer at Oxford.

Thank you.

The key point is that.

Speaker 4: We've been planning for this. The network has been prepared to be fiber-ready. So going forward, fiber. Think of it as all fiber. And by the way, you'll hear on Monday that it's a ton of neurons, by the way, that we're planning to build. And our existing network.

We've been planning for this the network has been compared to be fighter ready so going forward.

Particularly I saw timber and by the way you'll hear on Monday.

It's a ton of new homes.

We're planning to build.

And our existing network has a ton of fiber already in it.

Speaker 4: Just to give you an idea, and I know that you know cable extremely, extremely well.

Ton of fiber just to give you an idea and I know that you know cable extremely extremely well.

Speaker 4: When you do, we have about 180,000 kilometers of fiber and 12 million homes houses. When you do the number of passes per kilometer of fiber, we stack up really high.

When you do we have about 180000 kilometers of fiber in propylene and homes. When you do have the number at all.

Passengers per kilometer of fiber, we started really just do the math right become a fiber goes.

Speaker 4: Because that fiber goes really deep into the network. Our nodes are, on average, 500. But in many key locations, there are 100 or 200 homes. So there's a ton of fiber already there. So we can be very surgical, and we will be very surgical in taking that fiber deeper to the home.

Deep into the network nodes or on average 500 in many locations or 100 or 200 homes. So there is a ton of fiber already there. So we can be certain decline, we will be very surgical and taking our fiber deeper to the home.

Speaker 4: And I'm about to tell you the whole thing, but I'm going to leave something for Monday because otherwise no one's going to show up on Monday. So we're going to be very targeted and very surgical in the way we do it so that we protect our customers and we protect the relationship with the customers. And most importantly, we do everything, as we've been planning for years, within, I think we gave the $1 million number, Caput, right? Right. Within the $1 million. So it's all in there. I am.

And I'm about to tell you the whole thing.

Should it be something for Monday.

Sure.

So we're going to be very targeted and very surgical in the way we do it so that we protect the hospitals as we protect our relationship with our customers and most importantly, we do evolution as we're going through.

Years. When then I think we gave the $1 billion number copyright.

Within the one off.

Yes.

Yeah.

Okay.

Speaker 6: Yeah, but I think the key point here is this is evolution for us. I mean, for many operators it's a major traumatic moment, but for us, this really is just a continuation of what we've been doing.

Yes.

The key point here is this is this is evolution for us I mean for many operators as a major hurricane.

One is that for US is really just a continuation of what we've been doing.

Speaker 4: Our network, you know, we've built it over the last five years. So it would have been really darn stupid for us not to build it into a fiber, right? So it's really a fiber data circuit. Right. And my last question is on capital allocation.

Our network, we built over the last five years, it will be really super thoughtful to build it.

So it's really fiber data center.

Right.

And my last question is on capital allocation.

Speaker 10: If I think pro forma for rights offering after the rights offering is done, how do you guys think about capital allocation and what is the right balance for you in terms of your leveraging, which is obviously one of your top priorities and repurchasing shares, given that the stock is trading under five times a bit.

I think.

Pro forma for ISO frame.

After the rights offering is down.

How do you guys think about capital allocation and.

What is the right balance for you in terms of deleveraging, which is August along with <unk> and <unk>.

Repurchasing shares given the spike of siding.

Five times EBITDA.

Speaker 4: We have to see it also. Yeah, and I mean, a lot more of this on Monday. I mean, we're acutely conscious of the capital allocation question. And, you know, we think we've got a very good story on it. We set out our store on what we want to do on leverage. And we'll give you more sort of visibility and color on on balance on Monday. I mean, clearly buybacks are our principal source of shell remuneration. But, you know, I think it's better to give you the whole concept

Perhaps the CFO .

Yes.

Great.

Moreover, based upon that we were acutely conscious of the capital allocation question.

We think we've done a very good story and what we set out to hospital, while we want to do our leverage and we will give you more visibility and color.

On the balance on Monday, I mean, clearly buybacks are all physical social shareholder remuneration.

But I think it's better to give you the whole context.

Speaker 3: of what we think we can see on a three-year view and give you a sense of where we can work.

What we think we can see.

On a three year view and give you a sense of where we can allocate the capital.

Speaker 7: Great, thank you very much. Thank you.

Alright, so think of it less space to limited thank you.

Speaker 4: By the way, we're going to put out a press release early Monday with the key messages, so that you guys can read that and listen to us for a couple of hours and then have a really robust one hour of questions. Because we're going to lay out the game plan for the next two years of Monday. We'll check on that.

By the way, we're going to put out a press release every Monday with the key messages. So the two guys can reside in listening to us for a couple of hours and then I have a really robust one hour of questions because we're going to lay out the game plan for the next three years.

The second half.

Okay. Thanks.

Speaker 2: Thanks, Sergei. So now we'll go to Sumit Datta at Newspeak Research.

Thanks, Sergey So now we will go to assume at that tightness Big research.

Speaker 11: Yeah, hi guys, welcome Sheldon and Tim. Thanks very much for your help over the years. Hope you enjoy your retirement. Sadly, mine is some time away.

Alright, guys welcome Selman, Tim Thanks, very much for help ideas have you.

Enjoy your retirement suddenly mining some some time away.

Speaker 11: A few questions, please. On fintech, so you're spending kind of $50 million or so, which is a non trivial amounts of money. I guess we'll hear more on Monday about the details, but in theory, when might we see some of the revenue benefits.

Sure.

A few questions. Please.

Fintech, so you're spending kind of $50 million also which is.

On a non trivial amounts of money I guess, we'll hear more on Monday about the details but.

And in theory, when might we see some of the revenue benefits beginning to come through but that being the shareholders next year.

Speaker 11: beginning to come through. Would that be this year or maybe next year? Any fear would be great. Maybe if you answer that and I'll get to the next couple.

<unk> be great.

Maybe it comes around to get to the next couple of things.

Speaker 4: Yeah, I'm trying to figure out how not to.

I'm, just trying to figure out how not to.

Speaker 4: how not to make sure you guys don't dial up on Monday if I start answering all of the questions now. But let me start perhaps with laying out why we're so focused on this.

How to make sure you guys all got up on Monday I start answering.

Good question now.

<unk>.

Let me start perhaps with.

Laying out why we are so.

Focused on this.

We're convinced that we have.

Speaker 4: unlocked hidden value both in our fintech aspects and in future aspects.

And then long hidden value both in our fintech aspects in a group of assets.

Speaker 4: I'm not going to talk about our depressed valuation levels, but I'm working very hard to show the world, that is the rest of the team, that we traded because we're a telco, but in reality, we are a cable company.

Im going to talk about our depressed valuation levels, but I'm working very hard to show the world.

The rest of the team.

Trade it isn't that helpful. But in reality, we are as Kim will company with a fintech one of the largest <unk>.

Speaker 4: with a fintech, one of the largest fintechs in the region and a food truck business that is also one of the largest in the region. So our tower business is going to be one of the largest tower businesses in the region. And Tigo Money is already one of the largest fintechs in the region already today. We've been building it for the last few years.

The key for our business that is also one of the largest regions for our core business.

The largest health businesses in the region and keep the money is already one of the largest <unk>.

And the reason already.

Because we've been building it for the last few years. So the opportunity that we see is huge because we.

Speaker 4: So, the opportunity that we'll see is huge because.

Speaker 4: We have the ability to do two things at the same time. No defeat can do. One, we can be digital and fintech in the already buying percentage of the population.

We have the ability to do two things at the same time, but know that people can do.

We can be can you just color on the fintech.

The already signed as a percentage of the population, but we can also be fintech in the non bank I'm sure as part of the population. So we can actually tackle the entire ecosystem one because we own. This market is just about everyone has to be more.

Speaker 4: But we can also be fintech in an unbanked, unserviced part of the population, so we can actually tackle the entire ecosystem. Why? Because in all these markets, just about everyone has a mobile phone and not a financial relationship. Unlikelier than not, given our market share, they are ourselves.

And our key financial relationship.

Clear than not given our market share. They are of our subscribers are more importantly, keep them keep in mind, while keeping the business do you already have 18000 cash and cash outs. So we can provide the service systems and mark part of cognition.

Speaker 4: And more importantly, Kiko Money, Kiko Money, Kiko Business, Kiko Money already has 18,000 cash-ins, cash-outs. So we can provide these services to this unmarked part of the population. And no one, no one is in our markets, Colombia can be an exception, really doing fintech.

One notable as newer markets, Colombia can be an exception.

He's doing fintech.

Speaker 4: payments to begin with. It's a blue ocean opportunity. There's no Apple pay, no Google pay, there's none of those guys doing it. We're the trusted band with the distribution of networks already. And 5 million users that already do a little bit of it. So we incubated a big

Payments to begin a blue ocean opportunity, there's no personal Apple pay Google pay there is none of those guys doing it with a trusted bank with the distribution of medical tourism.

<unk> 5 million users that are ready to do a little bit of it.

So we've incubated DB.

Speaker 4: It's ready to show it to the world. And we're quite clear on this. This will not be a baby that will sit at home by the time he or she is 50 years old. That's not the way we're going to go. We're going to find a suitable fintech investor that can provide that business capital to grow, incentive schemes. And what we want to do is capture the economic upside of that small portfolio.

It's ready to show it to the World and we are quite clear on this.

This will not be a baby that we'll see that home by the time he or she is 50 years old.

They were going to go find a suitable fee to invest or that can provide the business capital to grow the incentive schemes and what we wanted to do is capture the economic upside of that non core deals and if we capture that we're going to be giving our investors a lot of the value of what we have been created.

Speaker 4: And if we capture that, we're going to be giving our investors a lot of the value of what we've been creating.

And I know amongst them.

Speaker 6: I think I know you know the numbers for this one, maybe for everyone else on the call. The 50 million you talked about, I mean, we spent about 8 million in the fourth quarter, we spent about 2 million the rest of the year, so around about 10 million was spent in 2021. You know, we expect to increase the run rate here to about 10 million in the quarter, so $40 million in 2022. So those are the numbers now. You know, it will be a little bit, sort of, it depends on whether we agree.

So that just I think I think regardless of this room.

Absolutely.

The $50 million you talked about I mean, we spend about $8 million in the fourth quarter. We spent about 2 million the rest of the assay run about $10 million spent in 2021.

We expect to increase the run rate to about $10 million $40 million.

2022, so those are all the numbers now.

It will be a little bit.

It depends on whether we run them well.

Speaker 6: Those are all my students, thank you.

Those are all estimates.

Okay, that's great. Thanks.

Speaker 11: Secondly, just on on fiber, if we could go back to that, please.

Secondly, just on fiber if we could go back to that please.

Speaker 11: Just on costs of home past and connected, is there a sort of update you can give to that? Perhaps under Fibre versus HFC, are those numbers different? I think the last time you gave them publicly, it was around $100 per home. Past, maybe a fraction lower, maybe 150 per home connected. Just wondered if those numbers have come down. And again, what sort of penetrations do you think you need to hit to get the kind of IRLs you're looking for?

Yes.

Cost of whom perhaps some connected is there is there a sort of update you can give to that.

Perhaps our member fiber versus HFC or those numbers different I think the last time.

Gave them publicly it was around $100 per home.

Maybe a fraction lower maybe 150 per home connected just wanted to get those numbers.

Dial in again.

Sort of penetration do you think you need to hit to get the kind of Roes you're looking for.

Speaker 9: So the two sides of that question, the cost to build is indeed just a tad below 100. It's actually been coming down over the years. So just a tad below 100, just on average. And we're estimating that the cost to build, refill new fiber, as I said, is about 30% lower. So call it 60 or so, 70 or so. And by the way, the cost for us to draw fiber that we have existing network is obviously just a fraction of that.

So the two sides of that question.

The cost to build and then just just a tad below 100, it should be coming down over the years. So just a popular 100 just on average.

And we're estimating that the cost to build.

New fiber on exchanges.

So call it 60 70.

70 or so.

And by the way the cost for us to draw fiber without access to network is obviously just a function of that's a tiny fraction of that so that's the first part of your question.

Speaker 9: So that's the first part of the question. The second part of the question, you've seen us over the last year or two really focus on balancing the act between new build and network penetration. And this phenomenal last year, we picked up penetration points on our network significantly. So almost 100 basis points of penetration. Now going forward, we're going to be building more and trying to penetrate. But the long term.

The second part of your question, you've seen us over the last year or two.

The new focus on balancing act between new builds and then more penetration and this phenomenal last year. We peaked on penetration on our network significantly so almost 100 basis points penetration now going forward, we're going to be building more and trying to penetrate.

But the long term.

Target that we have is.

Speaker 4: nor fall or around mid-30s.

North all over around mid <unk>.

Well have more.

Speaker 4: I'm bullish on the word before. I used to say 30 to 35. Now I'm saying I'm pretty confident it's gonna be 35, over 35.

Bullish on reward before I used to say, 30% to 35, no im saying putting confidence that the $35 35.

Speaker 4: So we're seeing the older nodes really fill out the penetration. We'll show you, again, we'll show you on Monday that we'll

So we're seeing that we're seeing the older notes.

Apple penetration, we'll show you again.

We'll show you on Monday, I believe you extrapolate sort of penetration.

Speaker 9: So we're a little bit more optimistic with the history now, but we can get to the 30s, high 30s.

Started in the.

As you know as with all of that is.

It went out really good penetration levels, so a little bit more optimistic with the history now we can get to a <unk> type items.

Which should also drive economic shock.

Speaker 11: Yeah, okay, that's great. I look forward to hearing more on that. And then just final question, just a detailed one, we're just trying to kind of build up the the equity free cash flow profile for 2022. Can you give any steer on on cash taxes or cash interest at all for the year coming or would you rather share that on Monday?

Yes, Okay, that's great.

We look forward to any more on that and then just final question just a detail enrollment just trying to kind of buildup.

Free cash flow profile for 2022 can you give any steer on cash taxes and cash interest to total for the year coming.

Would you rather shut on Monday.

Speaker 6: I think I think I think we'll cover a lot of this on Monday, so maybe we can hold back till then and we can put it in. We'll have more time to put it in context. Sheldon will take you through them. OK.

I think I think it will cover a lot of this on Monday similar maybe if you can hold that till then.

But it will have more types of it includes that sell the whole payment to them.

Okay, that's great thanks very much.

Speaker 2: Thanks, Sumit. So next we're gonna go to Kevin Rowe at Rowe Equity Research. Kevin, the floor is yours. Thank you, good morning, guys.

Thanks, Dennis So next we're going to go to Kevin ROIC and ROE equity research Kevin Clark.

Thank you good morning, guys.

Tim Pennington.

Speaker 12: Yeah, Kevin. Wow. Wow. What a run. Both figuratively and literally. Kim, it's been a great pleasure working with you over the past decade.

Yes, Kevin we see Wow, Wow, what a run both figuratively and literally.

Tim it's been a great pleasure working with you over the past decades decades, starting with Hutchison to cable and wireless to millicom. So it's been again, a great pleasure working with you and I wish you. The best in the next chapter of your life and Sheldon I look forward to working with you again, so come until later.

Speaker 12: decades, starting with Hutchison to cable and wireless to Milicom. So it's been, again, a great pleasure working with you, and I wish you the best in the next chapter of your life. And Sheldon, I look forward to working with you again.

Speaker 12: coming full circle.

But Kevin several months ago.

Speaker 3: He's probably the only person who's got the hat-trick of my calling cards, the Hudson, the CableWire, and the Millicom, so well done on that, Kevin. Yes, I'm an analyst stalker.

It's probably the only person on this call a hat trick of my.

Clothing hubs hubs cable wireless Angela Merkel, so well done on that yes, I am an analyst stocker.

Speaker 5: I do have a couple of questions. This one might be more appropriate for Monday, but I'll throw it out there anyway. CapEx intensity, how should we think about that over the next few years? And within CapEx intensity, if you could comment very high level on fixed broadband versus wireless. Second question.

Yes.

I do have a couple of questions. This one might be more appropriate for Monday, but I'll throw it out there anyway capex intensity, how should we think about that over the next few years and within Capex intensity. If you could comment very high level on fixed broadband versus wireless.

Second question for you.

Speaker 12: One of your competitors this week highlighted continued handset shortages at the medium and low end of the handset range. What's been your experience, and what's your outlook there? Thanks, guys. The first one's pretty easy.

One of your competitors.

This week highlighted continued handset shortages at the <unk>.

Medium and low end of the handset range, what's been your experience and whats your outlook there. Thanks guys.

So the first one is pretty easy its bill.

$1 billion per year.

Speaker 9: around a billion dollars per year, all in, in coverage.

Around $1 billion per year.

Okay.

And Capex.

And the second one is.

Speaker 4: There's been concern and there's been a lot of work done to make sure that there's no disruption on handsets availability and there's been bits and pieces here and there in some markets that we haven't had and we're working hard not to have any significant disruption at all.

Theres been concern and there has been a lot of work done to make sure that there's no disruption on handsets visibility and theres been bits and pieces here and there is some markets that we haven't had them.

It will be hard not to have any significant disruption.

Yep.

I'd say theres, a little bit though.

Speaker 3: You know, one of the early questions is on Guatemala, I mean, we saw a lot of handsets in Guatemala, so all our markets, Guatemala probably was the one that saw some impact, particularly on the higher end, and it was more to do with the kids' shelters.

One of the other questions. We just don't want to model out we saw a lot of firms have seen about a dollar so all of our markets will evolve probably Wilson.

Some impact.

Higher level and it was once a day with the chip shortage to anything else, but generally across the rest of the business is number one we don't sell that many handsets actually.

Speaker 6: but generally across the rest of the businesses number one we don't sell that many handsets actually and and two we you know they're generally a low end so we've not seen too much problem.

And two we generally and low end, so we don't see too much tougher.

Again, Kevin.

Thanks, Matt.

So.

Speaker 12: So far, so good. Got it. And just a quick follow up, Mauricio, the billion dollar capex number, within that number over the coming years, do you see the mix between broadband and fixed changing materially?

So far so good.

Got it and just a quick follow up ratio the $1 billion Capex number within that number over the coming years do you see the mix between broadband and fixed changing materially.

Speaker 12: I mean, broadband and wireless, I'm sorry. No, so a lot of it goes into subscriber-related capex, right? Largely, the large increases in home intake of subscribers, probably a third goes into that bucket. Not a big chunk, but that's good. That is growth capex. And then, you know,

Broadband and wireless I'm sorry.

So a lot of it goes into subscriber related capex.

Largely the large increases in home and pickups subscribers call. It a third goes into that.

Bucket, not big chunks, perhaps Texas scoped out.

And then you have.

Speaker 4: It's a little sub $100 million to build new homes per year, kind of thing at the numbers that we're talking. That is sort of the build up network. And then the remaining goes basically into mobile coverage, mobile capacity, and obviously IP and another expenditure.

Mr Needle SAR $100 million.

New homes per year.

The longer that we're talking about is sort of the buildup in their work and then the remaining goes basically into more of our coverage from overcapacity in all of them.

And one other expenditures.

Speaker 4: And it has been consistently so now for a few years. It doesn't dramatically change as we basically realign the business to do these things.

And it has been consistently sold out for a few years, we have dramatically changed basically realigned the business to grow this thing.

Understood. Thank you.

Speaker 2: And just to be clear that that billion dollars, Kevin, is on the new basis as we will be reporting next year. So it's our IFRS basis, which includes Guatemala, but excludes Honduras, and also excludes Africa, which is in the process of being disposed of. So there's some tables in the back of our earnings release that should help you rebase to how we're going to be reporting in the future.

Thanks, Kevin and just to be clear that that $1 billion. Kevin is on the new basis as we will be reporting next year.

It's our IRS basis, which includes Guatemala, but excludes Honduras and also excludes Africa, which is in the process of being disposed of so there's some tables in the back of our earnings release that should help you rebase to Howard and we're going to be reporting in the future.

Speaker 2: Next up, just the last question now. This one came by email from Andres Cuello at Scotia. I think, Tim, this is one for you. In the press release, in the earnings release, we said that we've received regulatory approval in Tanzania for the sale of Tanzania. So the question is if you can provide additional color on any remaining approvals that are still required.

Next up just the last question now this one came by E Mail from our next question Howard Scotia.

Tim This is one for you.

In the press release and the earnings release, we said that we have received regulatory approval in Tanzania for the sale of Tanzania and so the question is if you can provide additional color.

On any remaining approvals that are still required.

Speaker 6: Yeah, thanks Andres for that. So we've received approval from the telecom regulator, which clearly is the big one. We've got a Fair Trade Commission approval to receive, which should be at a meeting next week on that.

Yes.

The address for that.

We received approval from the telecom regulation, which clearly is the is the big one.

We've got a fair trade Commission approvals received there should be a meeting next week on that.

Speaker 6: and the Bank of Tanzania, given the size of the mobile money business in Tanzania. You know, both of these we expect to be, you know, standard and acquired, no business in Tanzania currently, so we don't think there'll be.

And if I can tells me and given the size of the mobile money.

In terms of that both of these we expect to be.

The buyers in that business and because the economies that we don't think will be.

Speaker 3: any significant impacts from that, but you know kind of we've learned to our cost that things in Tanzania and Africa generally can take a bit longer than you might like or might hope, but generally we're now very sort of confident on the final lap of this particular

<unk>.

Any significant impacts were launched.

We have led to swap cost that singles in Africa generally you can take that one.

And then you might like to mind, but generally when we're now very comfortable on the <unk>.

Will the final lap of this particular chapter.

Speaker 2: Right, Tim. We actually did get a couple of more questions through the chat. So let me just relay those as well. The first was on competition in Colombia. What are we seeing in terms of pricing?

Great Tim we actually did get a couple of more questions through the chat. So let me just re lay those as well.

First was on competition in Colombia, what are we seeing in terms of pricing.

Speaker 2: And then the second one, maybe slightly and still sticking with the Columbia part, but what do we think is the long-term potential for broadband penetration? I think that was more of a Columbia question specifically, but maybe we can discuss the region in general.

And then second one maybe slightly still sticking with the Colombian art, but.

Where do we think is the long term potential for broadband penetration I think that was more of a Columbia question, specifically, but maybe we can discuss the region in general.

Speaker 4: Sure. So I think we've already addressed the Columbia competitive environment and.

Sure.

So.

I think we've already addressed.

In Colombia, our competitive environment and then.

What are strategic and competitive positioning there is I don't see that fluctuate it can add.

Speaker 6: strategic and competitive position there is. I don't think there's much that we can add. We'll have Marcelo, our GM from Colombia, present on Monday, so there'll be a lot more color on the fact that we're making significant progress in Colombia there.

How about Zillow, our GMP, Colombia presents a Monday, so there'll be a lot more color on that.

Yes.

Significant progress in Columbia there.

Speaker 4: And I want to give a little bit for Monday because I think we've let a lot of goods out of the bag, but you'll see on Monday we're pretty, pretty convinced that there's a tremendous drop in opportunity. Peaceful opportunity is still ahead of us.

And I wanted to.

Bid for Monday, because I think we let a lot of good news out of the stock, but youll see you on Monday.

We're pretty.

<unk> companion that Theres, a tremendous opportunity.

Acuity is still ahead of us as you saw with completed this first term.

Speaker 9: As you saw, we completed this first term, and our cable fiber business is just hitting on all cylinders. We're getting the penetrations, we're getting the growth, we're sustaining the arc loop, the greenfields are working extremely well for us, and we've got a nice, easy path into the future. So we're happy to be anti-Udokan come Monday.

Cable fiber business is hitting on all cylinders getting penetrations, we're getting that growth.

Are the Greenfields, we're working extremely well for us and we've got a nice path into the future. So.

We're opting to Amgen.

Yes.

On Monday.

Speaker 9: And with that, knowing that it's in the hour and people probably have other calls to go to attend, thank you for joining us today.

And.

With that.

I've seen the hour and people probably have all the cost to go to a candidate for joining us today.

Speaker 4: The business is in the best shape operation it's ever been.

The business is in the best shape operation it's ever been.

Hitting on all cylinders and as I said earlier, we're about to show you guys the money.

Because it's just comment.

And that will allow us to be more proactive in de levering.

And to returning.

Returning capital to shareholders. So we look forward to that second chairman, explaining where the multiples to come on that.

Thank you.

[noise].