Q3 2024 Millicom International Cellular SA Earnings Call
[music].
Hello, everyone and welcome to our third quarter 2024 results call. This event is being recorded our speakers today will be our CEO of Arsenal that he does and our CFO Marc Manhattan.
For today's presentation are available on our website, along with the earnings release and our financial statements now.
Now please turn to slide two for the Safe Harbor disclosure, we will be making forward looking statements, which involve risks and uncertainties and could have a material impact on our results on slide three we define the non <unk> metrics that we will reference throughout the presentation and you can find reconciliation tables in the back of.
Our earnings release and on our website with those disclaimers out of the way, let me turn the call over to our CEO and myself.
Yeah.
Thanks, Michelle Hello, everyone. I appreciate you all being here to review the company's performance in the third quarter.
This was an excellent quarter for us.
The actions we've taken over the last few months are clearly delivering results. Our restructuring is now almost complete and even with significant one off costs. This quarter, we were able to generate a record free cash flow.
We have successfully equaled by aggressive cost reduction capex optimization and strong customer growth.
And just as important that this very strong performance is broad based with nearly every country, Brazil, losing much improved EBITDA and we did pre cash flow.
We are also advancing significantly in the organic side, having announced highly strategic transactions in Colombia Costa Rica.
Our drug is actually in Central America. Each of these transactions is expected to close in 2025, and we expect that will enhance the return of capital in 2026 and beyond I want to thank all our team members for these outstanding achievements, albeit batesville that go by the end of our customers is at the heart of.
These results.
He started to slide five for the highlights of the quarter.
As you will see in a few minutes Q3 was one of our strongest quarters ever in terms of customer net additions with both speed ads of almost 300000 and hold net ads of almost 70000.
These are the strongest I've seen spread in 'twenty, one when we were just coming out of the pandemic, which speaks to the strength of corporate performance this quarter and I want to recognize our sales teams.
The streets every day and deliver record levels of new customer activity in the quarter.
We're able to deliver these strong customer growth, while also sustaining a very robust cash flow generation.
Which reached a record of 271 million in this quarter, even better than Q2.
As you can see this thesis you brought up with implemented have made the company leaner and more cash generative.
And then also spread the convergence of agility that Eagle has always been Goldcorp now let's review each of these highlights in more detail beginning with our Walmart business in the next slide.
Our wealth business continues to perform very well in Q3 with service revenue growth of about 4%.
This is coming mainly from the higher our we're getting from the prepaid price increases we've implemented over the past year.
And we also get an uplift when we migrate customers from prepaid to postpaid, we'd see equal or vertical immersive striking as you did see in this slide we continue to grow our postpaid base every quarter.
And in Q3 was exceptionally strong with net adds of almost 300000.
This solid performance is a direct result of the factors I discussed in our Q2 call three months ago, specifically, we continue to invest in our networks being Bruce network capacity.
I know this is hard to beat it because you'll see our capex is down almost 25% year to date.
We are really doing more with less and every dollar of Capex. We spend is a return focused and is having a bigger impact than ever before we have also simplified our commercial offerings, making it easier for our customers to see but usually what we're providing.
And our new plan emphasizes convergence, which drives lower churn.
And a better customer lifetime value and this is also driving improvement.
One basis as you can see in the next slide on.
On our Q2 call. We told you that we haven't been investing in are broadband networks, and then we werent upgrading customer speeds. We also mentioned our shift from defensive and offensive strategy and in Q3, we took a step forward.
We simplified our commercial offers we focus our efforts on those with low penetration rates, we strengthened our commercial capabilities and we pushed convergence.
So all of these initiatives customer satisfaction is up and down.
And this is driving the improvement we're seeing in net tax which is now solidly back in positive territory in 2024, and the Q3 in particular.
And our whole customer base is almost back to where they were last year.
And then set us up for a positive return of service revenue growth in our home business sometime next year. Please turn to the next slide for a quick look at our B to B business, which had another solid quarter <unk> service revenue grew 5% organically in the quarter over.
Over the last couple of months or <unk> business is generating $980 million in revenue.
Big part of the growth are coming from digital solutions, which grew 27% in Q3.
We discussed the two large Panama project has contributed meaningfully to our growth over the past year.
This is a direct result of investments we've made in our infrastructure smart connectivity Bronx data centers cloud solutions and digital solutions.
We remain very focused on capturing our share of SME customer segment, which is growing at mid single digits and we are uniquely positioned to meet their needs for reliable and boom burgeoning solutions that help them to grow their businesses.
Now, let's review our performance in our three largest countries beginning with Colombia on the next slide Colombia had another solid quarter in Q3 customer net additions were very strong as you can see in this slide we added 180000 postpaid customers 40000 bulk customers.
We also added nearly a quarter of our medium prepaid customers in this quarter.
Our stronger water since the pandemic in terms of new customer activity as a result, what you're seeing is up or mobile service revenue continued to grow at an industry leading rate of 8% in brokered or rescue therapy, and our home business is not starting to reap over at least.
For a stronger revenue growth in 2025.
We achieved all of these while keeping our EBITDA margins at 39% six points higher than last year.
We have achieved exactly that over the past year. The big of 220 million in the quarter was a new record. And the margin of 55% was one of our highest ever.
Speaker Change: Alright, so yeah, that's very helpful and just that the $40 million you are there.
Bart.
Speaker Change: I mean, I guess, that's before interest payments, because obviously, you're going to get a lot of gross proceeds which could obviously with that that's the way that your interest costs with that's correct. That's correct, yes, absolutely yes.
Speaker Change: $40 million.
Yes.
Alright perfect.
975, minus Texas Miami.
Speaker Change: So again I won't do that apartment homes, a third of all.
Speaker Change: So for that site, there's a bit of leakage there as well.
Speaker Change: Got it thank you.
Speaker Change: Yeah, I just wanted to hear your thoughts about the deleverage.
Speaker Change: Expect it to come in around two five or maybe a little bit below 2.5, how do you think about you know shareholder remuneration that after the $2 five or should we now expect anything not until come under two points or how should we think.
Yes.
Speaker Change: I think in terms of all we've been walking the talk right. So we didn't do any shareholder remuneration until we get to two five.
Speaker Change: There are almost there.
Speaker Change: But we're very confident before yearend.
Speaker Change: But I want to see before really opening the discussion we'll get.
Speaker Change: We have a strategic session with the board.
Speaker Change: The beginning of the year.
Speaker Change: Typically discussed.
Speaker Change: But we do have a lot of equity free cash flow coming in next year like this year.
Speaker Change: The proceeds potentially from the dollars.
Speaker Change: Let's wait till we haven't been in the bank.
Speaker Change: And then maybe make a decision but on the other side.
Speaker Change: Columbia, M&A Baseborn, let Charlie deleveraging materializes means still have a significant amount of excess cash up to now we've been repaying debt.
Speaker Change: More than half a billion.
Speaker Change: <unk> already.
And so we could continue that.
It doubled in a broader discussion of capital allocation.
Speaker Change: Organic investment is a priority, but Marcelo mentioned the capex portfolio that we have to daily so comfortable that need sufficient literally.
Speaker Change: And serving their needs.
Speaker Change: For the business.
Yes.
That we have.
No.
Speaker Change: Deleveraging and save on interest payments, which is good and strong balance sheets, we couldnt do.
Speaker Change: More MMA.
Speaker Change: But the plan right now, but thats part of capital allocation decisions and then lastly.
Speaker Change: Particular order, but the lastly shareholder remuneration either in the form of share buyback or in the form of <unk>.
Dividends.
Speaker Change: And then just the dividend policy, we would need to publish and can do that.
Speaker Change: Hello, <unk> AGM in may or in Egfr.
Sure.
Speaker Change: Out of the cycle. So that's been the options under its more giving you. The menu then giving you direction on where we are but if everything works out we should that make sense cash during the years.
Speaker Change: Understood. Thank you very much. Thanks, Oscar we're going to go now to under Escuela like Scotiabank, Yes. Thank you guys. Good morning.
Speaker Change: Can you give us an update on that.
Speaker Change: Mana process in Colombia, how are you doing in terms of the army.
Speaker Change: How is the permits with the municipality.
Speaker Change: At the municipal level.
Speaker Change: Central America.
Speaker Change: Regarding the content acquisition that is my first question. My second question is just to confirm with you that you already have approved a buyback program for 10% of your market cap I already said that you are waiting for leverage to come down to two on a house, but I understand that you don't need extra permits to larger buyback programs. So just thinking went when could we start.
Speaker Change: Some of those buybacks. Thank you.
Yes.
Let me start with.
We can compete.
Alright, I'll start, but so one on Colombia.
Speaker Change: So we announced the transaction with Telefonica, an agreement with Telefonica to do a transaction we are in the middle of negotiations of the long forms.
Speaker Change: We are also.
Speaker Change: In the process.
Doing all the regulatory filings.
Filing should come out very shortly.
Speaker Change: Don't need to technically way to have everything fully landed.
Speaker Change: We're going to go up with that.
Soon.
Speaker Change: The governments on both sides. So at BMO mono side, let us sell them. The other sites they are running a process of privatization.
Process.
Speaker Change: There are states can do both.
The Ddos.
Speaker Change: And so there's not a ton that we can do we can be involved.
Speaker Change: It's an independent process that they need to run.
Speaker Change: Each time, we are saying is.
Speaker Change: <unk> opinion valuation than they need to often linked to sectors Ww and scope, which is the public general public and then it goes to attendance. So what we're doing is doing and how does our offer in that.
Speaker Change: On both sides and that should also.
Speaker Change: Probably in the first quarter it'll be here get more clarity.
Speaker Change: We are still good.
Speaker Change: That transaction in Q4 and led sales.
Zero.
Speaker Change: Let me ask a technical question on that could you buy the telefonica stake without the government selling their stake.
Speaker Change: And you control portal and habit government as your partner.
Speaker Change: Very fair question in Q2.
Similar.
But cannot happen is that meaningful.
Speaker Change: A portion in both companies and then not be able to synergize in between the two so that cannot happen.
Speaker Change: And we wouldn't want to be in such a position.
Speaker Change: What we are able to do is we can virtually entities and both governments and stay in or can decide to settle.
Speaker Change: Fine with both options in working fantastic deal with <unk> for many years.
Speaker Change: Good partners that can stay England.
Speaker Change: With the merged entity or we're very willing to make them that elsewhere.
Speaker Change: We need to this one and the same for the governments. So okay. One is the condition is that we can merge the two companies.
Speaker Change: Construction play.
Speaker Change: Just to complement their address I mean, that's you know Columbia is one off or or is the most challenging markets, where we operate to many operators.
Speaker Change: Spectrum prices pressure on our book so so I think this is.
Speaker Change: This is a very I mean, it's very positive for Colombia, the demand of data is there.
Speaker Change: Colombia needs a strong operators in order to to capture and convert that demand and consumption.
Speaker Change: So we do believe that.
Sure.
Speaker Change: Everybody is looking at the same things so we want to fix the same problem.
Speaker Change: So on our behalf we are doing everything that is on our hands to landed.
Speaker Change: In the second half of next year.
Speaker Change: So we are also following that very closely even though is independently the process of.
Speaker Change: And then as Phil.
Speaker Change: But we are we are positive on the timeline.
Speaker Change: And on the on the fact that in H two H two next year weekend.
Speaker Change: Can have something done.
Okay.
And then regarding share buyback.
Speaker Change: So I mean, we have two portions of share buyback.
Speaker Change: Porsche So one yes, we have 10% that can be approved by the board.
Speaker Change: Give a portion of these many shareholder remuneration in a portion of shares that we might need to buy for us.
Speaker Change: For equity grants in spite of the remuneration of the number of people in the company.
Speaker Change: But one to two.
Speaker Change: We purchased some shares to pay for the salary so the benefits et cetera, I think that we can do quite independently.
Yes.
Speaker Change: We can replenish the treasury shares when it comes to shareholder remuneration that allowed us eating the mcdonough of capital allocation and would want to add more.
Speaker Change: Our strategic session with the board to decide on that on when do we start.
Speaker Change: Our repurchase program versus the dividend.
Speaker Change: That's clear.
Okay. Thank you thanks Andres.
Speaker Change: So next we're going to go to undress Johnson at Carnegie.
undress Johnson: Hello, Good morning, and good afternoon to everyone.
Speaker Change: Follow up on the on the tower deal you have 2500 remaining towers I think within the law.
Project.
Speaker Change: Would you say, it's likely that those will also be divested.
Speaker Change: And on the proceeds that you have received from the 7000 that you already announced what's the tax rate.
Speaker Change: On that amount.
Speaker Change: I'll I'll more follow up later.
So in the 2005 hundreds.
<unk>.
Big chunk of that is in Bolivia.
Then we have the.
Speaker Change: Number in Paraguay.
And then.
Another number that is.
Within the within B.
Transaction battery materials countries.
Those are signs within our tower.
Speaker Change: So you didn't have data center within our knock wood in.
Hum.
Barry.
Difficult places for third parties to come and maintain.
Speaker Change: Dealing with the land lease.
Yes.
So <unk>, probably considering the currency situation right now.
Bernie: It doesn't come Bernie.
Bernie: A top priority for me.
Speaker Change: Now go and try and so those that was there.
Speaker Change: Have a very difficult negotiation thereof.
Speaker Change: In local currency, although you get the proceeds when we get the money out.
Speaker Change: So I wouldn't say that those 2500 remaining dollars.
Speaker Change: One going to come very soon and any gains.
Speaker Change: It's very large amounts of proceeds.
Speaker Change: So just to manage the expectations there.
Speaker Change: Your second question was on the 7000.
Speaker Change: Yes, yes.
The tax rate.
Okay.
Too hard to say.
At this moment I mean, we haven't disclosed any.
Specific.
Speaker Change: Numbers around that.
Maybe to give you some type of indication.
We are certainly not the international.
Berke.
And in line.
Speaker Change: Previous quarters, when we explained the work that we were getting like transferring downwards from a local operation, let's say the mobile business into Lucky Lucky, which fully independent structure.
Speaker Change: The subsidiaries of Millicom group, our headquarter and then has a full structure below it all the time.
Speaker Change: Let the board.
It's all about the unlucky.
And so we're selling lots of internationals from Luxembourg.
Which is a quite decisions.
Separating us from the $1.
Speaker Change: At year on year.
Year over year.
They should have learned that by now.
Bolivia on that note.
As you say the currency is under pressure.
Speaker Change: How do you reason on that let's say that there is a devaluation how do you see that impacting.
Speaker Change: You want on P&L and cash flow.
Yes.
Yes.
<unk>.
Speaker Change: Actually what we see is that it is we do have some.
Speaker Change: There is.
Political political let's say and the stability, we do have a bit of unrest social unrest and that these are putting a little pressure on the.
Speaker Change: The economy therefore.
Sure.
<unk> and <unk>.
And our customers' pockets. So what we are doing there is first.
We are being very cautious on our investment we are.
Speaker Change: Investing in our capacity in mobile.
Second we have implemented the full.
Playbook of our efficiency program. So you will see that.
In the EBITDA growth of these water and additionally to that we have localized.
Speaker Change: To the local currency almost 85% of all of our Opex and direct cost. So we are very well equipped.
Speaker Change: For the for the storm.
What I would say is that.
Speaker Change: We do expect.
Devaluation next year, it's very difficult to speculate how much.
Our portfolio allows us.
Two two.
To deal with these situations as you know we have two operations with dollar ice economies, what the myeloid and Honduras was very stable currencies.
So this is like like we say here at the millicom business as usual. So so we are contemplating this.
For next year's budget, and we don't see that it will have a material impact on our ability to keep delivering.
Delivering equity free cash flow.
Perfect.
Speaker Change: Final one for me on Colombia, as you have said very strong subscriber intake all customer intake during the quarter.
Speaker Change: Can you explain a little bit more why that happened and it looks like at least in <unk> short that it looked quite happened quite sudden.
Speaker Change: Is there any risk that there will be a sean.
In the coming quarters, or how should we how should we see it and as for the overall overall in the group I get the sense that you are looking for more.
Speaker Change: Customer intake.
Does that fit within the current.
Our cost structure that you have.
Yeah I mean.
Speaker Change: Questions on Colombia, we do see that this is a very healthy growth just to give you. An example in postpaid.
Speaker Change: 35% of the new customers are coming through our FMC offers are these are these customers comes with very low very low churn.
Speaker Change: Below 2%.
Speaker Change: And then we do have the other 70% is coming from from our base in postpaid them from the portability China.
Speaker Change: What we do see is that these are customers that are consuming after they migrate from prepaid to postpaid. So we don't see.
That there is going to be any pull there.
Speaker Change: The impact on churn in the future why we do see is that our ability to keep growing our base.
Speaker Change: It's going to remain strong.
In.
In the home.
What we do is.
Speaker Change: We have extended our capillarity through the deal with ETV and Bogota and what we are doing is we are just feeling the network.
With with our simplified offer we have very few offers easy to understand and we have strengthened our commercial.
Speaker Change: Our capacity in the streets.
We opened new stores, we have new salespeople. We are also strengthening our digital channels and that is paying off again all of these new customers are coming with very low.
Early churn so we don't see neither any impact in the near future. These are real customers that are consuming and they are paying.
Speaker Change: Thank you very much.
Speaker Change: Okay. Thanks, Andreas So next we'll go to Stefan <unk> Dnb.
Stefan: Yes, Hello Andreas.
Speaker Change: Minus two to take several of my questions.
Andreas: I have.
Andreas: Couple of more.
Speaker Change: First of all you I think you mentioned that you saw increased competition in Guatemala in recent weeks. So can you. Please just elaborate on that what you're seeing there.
Andreas: Yes.
Speaker Change: You know we have.
Speaker Change: A big portion of the market and what the myeloid right almost.
Speaker Change: 11, 5 million customers in more ways.
Speaker Change: So.
Speaker Change: We have a very strong brand.
Speaker Change: We have oh.
Speaker Change: I mean.
Speaker Change: And in Guatemala, historically, yes, we have been very good at keeping and growing or prepaid base over the last 12 months, we started across the board, including what the MLR to.
Speaker Change: Start increasing prices in rebates in order to monetize the increase in consumption that was taken very well by all the markets, including what the MLR.
Speaker Change: The main the main challenge we have is that in some very relevant departments in Guatemala, we were playing alone.
Speaker Change: So we were the only ones.
Speaker Change: In this environment and collateral has invested aggressively in these new areas. So naturally when you have.
Speaker Change: I mean, the full spectrum of of the customers in one department and you start having a competitor there is pressure on on our booth and pressure on on customer.
Speaker Change: Gross adds of new customers. So what we are doing there is we have we are defending on those territories with three.
Speaker Change: With <unk> with.
Speaker Change: Three key.
Speaker Change: Let's say as part of our playbook right, we bought in the Triple aim.
Speaker Change: Availability affordability and accessibility. So it's a it's strengthening our networks, we are catching up on mobile capacity and the sites. We have a very aggressive plan to do that second is we are strengthening our distribution with our point of sales direct sales force and also.
Speaker Change: Low points of activation and the third is we are.
Speaker Change: Giving more resources for the same ticket right. So the price per gigabyte in those areas are decreasing.
Speaker Change: All in all to tell us that this is what we do.
Speaker Change: We know how to how to defend ourselves and we are.
Speaker Change: We are doing exactly that in what.
Speaker Change: This is still I mean, if you see the gross adds than they got to either gross adds was 90000.
Speaker Change: In the quarter is still a very small portion of the total base in Guatemala. So this is more or less the dynamic of the prepaid market that we see just laying out what the model.
Speaker Change: And perhaps it's Stefan if I can just complement there we it's important to say, we actually had very very strong postpaid net adds in Guatemala. So is there some definitely some pockets of strength as well.
Speaker Change: Yes.
Speaker Change: And then just.
Speaker Change: A clarification I mean, the one off costs are fairly high this quarter can you just.
Speaker Change: Good information on how much of this is related to restructuring charges.
Speaker Change: And what does this make to the overall cost saving program.
Speaker Change: Had reached the level of 250 million in run rate savings.
Speaker Change: You update on what to expect there and then also on restructuring charges for for Q4, I believe you said earlier that that would come more restructuring charges in the second half.
Speaker Change: So yes other than restructuring charges today I think.
Speaker Change: In the third quarter I want to call out.
Speaker Change: And EBIT more than $20 million that relates to cutting Serge.
Speaker Change: By our independent board.
Speaker Change: In the defense against the uplift in the Rockwell and towards themes around that.
Speaker Change: So that was a significant element.
Speaker Change: Q3.
Speaker Change: The biggest chunk of the remaining.
Speaker Change: Remains severance payments.
Speaker Change: And in there I think it's important to do that.
Speaker Change: Here as well, we have the separation agreements with our former CEO and those numbers are also fully reflect that.
Speaker Change: In our Q3 numbers.
Speaker Change: So that seems so in Q4, we want to this year to finalize all of our significantly all of all of our.
Speaker Change: Structuring.
Speaker Change: So there will be a little bit more of that you will see in Q4, but it is not to the level.
Speaker Change: That you've seen in Q3 and again removes.
Speaker Change: The defense charges and then from that number.
Speaker Change: You can take a haircut because it's not going to be at the same level in Q4 than in Q3.
Speaker Change: Okay.
Speaker Change: Can you update a little bit on sort of the run rate on the cost saving program.
Speaker Change: Yeah.
Speaker Change: Okay.
Speaker Change: Okay.
Speaker Change: Yes.
Speaker Change: Year to date, you will see that.
Speaker Change: How much did we spend I think we did more or less.
Speaker Change: $1 billion in severance payments.
Speaker Change: This year.
Speaker Change: Severance ease.
Speaker Change: In our operational expenditures.
Speaker Change: Our savings run rate, coupled with consult from <unk> and half of it comes from other operational.
Speaker Change: So your number that June that you indicate triangulates quite.
Speaker Change: Quite well.
Speaker Change: On the Opex side.
Speaker Change: And then the savings on the on the Capex, you indicated you're going to be a little bit below $700 million and we believe that.
Speaker Change: That will be recurring going.
Speaker Change: Going forward, so with those two elements.
Speaker Change: Maybe you.
Speaker Change: It's a numbers of that team.
Speaker Change: Opex savings having DMT.
Speaker Change: Our contracted services and then in the Capex you see depths.
Speaker Change: Yes.
Speaker Change: Yes.
Speaker Change: 700.
Speaker Change: At this time.
Speaker Change: Okay, great. Thank you.
Stefan: Okay. Thanks, Stefan So next we'll go to mass set of Santos of JP Morgan.
Speaker Change: Hi, Good morning, Marcello Barnes Joel Thanks for taking my question I have actually two are.
Speaker Change: The first question is about the Capex for 2025, I think you guys mentioned that as a percentage of revenue should be quite similar to what we are having this year.
Speaker Change: Wanted to understand if you were embedding in 2025, some kind of acceleration in their own business.
Speaker Change: After deployment or food also be more similar to what we're seeing now so just want to know the moving parts in this capex and then deep dive a bit into the Colombian fixed business the home business in Colombia.
Speaker Change: Be tweaks, so I want to just if you could zoom in and comment a bit on the challenges and opportunities that you see there.
Speaker Change: Qualitatively things should unfold. Thank you.
Speaker Change: Hello Marcelo.
Marcelo: So on the first one the way we see it.
Marcelo: The framework were building and always operation.
Speaker Change: We do prioritize first the capacity capacity in our fixed and mobile networks.
Speaker Change: Capacity is at the core.
Speaker Change: More of our customer experience, so we need to make sure that we can provide.
Speaker Change: A good service level to our customers.
Speaker Change: Moving a little bit deeper there we are doing <unk> analysis.
Speaker Change: Understand where is the.
Speaker Change: The demand in what areas and regions, we see the biggest demand so they have capacity.
Speaker Change: Or are you already these are going to those places, where we can tap that demand and transform that in consumptions and.
Speaker Change: So there is a little bit of more granularity of.
Speaker Change: How we manage capex despair municipality and per CBE in more ways and per node in the in home, So thats, where youll see.
Speaker Change: A bit of a reduction.
Speaker Change: <unk> Nikko <unk> Capex, we're not.
Speaker Change: We are not leaving.
Speaker Change: Leaving anything on the table I mean, we we are as you can see I mean these are.
Speaker Change: These new net adds of 60 68000, they do come with with our commercial Capex. So so we do view 2025 to keep increasing the net adds and we do we are we are.
Speaker Change: Including in the envelope of the Capex needed for that and then you have the third piece of this.
Speaker Change: As I said, we are looking to a very I mean springs of transformation and not very long term and deep transformation that project.
Speaker Change: Our industry is.
Speaker Change: In many ways the customer behavior changes so rapidly that we need to have shorter screens of course try to digitalize.
Speaker Change: Outside the relationship with the customer and internally as well, so that's where you see a little bit of a more focused on the capex, we feel comfortable that we will we.
Speaker Change: We will be at the same rate as this year.
Speaker Change: Without the leading any of these things on the table. Additionally, Additionally to lease we have the Bts agreement with.
Speaker Change: SBA and that would allow us as well to start building more more coverage in more wide, especially in the north of Central America, where we do see opportunities to grow in our in network mobile network coverage.
Speaker Change: Okay.
Speaker Change: Columbia home challenges and opportunities.
Speaker Change: Well in Colombia in Colombia, what we see.
Speaker Change: We are growing very well.
Speaker Change: Our gross adds that has to do mainly.
Speaker Change: Cause of our extended.
Speaker Change: Home spots that we have in Bogota.
Speaker Change: And our new approach a new commercial approach that is a simplified offers more commercial power in the streets and FMC. So what we do see is.
Speaker Change: Is that we can keep the current rate.
Speaker Change: Of net adds.