Tuesday 24 October 2017

Digicel revenue tops €1.5bn for first time

Donal O'Donovan

Donal O'Donovan

REVENUES at mobile phone operator Digicel topped €1.5bn for the first time, according to results announced last night.

The Denis O'Brien-owned company operates in 32 countries in the Caribbean, Central America and the Pacific. The figures showed revenues were up 27pc to US$2.2bn (€1.5bn) for the year ended in March.

Earnings grew in line with revenues, up 27pc to $954m from $753m the previous year

The results show the number of new customers grew by just 6pc to 11.5 million, but revenues rose on the back of increased data sales in particular.

The results mean that the company's debts of $4.6bn are around four-and-a-half times' earnings. Digicel is a private company and does not publish a full set of financial accounts. However because it raises money through the bond market the company publishes limited financial information including revenues and earnings figures.

Digicel CEO Colm Delves told the Irish Independent that the company was profitable across all of its markets. He said it had no current plan to tap the bond market, but may seek to refinance debt ahead of maturities in the next three to four years.

Digicel has agreed a $350m deal with America Movil to sell its operations in Honduras and El Salvador to the Mexican operator and buy America Movil's business in Jamaica.

Irish Independent

Also in Business