IHS (IHS) Global Communications Infrastructure Conference summary

Business overview and financials

• Operates a tower infrastructure platform focused exclusively on emerging markets, with significant presence in Africa and Latin America, spanning 10 geographies and about 40,000 sites.

• Reported $1.7 billion in revenue and approximately $900 million in EBITDA for the year, with an AFFO-equivalent metric of $250 million and leverage at 3.9x.

• Business model aims to demonstrate that the towers model is viable and potentially higher growth in emerging markets, with connectivity seen as a utility.

Contract renewals and risk management

• Recently renewed and extended all major contracts with MTN, the largest customer, across Africa, with extensions through at least 2032 and up to 2035 in some cases.

• Total revenue under contract now stands at $12.3 billion, with a significant portion from MTN.

• Adjusted contract structures to include dollar, power, and local currency components, introducing hedges against FX and power volatility.

• Semi-annual CPI escalators now apply to local currency contracts in Nigeria.

• Risk-sharing mechanisms introduced, such as diesel price indexation, to smooth earnings and reduce exposure to power cost volatility.

Financial strategy and capital allocation

• Strategic review underway to address undervaluation and unlock shareholder value.

• EBITDA margin targeted to rise from 56% to 60% over the medium term.

• Growth CapEx trimmed from $600 million annually to $330–$370 million, focusing on high-return projects, especially in Brazil.

• Plans to dispose of $500 million–$1 billion in assets to highlight sum-of-the-parts value and focus on fewer markets.

• Excess cash flow prioritized for debt reduction and potential share buybacks; dividend not currently paid.