The telecommunications tower operator Cellnex earned 3,008 million euros in the first months of the year, 16.95% more than in the same period of the previous year, the company has reported, whose adjusted Ebitda also experienced a growth of 16% year-on-year. reaching 2,248 million. The company, which managed to reduce losses by 22%, attributes its latest results to the process of consolidation and integration of the acquired assets.
The increase in amortizations and financial costs have led the group to record losses worth 198 million, compared to the negative result of 255 million recorded last year. While the net financial debt has been reduced by 300 million, to 17.6 billion.
The CEO of Cellnex, Marco Patuano, highlighted that this period has been characterized “by good commercial performance and solid operational execution, with income and Ebitda in line with what was planned.” He has also highlighted that the company has achieved positive free cash flow ahead of initial expectations for 2024, of 436 million compared to -774 million in the same period last year. He also asserts that it is “making positive progress” in reducing debt thanks to the sale of sites in France and its private networks business unit.
The group also maintains its commitment to organic growth and to obtain investment grade no later than 2024, after leaving years of growth through acquisitions behind. “Once again, we confirm all our short and medium-term financial objectives,” Patuano celebrated. Some goals that have been achieved, he specified, “thanks to strict control in capex (capital expenditures).”
Cellnex does not have any due dates for the remainder of the year and plans to cover payments in 2024 and 2025 with available treasury and income from additional divestitures. Likewise, it confirms that it expects to close the year with approximate revenues of 4,100 million euros, an EBITDA between 2,950 and 3,050 million and a free and recurring cash flow of up to 1,625 million.
Sale of the private networks business unit
With the focus on the activities and businesses around telecommunications towers and the assets adjacent to them, Cellnex has reached an agreement with Boldyn Networks to sell its private networks business unit, mainly made up of Edzcom, the Finnish subsidiary of the group specialized in connectivity solutions for private networks in complexes and industrial environments. The operation, valued at 30 million according to company sources, is scheduled to close in the first quarter of 2024.