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In the first quarter of 2026, Millicom International Cellular reported sales of US$1.99 billion, up from US$1.37 billion a year earlier, while net income declined to US$109 million and basic earnings per share fell to US$0.65.
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The results highlight how recent acquisitions in Colombia, Chile, Ecuador, and Uruguay are driving strong top-line growth even as restructuring costs weigh on profitability.
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With Q1 2026 revenue lifted by recent Latin American acquisitions, we’ll now examine how this shapes Millicom’s existing investment narrative.
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Millicom International Cellular Investment Narrative Recap
To own Millicom today, you need to believe the Latin American expansion can translate strong revenue growth into durable cash generation, despite higher leverage and restructuring costs. The key short term catalyst is whether newly acquired operations in Colombia, Chile, Ecuador, and Uruguay can quickly support margins and equity free cash flow. Q1 2026 results, with revenue up but net income down, make that integration and cost-control test more urgent, but do not fundamentally change it.
The most relevant recent announcement is Millicom’s reaffirmed 2026 target of at least US$900 million in equity free cash flow and leverage of about 2.5x. In the context of Q1 2026’s 45% year over year revenue growth and rising restructuring expenses, this target has become a focal point for assessing whether the acquisitions are strengthening the balance sheet over time or stretching it too far in the near term.
Yet behind the strong Q1 revenue print, investors should be aware of rising debt costs and integration risks that could…
Read the full narrative on Millicom International Cellular (it’s free!)
Millicom International Cellular’s narrative projects $5.9 billion revenue and $628.3 million earnings by 2028. This requires 1.7% yearly revenue growth and a $326.7 million earnings decrease from $955.0 million today.
Uncover how Millicom International Cellular’s forecasts yield a $52.35 fair value, a 36% downside to its current price.
Exploring Other Perspectives
Some of the lowest ranked analysts were already assuming revenue would shrink about 1% a year and earnings fall toward roughly US$511 million by 2028, so this strong Q1 growth but softer profit may push you to reconsider whether their more pessimistic view of capital intensity and margin pressure is closer to reality or still too harsh.
Explore 8 other fair value estimates on Millicom International Cellular – why the stock might be worth over 2x more than the current price!
