Millicom International Cellular S.A. (TIGO) Earnings Call Transcript & Summary

Good afternoon, everybody. This is Cesar Medina. I cover Latin America Telecom, Media and Technology from Morgan Stanley and based in New York. Thanks, everybody, for joining. I hope everybody is safe. I have the pleasure to be with Mauricio Ramos, Chairman and CEO of Millicom. Mauricio, thank you so much for taking the time to talk to us. Welcome to our event.

Thank you, Cesar. I'm very delighted to be here and thanks, everybody, for joining me today.

Perfect. Mauricio, if it's okay with you, we're going to try to do this as interactive as possible. [Operator Instructions] Let me get to the chase, Mauricio. The recent transaction that you have done in Guatemala. I believe I have a very positive view on this. It was well received by the market. But for the benefit of the audience, do you mind summarizing what are the key steps? What are rationale and what are the benefits that you expect from this?

Sure. Never say no-brainer, but I'm guessing we've actually executed on and most investors have agreed with the rationale. I pretty much can say, this is as close you get to a no-brainer. Number one, great country. I think we've shown the statistics, GDP growth, stable currency scale in terms of GDP and population, tremendous upside in terms of -- now going #2 to the sector, tremendous upside in terms of broadband penetration, both still on mobile, but much more so significantly on fixed; and three, going down the list in terms of the asset we bought, great industry structure, great asset and going further down in our rationale, phenomenal management team. So we really checked all the boxes. When you look at the deal, it is accretive -- massively accretive day 1, $200 million of free cash flow day 1 in any way you do the math, this is phenomenal M&A right out of the bag. We're also extremely pleased with the way the execution has gone, meaning the message is out clearly to investors, the message is out clearly to the Guatemala community and the message is out clearly and well received to our management team on the ground. So just really happy to have done such a creative and well-executed M&A.

And just to confirm something. This is an asset that you already knew, that you already controlled. So there shouldn't be any concerns whatsoever regarding execution going forward, correct?

We will not miss a heartbeat. I've been chair of the company since I joined day 1, the product strategy, the pricing strategy, the overall strategy, the commercial distribution strategy. We've been driving ourselves and all the regulatory conversations are held directly by us or the management team. So we won't miss a heartbeat in terms of execution going forward.

Perfect.

As I think I've said on the call, this is like buying more of something you like, you know and you just want a little bit more on. And in this case, we were just able to, on top of that, consolidate 100% control of something that is really a phenomenal asset.

Now if I were to push on this because this is one of your most profitable operations, as you said, now that you have full control, should we expect any type of changes in the way capital is allocated, the speed to which you react to the market? Any changes on the execution on the way that you have been managing this business going forward?

If ain't broken, don't fix it. If you have managed it, you own it, and you own its past and you own its future. And as I said, we've been managing and executing on this transaction and on the business for a long time. So there will not be any changes to our on-the-ground strategy. It's working. We're going to continue doing more of the same with the exact same management team that is now happy and related to be working more closely with us in a seamless manner. The things that will change are that we will have more ability to push Tigo money into the market. Not that we didn't have before, but now we don't have to negotiate related parties around it. It's clearly the Tigo Money execution that we can drive in Guatemala as we do everywhere else. And as I think we've also said, it allows us greater flexibility on the infrastructure lay that we're building for the region because we now own 100% of the infrastructure that's [indiscernible], the Guatemala venture. It's got nothing other than add-on positives with no change on the execution of the strategy so far.

Now you mentioned at the beginning of your remarks on this section that Guatemala has great demographic scale, et cetera. Obviously, if one were to look at the track record of that unit, growth has been very interesting in there. But can you talk about the ability of your current network to sustain that growth? Let's say that you have doubled the data consumption in the country, can the network support it? Otherwise, what would be the CapEx rollout plan for this?

Yes. So there is no change whatsoever in the long-range plan that we ourselves have put for Guatemala over the last 5 years. The plan that we have and the plan against which we build the acquisition model and it's got in it baked on what we were doing before, which will continue to be before, and this transaction doesn't change any of that. We've been putting money into the network. I'm sure you've noticed for the last 2 years in Guatemala quite significantly. Given the scale that we have and given the profitability that we have, it's almost close [ to a no risk ]. So we got all the capacity on the ground that we need for mobile for sure. But I think it's interesting such that it is how much room there is on the fixed business in Guatemala. I'm sure you've noticed that we're growing like there's no tomorrow on fixed in Guatemala. And that is because I think we still got a lot to do there. So Guatemala will be more of the same, but we are increasingly bullish on our ability to drive not only Tigo Money but more of the home or cable business.

Understood. Let me switch gears a little bit in terms of some of your other operations. In Colombia, one of the things that we've seen, obviously, there is more activity on the[indiscernible]. Can you comment there in terms of competition dynamics from that perspective? How are you reacting? Where -- how do you see this unfolding as we head into 2022?

Thank you. I think Colombia is a playground in which we're doing everything the right way in a bold manner with great execution and are playing our cards a way they should be played. And it's less about one and a lot more about us in what we are doing. The fact that [ Von ] came in surely has received all the attraction, but the reality of how we see our play in Colombia has a lot more to do with the things that change at the same time that change our ability to control our destiny in Colombia. We had historically had extremely low market shares in mobile in Colombia, 15% market shares, 18% market shares. It's no mystery that it's very difficult to make a return on capital on mobile with those market shares. And we were handicapped because others had strategic advantages that were a disadvantage to us. Number one, we were held at bay in our ability to gain market share, and therefore, we're comfortable because we had a spectrum disadvantage. That disappeared when we bought the 700 megahertz. We are, as you very well know, the largest holder of 700 megahertz spectrum in Colombia. So that disadvantage has gone, level playing field. We didn't have the network to compete in Colombia because, without that spectrum, we could never really efficiently -- cost efficiently build a mobile network that had nationwide coverage really and indoor penetration, particularly in places like Bogota or the big capitals of Colombia because trying to build a mobile network that penetrates indoor with only high frequency spectrum is extremely prohibitive. With the 700, we can away with the spectrum disadvantage. We've actually turned it the other way around, and now we are the #1 network measured externally by Tutela, Opensignal, best network in Colombia. So we've gone from Spectrum disadvantage, the largest holder of 700. Network disadvantage, best network in Colombia with indoor penetration as well as extended coverage. And because we didn't have the spectrum or the network, we also had a commercial distribution disadvantage. There's no point setting up points of sales when you have the network or the spectrum. Now that we have the network and the spectrum, we've actually doubled the size of our commercial distribution. So we're taking away that disadvantage. So what you see is a Tigo, not with all of those disadvantage, has a brand-new name in Colombia. NPS scores are the best we've ever had. Customer recognition is the best we've ever had. Net portability, it is the best we've ever had and subscriber intake in Colombia is the best we ever had. We're winning in Colombia, no doubt. And we'll continue to make traction on fixed as well, building network and adding subscribers because now we are literally building a business that has both traction on mobile and on fixed. We're actually really winning in Columbia.

If I understand correctly, I mean, you mentioned that this is not about [ Von ]. This is about you gaining market share. So you don't think yourself as defender in the market is much more of an attacker. Is that a way of summarizing this?

When you've got 15%, 18% mobile market share [indiscernible] nothing. Right? And we were clear on that strategically. If we play this game as a defender, we're toast. We're going to play as an attacker and we're winning because we made that mental change, and we set out to win with spectrum and network and commercial distribution. And quite frankly, we may not be driving the price game, we're certainly driving the wins on the volume game.

Now if you were to think in terms of the sequencing of everything that you're mentioning. How should we think of when is the payback? You just mentioned that you doubled your commercial distribution, et cetera. For how long can you continue, more specifically, what is the sequencing for margins? And what is the sequencing for, as we move into 2022, should we expect any impact from this -- all these commercial efforts in terms of the volumes, in terms of the margins, et cetera. How should we think of these 2 trends, growth and margins, playing out next year?

Yes. So the name of the game here is to gain scale. I hope I've been very clear on that. When you have scale, you're going to have profitability. And that's what we're shooting. That's super important. We are getting the scale. We're going to get the scale. We're going to get the profitability. Now the timing element of this, which is I think what you're alluding to, it is the nightmare over, it's the worst over, have you guys done with killing the margins and investing in the network. The answer is it isn't quite dawn yet, but we're past the midnight hour. Let me tell you what that means. We're 2/3 of the way building the mobile network. And we're already reaping the benefits of increased subscriber intake, rise in revenue despite the lower ARPUs. We come out ahead on the volume game with growth on revenue. And because most of the fixed investment has already been put into the commercial distribution, you are going to start seeing us not continue to erode, but actually start improving on the margins going forward because the fixed and the network investment, both commercial and on the network is largely behind us. So it's better from hereon.

Pushing you a little bit. Now that you have the spectrum, the commercial, et cetera, what part of the execution is this something that worries you? If I were to ask you, what is your main worry about Colombia? And I'm not talking about elections next year. I'm talking about the execution within Tigo itself, the things that you can control.

Listen, I -- on the organic front, meaning what we can control, putting aside elections and all of that, we can talk about that until we're blue in the face. We've nailed every bit of the steps that we need for phenomenal execution, whether it's increased commercial distribution NPS scores, customer satisfaction, net portability numbers, they're all coming through together. That's only because we have a phenomenal team, both here in Miami and in Colombia that's executing. I don't worry about the things we can't control because those are check, check, check. The part of this equation, and as I said earlier, I have no doubt, this is just a game of math. We're going to come out with increased market share and improved profitability. That's just math. The part that is not within our control is that the Colombia industry structure is not stable. They won't stay this way forever. We got 4 players, one of them coming in with no fixed. You got us investing and then you got a couple of others that you may question. So I don't think this industry structure is going to do anything other than improve going forward. [ It's cut ]. So 2 things I believe makes sense for us are behind us playing the game this way. One is these ARPUs would not stable forever and whoever has got the highest market share or gaining market share when they are reorganized, comes out ahead. I'm playing that game. And number two, this industry structure is not going to be as harsh as it is today. It only get better from here on.

Now if I connect the dots with what you're just dealing with Guatemala, can we see something similar in Colombia, meaning EPM, everything that is happening over there, you can blame me for asking. I know the answer already.

No, listen. Obviously, if I knew the exact answer, I would not give it to you. But the point here -- the point here is that the iterations are multiple, right? The iterations are multiple. At least a couple of these players are looking for solutions to improve the industry structure, we would be happy to look for solutions that would help the industry structure. At least -- and this is public, one of our partners is looking for a way out, opens up another possibility here. And then we have this phenomenal fixed network in Colombia. And in the context of money being put into infrastructure in Colombia, we could also look to somehow put as part of a chip into many potential combinations. So whenever we say that the harshest part of the industry structure is today it's because I see a lot of possible iterations with everything that's happening in Colombia. In any one of those iterations, I see upside for us.

Understood. Moving on to other markets. Another, if you will, successful story of improvement in turnaround has been El Salvador. Can you walk us through in terms of what was the key drivers behind the improvement in execution in that country? What should we expect going forward? And is this a template that you can apply to other markets for turnaround and improvement in execution?

Yes. There are many things about El Salvador that do serve as a template. The key to the El Salvador turnaround is strategic clarity and operational focus on execution. We saw an opportunity to acquire a meaningful [ chunk of ] spectrum that we needed in order to provide better service. We went ahead boldly and acquired that. In doing so, we also helped create a better industry structure because of those who did not have their eye on the ball, did not acquire that spectrum, whereas those who have did long term, you can grow the parallels to other countries if you wish to, tried on ourselves, we did of the spectrum. On the back of that spectrum, we put our chips behind our strategic vision and we modernize our network and then we stop. That gave us the ability to have better product, much, much closeness to the consumer, and we've bought a strong, new management team. You put all of that mix together and you have today a magnificent asset in El Salvador. I realized that it's like a 4-player market nominally. But in reality, it's an industry structure that as many others is converging towards 2, even 3 players. Now there's a lot of that, that indeed serves as a template for every other of our operations.

Crystal clear. Paraguay. You had a little bit of more competition. Is this over the competitive threat, the spike in competition that you saw for some other foreign players, et cetera, in that market, is it over -- What's the outlook going forward on that one?

Yes. My view on Paraguay. We had a lot of good thing going. Others picked up on it and came in to try to have a little bit of that. They've enjoyed that and are realizing now that they can't have much more of that party with a much more meaningful investment going forward. And as a result, they become a lot more rational. They realized that they've had their share, they've had a lot of fun. It's been a great party. Going forward, the ticket to play just gets incrementally harder for them. And that's, I think, why you see the rationalization in Paraguay that you see today. Competitors are realizing that they want to return on their investment. They have the easy part of the night and that going forward, they really want to watch out for their dollars a little bit more. So I expect that, that coupled with a long-term view that we had had in Paraguay leads to continued improvement into the industry rationalization and even potentially industry structure. As you have seen for the last few quarters, we started to regain subscribers significantly, and that shows you that things are stabilizing. Prices have stabilized. And I think that's because our competitors have realized that we're not going to let them continue to have a lot more fun. And going forward, we want a much more stable marketplace in Paraguay. And I think that's beginning to happen in Paraguay.

Now moving on to Bolivia. We've seen a lot of headlines coming in, some of the protests, et cetera. And this is on the back of -- there was a period where surrounding elections until the national company was acting in a peculiar way, if you will. What do you think are the prospects of this market? Should we read into anything regarding the volatile political scenario that we see over there? Thoughts on that market from you?

Yes. So we've gone through a couple of rough years in Bolivia after a phenomenal ramming Bolivia. Bolivia had a #1, the political instability of about 1.5 years or so ago, maybe a little bit longer and then very harsh COVID in Bolivia. Both of those are now in the rearview mirror. And we're beginning to see ourselves despite what you read in the press and the protests, this and that, which will have an impact on a given month or another. What we see is pretty, pretty stable going forward, and we've regained bullishness on Bolivia going forward. Mobile seems to be a little bit more stable. The crisis has hurt the third player much more than anyone else. I'm sure you've picked up on the public statements that they've made. This market is quickly becoming a major factor to to play a market or 2.5 player market, and I think that's very positive. And most importantly, demand for broadband, mobile and fixed is as high as it has ever been in Bolivia. And as a result of that, we're going back on the streets to build more on fixed and bring in more fixed subscribers. So although it was a couple of years that we're taught, we're becoming a lot more bullish in Bolivia in the last couple of years [indiscernible].

I'm accumulating some questions on the queue, but last one on my end, on the market as specific, the divestment in Africa. Any updates on the time line? I know this is a different country, et cetera, but any updates on that front?

Yes. So we're making progress. Believe it or not, we are actually making progress for African standards. I would even say we're making a ton of progress in the regulatory approval. But the key thing there is for African standards. So we're going to get it done before year-end, maybe it slips into the first quarter, but it's well on track in terms of our negotiations with the governments [indiscernible] approval for the deal. Just put it not on island time, but put it on African time.

Understood. Now, questions from the audience. I have one on Guatemala and one on Colombia. The one in Guatemala, what gives you confidence that you can maintain the margins in the -- in this market? I guess, I suspect the answer is related to industry structure, but what are your [ thoughts parties ] on this?

Yes. The industry structure is a very healthy industry structure. It gives both players the ability to have a return on their investment. And because it's -- it's bond and it was in 2-player, no one really has an incentive to go try to gain too much from the other guy because you're cannibalizing yourself as well. So it's a very stable industry structure. We got scaling Guatemala as well. Both of us are scaling Guatemala and with scale comes repeatability. So it is really a market in which margins in our view are certainly sustainable. What we're focused on is what are the additional layers of growth opportunity that we can put on top of this very profitable business machine. And those largely come in the form of more home or cable. Tigo Money has a tremendous opportunity to become bigger and more important in Guatemala, significantly so. It's very unbanked population. And what we've done with Tigo Money in Guatemala is very, very small. And of course, this does not go to margins. We have the infrastructure part of the business that we have now online.

Perfect. Now another question, and these are related to Guatemala as well. When do you expect to close the long-term financing related to the Guatemala transaction?

So I think we've publicly said that we'll go ahead and start working on the debt part of the equation, ASAP. There's no reason for us to not do that ASAP. And then we've given a 1Q, first quarter of next year time frame for the rights offering. So all of that is perfectly on track. As you know, we've received really positive feedback and welcome not only from the analyst community but also from our investors. So we're only confirmed in our desire to execute this way and our ability to do so.

Got it. And then another related to Guatemala. It sounded like you were considering partly financing the Guatemala acquisition with sales of infrastructure assets there. Is that correct?

No. No. No. And thank you for the question because sometimes questions allow you to clarify that. The final takeout for Guatemala is, as we described, is long-term debt to the tune of $1.5 billion and the rights offering to the tune of $750 million. Anything we do on infrastructure is additional optionality. All that this transaction for Guatemala does is increases the easiness with which we can execute on that additional flexibility to have an infrastructure play completely unrelated to the financing of the Guatemala deal. I appreciate that question. There's a lack of clarity on that.

Great. A question on Colombia. Congratulations on the deal execution, given the fixed investments have largely been done and we understand margins will improve as a result in the future, but it would be helpful if you can share what sort of return on investment do you expect on these investments?

Yes. So I think we've been pretty articulate on our return on investment threshold. So these are consistent with that. The part that we can speak to is, of course, the organic part. And that really will come back or will come on the back of us gaining market share as we are. I'm going to go back and say it again, we're extremely pleased with the way the plan is working in Colombia, just as we expected to. We really are winning in Colombia. Now the end game in Colombia will depend on how the industry structure gets reshuffled. And those in our analysis have different IRRs because we haven't executed on those, and they will depend on what gets executed on that. But on the organic plan, on the execution plan, we're very happy and the returns are consistent with what we've articulated to everyone else. Watch us gain market share every quarter.

Perfect. I'll hold you to that. Next section, and this is a bunch of questions, again, is related to corporate strategy and big picture items. Three times have you mentioned Tigo Money so far. Can you give us some color in terms of long-term outlook? What is the vision? How are you monetizing economics? I can see [ Michelle ] probably not liking this type of detailed questions, but anything you can share with us, it would be much appreciated.

So Tigo Money is -- it's in its early stages for us. It's what I call the nursery. Think of it as the way the cable business was 5 years ago when we talked a lot about it and today, we have a $2 billion cable business within Millicom 40% of our revenue. So what Tigo Money is today is not what it's going to look like down the road. We have today the mobile financial payment system tethered to Tigo, the company, called Tigo Money. What we don't have today is a fintech, and this is what we're trying to build. What you have today is basically in local remittances business. What you don't have today is a digital payment mobile system in our markets because we don't have it and none of our competitors have it, and no one has it in our markets, putting Colombia aside. So what we're planning for is becoming the digital mobile payment system of choice in our markets. That's what we are planning for. So you will have, once we have distributed QR codes and increase the number of merchants from the 3,000 today into the 90,000 that we're going to have next year, what you're going to have is the ability to use Tigo Money as your mobile payment form of choice in all our markets. So...

Go ahead. I interrupted you, sorry.

Yes. So that means that we're going to add merchant distribution points and the merchant points of receipt for Tigo Money. We're going to add commercial capabilities, and we're going to make Tigo Money be the choice of a payment form in all of our markets, with Colombia aside into the first step. So think of using Tigo Money, the Tigo app to pay for coffee, to pay for the groceries, everywhere you go, building a fintech that is the digital payment of choice in all of our markets initially on the back of our subscriber base, but not exclusively down the road on our subscriber base because it's an app. And anybody can use it. So it's open to everybody. And from there on, imagine our subscriber base, imagine our technology, which already exists, then we can start layering the other elements of fintech. That's why you hear me talk about Tigo Money so much. We believe we have a winning proposition.

If I hear you correctly, just asking for confirmation, 3,000 merchants today, 90,000 merchants next year?

Commercial guys are going to kill me for saying that. Yes.

All right. I told you that [ Michelle ] was not going to be happy.

If I don't give you that, you don't imagine Tigo...

The opportunity, the upside...

Being used as a formal payment, right? When you sit here, you don't think about for a second to go pay with Apple Pay or whatever it is that you pay for in the U.S. Imagine people doing that in Latin America with Tigo Money. They already got the mobile phone. They already have the Tigo up in there, which we're putting in there. And we're creating a QR code and the merchant community through which they can -- nobody else can do that. [ Now couple that sensor ] and I'll shut up here on this one, couple that with the fact that we already have today 18,000 points, Tigo Money only points, in which people can cash in and cash out actual cash, show me a fintech that is [indiscernible] to the real economy. Show me a fintech that can actually tell you, you can pay anywhere you go, and there's an ATM just about everywhere you're going, that's Tigo Money.

Crystal clear. In terms of your balance sheet structure, you'll talk about potential different iterations of industry structure in Colombia, in other markets as well? How should we think of your balance sheet structure going forward? And after the transaction is -- of Guatemala has concluded? And how should we think of that structure impacts your organic and inorganic plans?

Yes. So we've been very, very clear. The way we structured the Guatemala transaction was in a way in which we could sustain and maintain a healthy balance sheet. And we basically solved the debt versus equity with the notion of having leverage that would [ start a 3 ], but have the ability to delever down the road towards the stated long-term goal of 2x. And I think that's what the rights offering does. It gives us the ability to have more equity to just sustain a balance sheet that's healthy and a clear deleveraging path. Now deleveraging path comes on the back of growth and EBITDA that we now have, but also it becomes a lot more certain because we now have access to all of the Guatemala cash flow, which is extremely meaningful. And we like that healthy balance sheet and that capital structure going forward. If any of these additional inorganic opportunities come about, I cannot tell you exactly how we will go about them. But I can tell you is that we have this very clear framework that I just described. We need to protect the healthiness of our balance sheet. And you've just seen us do a massive deal in Guatemala, and we only want to take leverage up to where we did and start delevering from there, that's our mental framework.

Related to that, one question from the audience is, you have talked about increasing the trading liquidity in the U.S. listing before. will the rights offering take that goal into account in some way?

So and really, really good question. This, I think, became obvious to everyone, but this Guatemala transaction is absolutely accretive. It's just accretive day 1. They'll come in whenever we start consolidating [indiscernible] something. We wanted adamantly so to give the optionality of that accretion to our existing shareholder base. So we went about doing this with the rights offering because we want that accretion to go to our existing shareholder base. And I'm very happy that investors have seen it that way and reacted very possibly to that because it was core to what we were doing. I believe from what I heard so far and -- that we're going to have a very -- I'm very bullish about our ability to do these rights offer, let's put it that way, before I say things have been [indiscernible] down for. And with that, I have no doubt -- no doubt that we're going to have increased liquidity in the U.S. simply because of the reception we've received from existing and prospective U.S. investors. Not even at that [indiscernible] was running to like a territory.

I'll stop on that angle. Switching gears to the plans that you have on possible divestments of infrastructure that you have, what assets, which locations could we see unlocking value on that front?

So we've got -- it's pretty meaningful, actually. We have some 9,000 to 10,000 towers growing quickly, because we're building additional network as you know in Colombia and some of the modernization also comes with nice new towers. We have 13 data centers other than Tier 3, and we have a ton of fiber throughout the region. All of these are combined or separate meaningful digital infrastructure assets. I don't know what the final mix will be. But we're working very hard to find the optimum solution for each one of those components. So stay tuned for the moment where we come with further announcements. How about that for Tigo?

There you go. Keeping toes up. The last question regarding all again balance sheet structure, well not so much regarding that, but I got 1, 2, 3 questions from the earnings, which are definite iterations of any guidance on dividend policy and buybacks.

Listen, I mean, obviously, for at least a short term, our focus is on delevering. I hope, let me, that's clear with everybody. But this cash flow that we just bought makes Millicom really cash flow rich going forward. And as a result of that, once we've shown a path to deleveraging, we're going to have a business that puts out quite a bit of cash, which is a really game changer. I hope everybody has understood that, if not we'll make sure we show them out. We've bought a $200 million plus of equity free cash flow into the system. Now going forward, that gives us a phenomenal problem, which is all right, we can really now have the equity free cash flow, which supports all the remuneration. Do we do that in the form of dividends or buybacks? Dividends have a small tax problem, which I would try not to have our investors have to deal with. And at this valuation levels, this is hypothetical. But if these were on today's decision, which it is not, no doubt, we would go with buybacks.

Okay. So to summarize in here is near-term focus is deleveraging, et cetera. But then afterwards, that consideration between dividends and buybacks is a lot of close attention to where the stock price is. Is that reasonable to summarize it that way?

You pay us to allocate your capital correctly.

Okay.

And if the stock remains at these valuations, we're going to allocate it accordingly to that.

Last...

I hope I'm just going to have a little bit of a personal marketing. I hope that we've shown that we're really careful on capital allocation, and we'll continue to do that. We're out of Africa, Panama is a success, Guatemala is cash flow accretive.

The -- going through the last round of questions from the audience here. Is there any risk of overinvestment in fiber assets due to competition on wafer market share? Are there any ways in which you are looking to collaborate with other players and avoid overinvestment?

Yes, yes and yes.

That was it?

I think there were 3 questions and the answer is, well, actually, no, there's no risk that we're going to overinvest. We're not idiots, right? But yes, we're going to be super savvy on collaborating with others, looking for the best ways to have a good industry structure around infra as well.

All right. Last question from my end. We have 2 more minutes. It seems as if the cash flow you're growing for -- cash flow you're growing for market share, monetizing data consumption, et cetera, what would be the key message as you start to think of -- the markets are looking into 2022, what would be the key message for Millicom in terms of what are the priorities for 2022?

Yes. So I will focus on 3 things. We got subscriber intake. And as a result of that, we got revenue growth in the system. You're seeing that. The 2 key things that I would everybody -- that I would ask everybody to focus are the same things that we're focused on, operating cash flow and operating cash flow growth and equity free cash flow. Equity free cash flow, we just did a transaction that really makes us cash flow rich and be [ accretive ] free cash flow now. Everybody can do the math, and we've already talked about that. Operating cash flow, we now got revenue growth in the system, and we have operating cash flow margins that are 20% to 25%, right in the middle actually. We're at 22.5% today, best or close to best in class. When you have the revenue growth that we now have, coupled with that level of cash flow margin or operating cash flow leverage, you got operating cash flow growth in the system. For many years, I said, look at us generating 10% operating cash flow growth. I can look at you straight in the eye today and say it's around the quarter.

Crystal clear. It's 1:59, Mauricio. We are top of the hour. Thank you so much for taking the time to meet with us. It was very informative and congratulations on the execution and especially on the Guatemala transaction that everybody seems to like. Thanks again for your time to everybody that joined. Thank you so much, and you may now disconnect.

Thank you. Thank you, everybody.

Thanks.