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Digicel Haiti ‘significantly impacted’ by security situation, group admits

14 Nov 2022

Digicel Group Holdings Limited (DGHL) has issued a press release detailing current trading conditions in Haiti and the impact they are having on its business. The Jamaica-based group explains: ‘The current security situation in Haiti has deteriorated considerably following a lifting of fuel subsidies in September 2022 resulting in public unrest, violence and substantial disruption to economic activity.’

Digicel continues: ‘In addition to the very regrettable community and societal impacts, ongoing disruption to the country’s daily operations and particularly fuel supplies, has had a substantial impact on economic activity and Digicel’s operations in Haiti which depend on fuel to operate much of its network. Digicel is working hard to ensure that key sites in terms of traffic and population coverage are operating as effectively as possible, though as much as 50% of its national telecommunications network is experiencing disruption at any given time.’

While it is difficult to forecast given the uncertainty in the market and fluctuations in the exchange rate, Digicel estimates the financial impact on Digicel Haiti in H2 FY23 (the six-month period ended 31 March 2023) will be significant. On a reported basis, assuming recent trends, Digicel estimates Adjusted EBITDA in Haiti will be in the region of USD25 million-USD35 million, compared to USD74 million in the prior half year. The group is due to publish its Q2 FY23 results on 29 November 2022.

Haiti, Digicel Group, Digicel Haiti

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