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Helios Towers surges as it tightens FY guidance, launches $75m share buyback

(Sharecast News) - Infrastructure firm Helios Towers surged on Thursday as it tightened its full-year guidance upwards and announced the next phase of its strategy, which includes the launch of a $75m share buyback. For 2025, the group now expects around 2,500 tenancy additions, versus previous guidance of 2,000 to 2,500. In addition, adjusted earnings before interest, tax, depreciation and amortisation are now seen at around $470m, compared to prior guidance of $460m to $470m.

Capital expenditure guidance was narrowed to between $160m and $180m, from $150m to $180m.

Helios also said it now expects free cash flow to exceed $60m, versus previous guidance of $40m to $60m.

In its update for the nine months to 30 September, the company said revenue and adjusted EBITDA rose 9% and 11% year-on-year respectively, driven by strong tenancy growth.

Operating profit was up 11% year-on-year to $211.2m, driven by the increase in adjusted EBITDA growth, partially offset by higher depreciation, it said.

Chief executive Tom Greenwood said: "I am delighted with our performance so far in 2025 and excited about what lies ahead. Our structurally high-growth markets, coupled with our relentless focus on customer experience excellence, have driven continued tenancy growth and an expansion in tenancy ratio - approaching our 2026 target of 2.2x tenants per site more than a year early.

"This has translated into robust financial performance year-to-date, with double-digit adjusted EBITDA growth and a $70m expansion in free cash flow. As a result, we have tightened upwards our full-year expectations for tenancies, adjusted EBITDA, and free cash flow.

"Furthermore, we are now entering our next strategic phase - IMPACT 2030 - where we are targeting continued strong organic growth and returning, through share buybacks and dividends, more than $400 million to investors through to 2030. We begin that journey today, with the launch of a $75 million share buyback program running through to the end of 2026."

Helios will outline details of IMPACT 2030 at its capital markets day later on Thursday.

At 0935 GMT, the shares were up 15.5% at 179.06p.

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Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

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