Luxembourg-based mobile operator Millicom (Nasdaq: MICC) is optimistic the macro-economic situation in Central America is improving after a difficult 2009, CEO Miguel Grahne told a conference call with investors.

In general, Central America saw 15% growth in customers to 13.2mn in the first quarter of 2010. Revenues fell 1% year-on-year to US$322mn.

Grahne commented that Arpu in Central America was affected by continuing negative trends on remittances, rising taxes in El Salvador and Honduras, a continued decline in incoming international calls and a reduction in interconnect rates in El Salvador from US$0.18 to US$0.08.

But the executive said Millicom is optimistic that the macro-economic situation seems to have stabilized as currency depreciation against the dollar in some countries has slowed up compared to 2009.

“So it’s more signs like this than any concrete macro-economic data,” Grahne said.

South America saw 17% growth to 9.03mn customers year-on-year. Bolivia recorded the highest year-over-year customer increase, up 30% to 2.1mn, while Colombia and Paraguay saw 14% and 12% customer additions, respectively.

Revenues rose 32% to US$312mn, benefitting from a positive currency translation effect in the quarter, mainly as a result of the strength of the Colombian peso.

Millicom’s Central American internet and TV assets it purchased in 2008 – Navega and Amnet – saw consistent growth, and positive cash flow is expected this year. With respect to those two assets, revenues rose 9% in the quarter and Ebitda rose 14%, with a margin of 47.7%.

Globally, Millicom posted a net profit of US$156mn in the quarter, up 11% from US$140mn in the year-previous quarter. Revenues were up 16% to US$905mn in 1Q10 compared to the same period last year. Customers rose 21% to 35.1mn.

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