Denis O’Brien’s Digicel has warned that an economic and security crisis in Haiti is having a significant impact on its business there.
The company has activated emergency protocols to protect employees and their families and to ensure business continuity.
In a note to bond investors, Digicel said that while the financial impact remains difficult to predict, its earnings (Adjusted EBITDA) in Haiti for the six-month period ended March 31, 2023 are between $25 million and $35 million by comparison could be up to $74 million in the previous half year.
Digicel said the current security situation in Haiti has deteriorated significantly after fuel subsidies were lifted in September 2022, leading to public unrest, violence and significant disruption to economic activity.
“Digicel is working hard to ensure key sites are operating as effectively as possible in terms of traffic and population coverage, despite up to 50 percent of its national telecommunications network being affected by disruptions at any given time.”
Digicel Chairman Denis O’Brien said: “Our thoughts are with the people of Haiti who are suffering extreme community and societal impacts.
“In times like these, our priorities are our colleagues and our customers. As such, we have activated our emergency protocols to ensure the safety of our employees and their families and to ensure business continuity.”
The group said it would provide another update on Haiti’s trading conditions in its call for second-quarter results, which will take place on November 29, 2022.
https://www.independent.ie/business/irish/digicel-warns-investors-on-significant-costs-of-haiti-unrest-42136030.html Digicel warns investors of significant cost of unrest in Haiti