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IHS Holding to Report Q1 Earnings: What's in Store for the Stock?

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IHS Holding Limited (IHS - Free Report) is set to report first-quarter 2025 results on May 20, before the opening bell. In the last reported quarter, the company delivered an earnings surprise of 812.5%.

IHS Holding is expected to report a top-line expansion year over year, backed by strong demand for its communication infrastructure solutions. Growing demand for high-speed reliable connectivity, backed by greater usage of high-bandwidth intensive applications, is driving demand for IHS Holding’s solutions. The company’s initiative to explore new revenue-generating opportunities in fiber, Distributed Antenna Systems, small cells and data centers is a positive factor.

Factors at Play for IHS’ Q1 Results

IHS Tower has been benefiting from healthy demand for its communication infrastructure services across the emerging markets of Africa and Latin America. Surge in mobile adoption and usage of high bandwidth applications has been forcing mobile network operators to improve network coverage, capacity and enhance their network with advanced technologies. This has been propelling growth for IHS Holding’s colocations. Apart from strong market presence in Nigeria, the company has been witnessing solid momentum in SSA (South Africa, Cameroon and other countries) backed by the addition of new tenants.

IHS Brazil’s neutral infrastructure model has been expediting 5G implementation across dense urban environments. Its distributed antenna systems have been gaining traction in critical locations such as shopping centers, subways and airports. The company completed the deployment of DAS infrastructure in São Paulo Metro, serving 630,000 people daily with reliable 5G. 

The company has also been investing in base transceiver stations, fiber connectivity and building telecom towers to generate more colocation opportunities. These factors are expected to have a favorable impact on first-quarter earnings.

For the March quarter, the Zacks Consensus Estimate for revenues is pegged at $421.26 million, indicating an increase from $417.74 million reported in the year-ago quarter. The consensus estimate for adjusted earnings per share is pegged at 17 cents.

Earnings Whispers for IHS

Our proven model does not conclusively predict an earnings beat for IHS Holding this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. That is not the case here.

IHS’ Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

IHS Holding Limited Price and EPS Surprise

IHS Holding Limited Price and EPS Surprise

IHS Holding Limited price-eps-surprise | IHS Holding Limited Quote

IHS’ Zacks Rank: IHS Holding sports a Zacks Rank #1 at present.

Stocks to Consider

The Earnings ESP for Applied Materials (AMAT - Free Report) is +1.94% and carries a Zacks Rank of 3 currently. You can see the complete list of today’s Zacks #1 Rank stocks here. The company is scheduled to report quarterly numbers on May 15.

Cisco Systems (CSCO - Free Report) has an Earnings ESP of +1.78% and a Zacks Rank of 3 currently. The company is scheduled to report quarterly numbers on May 14. 

Autodesk (ADSK - Free Report) has an Earnings ESP of +0.05% and a Zacks Rank of 3 currently. The company is scheduled to report quarterly numbers on May 22.

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