Latest news with #OIBDA
Yahoo
5 days ago
- Business
- Yahoo
Liberty Broadband Corp (LBRDA) Q2 2025 Earnings Call Highlights: Strong OIBDA Growth Amidst ...
Total Revenue: $261 million, representing 6% growth in the second quarter. Adjusted OIBDA: $108 million, increased 26% year-over-year. Consumer Revenue: Declined 2% to $119 million. Consumer Wireless Revenue: Increased 6% to $51 million. Consumer Gross Margin: 70.6%, relatively flat compared to the same period last year. Business Revenue: Grew 14% to $142 million. Business Gross Margin: Increased to 81.7%. Free Cash Flow: $153 million on a trailing 12-month basis. Net Debt Reduction: Reduced by $86 million, bringing total leverage down to 2.3 times. Capital Expenditures: $51 million during the quarter; year-to-date approximately $100 million. Cash, Cash Equivalents, and Restricted Cash: $117 million at quarter end. Total Principal Amount of Debt: Approximately $1 billion. Warning! GuruFocus has detected 4 Warning Sign with LBRDA. Release Date: August 07, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Liberty Broadband Corp (NASDAQ:LBRDA) successfully completed the spinoff of GCI Liberty, allowing it to operate as a standalone public company. The company achieved a record last 12 months OIBDA of $405 million as of the second quarter. Liberty Broadband Corp (NASDAQ:LBRDA) successfully refinanced its senior credit facility, extending maturities to 2030 and 2031, and reduced net debt by $86 million. The Supreme Court favorably resolved the USF challenge, leading to an improved credit rating from S&P. The company is making significant progress in network infrastructure, offering 2.5 gigabit broadband connectivity and planning to roll out DOCSIS 4.0 capable upgrades. Negative Points Liberty Broadband Corp (NASDAQ:LBRDA) experienced a 3% decline in data subscribers year over year, losing 1,300 data subscribers during the quarter. The elimination of the ACP program in 2024 and competition from Starlink and wireless substitution contributed to the decline in data subscribers. Consumer revenue declined by 2% to $119 million, driven by a decline in data revenue and the video segment. The company expects a slowdown in adjusted OIBDA growth in the second half of the year due to the full lapping of the upsell cycle in schools. The Alaska economy remains flat with a declining workforce, and the state government faces challenges due to a lack of a credible fiscal plan. Q & A Highlights Q: Can you elaborate on your acquisition strategy, particularly in the context of the Alaska telecom environment? Are you considering acquisitions outside of Alaska or your current industry? A: Ron Duncan, President and CEO, explained that while there are limited attractive acquisition opportunities of scale within Alaska, any acquisition strategy would likely focus outside the state. The strategy would leverage GCI's financial resources and tax assets rather than its operating resources. As GCI is a newly public company, they are still developing their list of acquisition targets and strategic priorities. Q: What are your plans for expanding 5G wireless service in Alaska? A: Ron Duncan stated that GCI plans to provide 5G wireless service to all Alaskans over the coming years. The FCC's new Alaska Connect Fund will extend the Alaska plan and increase support, aiding in the deployment of 5G wireless throughout the state. Q: How is GCI addressing the decline in data subscribers, and what impact has the elimination of the ACP program had? A: Ron Duncan noted that the decline in data subscribers is largely due to the elimination of the ACP program in 2024, a fiber break on a third-party network, Starlink competition, and wireless substitution. GCI is focusing on improving infrastructure and offering competitive broadband services to address these challenges. Q: Can you provide more details on the financial impact of exiting the video business? A: Brian Wendling, Chief Accounting Officer and Principal Financial Officer, mentioned that GCI remains on track to fully exit the video business by the end of the calendar year. This move will allow the company to focus on products and services that customers need, with minimal impact on revenue or cost of goods sold, and an immaterial effect on free cash flow and OIBDA. Q: What are the expectations for GCI's financial performance in the second half of the year? A: Brian Wendling indicated that GCI expects a slowdown in adjusted OIBDA growth in the latter half of the year, partially due to fully lapping the upsell cycle in schools that began in the third quarter of 2024. However, the outlook remains favorable, with anticipated cash flow acceleration due to USAC approval for a significant amount of services. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Business Wire
6 days ago
- Business
- Business Wire
GCI Liberty Reports Second Quarter 2025 Financial Results
ENGLEWOOD, Colo.--(BUSINESS WIRE)--GCI Liberty, Inc. ('GCI Liberty') (Nasdaq: GLIBA, GLIBK) today reported second quarter 2025 results. Headlines include (1): Spin-off of GCI Liberty from Liberty Broadband completed July 14 th GCI (2) grew revenue 6% to $261 million, generated operating income of $51 million and increased Adjusted OIBDA (3) 26% to $108 million GCI Consumer revenue decreased 2% GCI Business revenue increased 14% GCI generated net cash provided by operating activities of $342 million and free cash flow of $153 million over the trailing twelve months ended June 30, 2025 (3) Consumer cable modem subscribers declined 3% to 154,500 and consumer wireless lines in service grew 1% to 207,000 On June 27 th, the Supreme Court ruled in favor of upholding the constitutionality of the Universal Service Fund ('USF') 'GCI delivered strong results during the quarter, reflecting our operating progress and breadth of connectivity services,' said GCI Liberty CEO, Ron Duncan. 'The strength of our business translated into solid revenue and Adjusted OIBDA growth, which also reflects benefits from last year's healthcare and education upgrade cycle and efficiencies in our cost structure that we are actively managing. Importantly, we were very pleased with the Supreme Court's ruling in late June upholding the Universal Service Fund. This provides clarity for GCI to continue the critical work of bridging the digital divide and ensuring high quality connectivity across rural communities in Alaska.' Corporate Update On July 14, 2025, Liberty Broadband Corporation ('Liberty Broadband') completed the spin-off of the GCI business into a new entity called GCI Liberty. Holders of Liberty Broadband common stock received 0.2 of a share of the relevant series of GCI Liberty common stock per share of the corresponding series of Liberty Broadband common stock held. GCI Liberty consists of its wholly-owned subsidiaries, GCI, LLC, GCI Holdings, LLC ('GCI Holdings' or 'GCI') and their subsidiaries. GCI Holdings provides data, mobile, voice and managed services to consumer, business, government and carrier customers throughout Alaska. Additional information regarding the spin-off can be found in the prospectus filed by GCI Liberty with the Securities and Exchange Commission on July 2, 2025. Discussion of Results The following table provides the financial results and operating metrics of GCI Liberty for the second quarters of 2024 and 2025. _______________ (a) See reconciling schedule 1. Expand GCI revenue increased 6% in the second quarter of 2025. Business revenue increased 14% due to the continued strong upgrade cycle in schools and healthcare corporations in remote Alaska which began in the third quarter of 2024. Consumer revenue decreased 2%, driven primarily by data subscriber losses related to the termination of the Affordable Connectivity Program ('ACP') in 2024 as well as declines in the video business, partially offset by growth in wireless. GCI remains on track to fully exit the video business by the end of 2025. Operating income increased $21 million and Adjusted OIBDA increased $22 million in the second quarter in line with higher revenue and lower operating expenses. Operating expenses decreased primarily due to lower distribution costs for healthcare, education and consumer customers, some of which related to temporary cost savings from a fiber break on a third-party network in which GCI uses capacity. Selling, general and administrative expense decreased 4% primarily due to a decrease in external labor costs. Year to date, GCI has spent $100 million, net, on capital expenditures. Capital expenditure spending was related primarily to improvements to the wireless and data networks in rural Alaska. GCI's net capital expenditures for the full year 2025 are expected to be approximately $250 million related to additional investments in middle and last mile connectivity, with continued network expansion in GCI's most important markets in rural Alaska including the Bethel and AU-Aleutians fiber projects. A significant portion of the increased capital expenditures in 2025 are related to fulfilling the build-out requirements of the Federal Communications Commission's Alaska Plan, which is expected to be completed by the end of 2026. On a trailing twelve-month basis through the second quarter of 2025, net cash provided by operating activities totaled $342 million and free cash flow over the same period was $153 million. _______________ (a) A cable modem subscriber is defined by the purchase of cable modem service regardless of the level of service purchased. If one entity purchases multiple cable modem service access points, each access point is counted as a subscriber. Small-to-Medium Business customers are included. (b) A wireless line in service is defined as a wireless device with a monthly fee for services. Small-to-Medium Business customers are included. Expand GCI Consumer revenue totaled $119 million in the second quarter of 2025, a 2% decrease compared to the prior period. The decrease was driven primarily by a decline in data and video revenue, offset by strength in wireless. Data revenue totaled $60 million, a 5% decrease, driven by the loss of data subscribers including the impact of the discontinuation of the ACP program in 2024. Consumer cable modem subscribers declined 3% year-over-year bringing total consumer cable modem customers to 154,500. During the second quarter of 2025, GCI lost 1,300 consumer cable modem subscribers. Subscriber growth in rural areas has been adversely impacted by an outage from a fiber break on a third-party network in which GCI uses capacity. Wireless revenue totaled $51 million, a 6% increase, driven by growth in wireless subscribers and an increase in federal wireless subsidies. Consumer wireless lines grew 1% year-over-year, bringing total consumer wireless lines to 207,000. During the second quarter of 2025, GCI added 4,700 consumer wireless lines. GCI Consumer gross margin was 70.6% in the second quarter of 2025, a 40 bps increase from the same quarter last year. GCI Consumer direct costs decreased 3% in the second quarter of 2025, driven by temporary cost savings from a fiber break on a third-party network in which GCI uses capacity. GCI Business GCI Business revenue totaled $142 million in the second quarter of 2025, a 14% increase compared to the prior period. The increase was driven primarily by strength in data, with an 18% increase in total revenue of $125 million, driven by the continued strong upgrade cycle in schools and healthcare corporations in remote Alaska which began in the third quarter of 2024. Wireless revenue totaled $10 million, a decrease of $2 million or 17%. GCI Business gross margin was 81.7% in the second quarter of 2025, a 730 bps increase from the same quarter last year. GCI Business direct costs decreased 19% in the second quarter of 2025, driven primarily by temporary cost savings from a fiber break on a third-party network in which GCI uses capacity. FOOTNOTES 1) Unless otherwise noted, highlights compare financial information for the three months ended June 30, 2025 to the same period in 2024. GCI Liberty will discuss these highlights and other matters on GCI Liberty's earnings conference call that will begin at 11:15 a.m. (E.T.) on August 7, 2025. For information regarding how to access the call, please see 'Important Notice' later in this document. 2) GCI Liberty's principal operating asset is GCI Holdings, which provides data, mobile, voice and managed services to consumer, business, government and carrier customers throughout Alaska. 3) For a definition of Adjusted OIBDA, Adjusted OIBDA margin and free cash flow and applicable non-GAAP reconciliations, see the accompanying schedule 1. Expand NOTES Cash and Debt The following presentation is provided to separately identify cash, cash equivalents, restricted cash and debt of GCI Liberty as of March 31, 2025 and June 30, 2025. _______________ (a) Principal amount of Senior Notes. (b) Includes the Wells Fargo Note Payable and current and long-term obligations under tower obligations and finance leases. (c) As defined in GCI's credit agreement. Expand GCI Liberty cash, cash equivalents and restricted cash decreased $32 million in the second quarter of 2025 primarily due to capital expenditures net of grant proceeds and net repayments of debt, partially offset by cash from operations. GCI Liberty debt decreased $86 million in the second quarter due to the paydown of debt under GCI's senior credit facility. In March 2025, GCI refinanced its existing $550 million revolving credit facility due October 2026 with a new $450 million revolving credit facility maturing in March 2030 and its existing $250 million Term Loan A due October 2027 with a new $300 million Term Loan A maturing in March 2031. As of June 30, 2025, GCI's credit facility has undrawn capacity of $377 million (net of letters of credit), and GCI's leverage as defined in its credit agreement is 2.3x. Prior to the spin-off, $10 million of non-voting preferred stock of GCI Liberty was issued to Liberty Broadband and then sold by Liberty Broadband to third party buyers. The non-voting preferred stock is issued by GCI Liberty, has a 12% dividend rate and $1,000 per share liquidation price plus accrued and unpaid dividends. The mandatory redemption date is July 14, 2032. Important Notice: GCI Liberty (Nasdaq: GLIBA, GLIBK) will discuss GCI Liberty's earnings release on a conference call which will begin at 11:15 a.m. (E.T.) on August 7, 2025. The call can be accessed by dialing (877) 407-3944 or (412) 902-0038, passcode 13749438, at least 10 minutes prior to the start time. The call will also be broadcast live across the Internet and archived on our website. To access the webcast, go to Links to this press release and replays of the call will also be available on GCI Liberty's website. This press release includes certain forward-looking statements under the Private Securities Litigation Reform Act of 1995, including statements about business strategies, market potential, future financial prospects and capital expenditures. These forward-looking statements involve many risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements, including, without limitation, competitive issues, customer demand, economic conditions (including inflationary pressures), regulatory and legislative matters affecting our businesses, our ability to obtain or maintain roaming services and necessary communications equipment and our ability to obtain additional financing on terms acceptable to GCI Liberty. These forward-looking statements speak only as of the date of this press release, and GCI Liberty expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained herein to reflect any change in GCI Liberty's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. Please refer to the publicly filed documents of GCI Liberty, including the prospectus filed on July 2, 2025 with the Securities and Exchange Commission, as part of GCI Liberty's Registration Statement on Form S-1 (File No. 333-286272), and the most recent Form 10-Q, for additional information about GCI Liberty and about the risks and uncertainties related to GCI Liberty which may affect the statements made in this press release. NON-GAAP FINANCIAL MEASURES SCHEDULE 1 To provide investors with additional information regarding our financial results, this press release includes a presentation of Adjusted OIBDA and trailing twelve months of free cash flow, which are non-GAAP financial measures, for GCI Liberty together with reconciliations to operating income and net cash provided by operating activities, respectively, as determined under GAAP, as well as Adjusted OIBDA margin. GCI Liberty defines Adjusted OIBDA as operating income (loss) plus depreciation and amortization, stock-based compensation, separately reported litigation settlements, restructuring and impairment charges. GCI Liberty defines Adjusted OIBDA margin as Adjusted OIBDA divided by revenue. GCI Liberty defines free cash flow as net cash provided by operating activities less capital expenditures net of grant proceeds received for capital expenditures. GCI Liberty believes Adjusted OIBDA and free cash flow are important indicators of the operational strength and performance of its business by identifying those items that are not directly a reflection of business performance or indicative of ongoing business trends. In addition, these measures allow management to assess GCI Liberty's performance, its ability to service its debt, fund operations and make additional investments with internally generated funds, perform analytical comparisons, and identify strategies to improve performance. GCI Liberty believes presenting free cash flow on a trailing twelve month basis more accurately demonstrates the company's liquidity profile by minimizing seasonal fluctuations, particularly around timing of USF cash receipts. Because Adjusted OIBDA and free cash flow are used as measures of operating performance and liquidity, respectively, GCI Liberty views operating income and net cash provided by operating activities, respectively, as the most directly comparable GAAP measures. Adjusted OIBDA and free cash flow are not meant to replace or supersede operating income, net cash provided by operating activities or any other GAAP measure, but rather to supplement such GAAP measures in order to present investors with the same information that GCI Liberty's management considers in assessing the results of operations and performance of its assets. Please see the table below for applicable reconciliations. The following table provides a reconciliation of GCI Liberty's operating income to Adjusted OIBDA for the three months ended June 30, 2024 and June 30, 2025 and net cash provided by operating activities to free cash flow for the twelve months ended June 30, 2025. Twelve months ended (amounts in millions) 6/30/2025 Net cash provided by (used in) operating activities $ 342 Capital expenditures (243 ) Grant proceeds 54 Free cash flow $ 153 Expand GCI LIBERTY, INC. CONDENSED COMBINED BALANCE SHEET INFORMATION (unaudited) June 30, December 31, 2025 2024 amounts in millions Assets Current assets: Cash and cash equivalents $ 104 74 Trade and other receivables, net of allowance for credit losses of $4 and $4, respectively 124 184 Prepaid and other current assets 48 61 Total current assets 276 319 Property and equipment, net 1,184 1,150 Intangible assets not subject to amortization Goodwill 746 746 Cable certificates 550 550 Other 41 41 1,337 1,337 Intangible assets subject to amortization, net 392 411 Other assets, net 165 165 Total assets 3,354 3,382 Liabilities and Equity Current liabilities: Accounts payable and accrued liabilities 98 110 Deferred revenue 24 21 Current portion of debt 4 3 Other current liabilities 68 58 Total current liabilities 194 192 Long-term debt, net 983 1,066 Obligations under tower obligations and finance leases 70 72 Long-term deferred revenue 130 113 Deferred income tax liabilities 353 359 Other liabilities 129 151 Total liabilities 1,859 1,953 Redeemable noncontrolling interest in equity of subsidiary 18 15 Equity Member's investment 1,778 1,777 Retained earnings (deficit) (301 ) (363 ) Total equity 1,477 1,414 Commitments and contingencies Total liabilities and equity $ 3,354 3,382 Expand GCI LIBERTY, INC. CONDENSED COMBINED STATEMENT OF OPERATIONS INFORMATION (unaudited) Three months ended June 30, 2025 2024 amounts in millions, except per share amounts Revenue $ 261 246 Operating costs and expenses: Operating expense (exclusive of depreciation and amortization) 128 134 Selling, general and administrative expense (including stock-based compensation) 30 30 Depreciation and amortization 52 52 210 216 Operating income (loss) 51 30 Other income (expense): Interest expense (including amortization of deferred loan fees) (12 ) (13 ) Other, net 2 2 (10 ) (11 ) Earnings (loss) before income taxes 41 19 Income tax benefit (expense) (14 ) (6 ) Net earnings (loss) $ 27 13 Pro forma net earnings (loss) attributable to Series A, Series B and Series C GCI Group shareholders per common share $ 0.94 NA Expand GCI LIBERTY, INC. CONDENSED COMBINED STATEMENT OF CASH FLOWS INFORMATION (unaudited) Six months ended June 30, 2025 2024 amounts in millions Cash flows from operating activities: Net earnings (loss) $ 62 33 Adjustments to reconcile net earnings (loss) to net cash from operating activities: Depreciation and amortization 105 102 Stock-based compensation 7 7 Deferred income tax expense (benefit) (6 ) 11 Other, net (2 ) (2 ) Change in operating assets and liabilities: Current and other assets 92 39 Payables and other liabilities (32 ) (28 ) Net cash provided by (used in) operating activities 226 162 Cash flows from investing activities: Capital expenditures (119 ) (123 ) Grant proceeds received for capital expenditures 19 19 Other investing activities, net 6 — Net cash provided by (used in) investing activities (94 ) (104 ) Cash flows from financing activities: Borrowings of debt 691 130 Repayments of debt, tower obligations and finance leases (775 ) (82 ) Contributions from (distributions to) member — (150 ) Other financing activities, net (6 ) — Net cash provided by (used in) financing activities (90 ) (102 ) Net increase (decrease) in cash, cash equivalents and restricted cash 42 (44 ) Cash, cash equivalents and restricted cash, beginning of period 75 97 Cash, cash equivalents and restricted cash, end of period $ 117 53 Expand
Business Wire
6 days ago
- Business
- Business Wire
Liberty Latin America Reports Q2 and H1 2025 Results
DENVER, Colorado--(BUSINESS WIRE)--Liberty Latin America Ltd. ('Liberty Latin America' or 'LLA') (NASDAQ: LILA and LILAK, OTC Link: LILAB) today announced its financial and operating results for the three months ('Q2') and six months ("YTD" or "H1 2025") ended June 30, 2025. CEO Balan Nair commented, 'Our second quarter results built upon Q1 momentum, as we delivered continued growth in both fixed and postpaid mobile subscribers. We added approximately 45,000 net organic broadband and postpaid additions across Liberty Caribbean, C&W Panama and Liberty Costa Rica, taking H1 additions to just over 100,000 for these operating segments.' 'Our cost reduction activities across the Group have enabled us to benefit from considerable operating leverage. This is reflected in LLA reporting 7% and 8% YoY rebased Adjusted OIBDA growth in Q2 and H1, respectively. Of note in the quarter, Liberty Caribbean delivered 11% YoY rebased Adjusted OIBDA growth, on the back of efficiency initiatives. Additionally, as we have indicated in prior quarters, we have been hard at work in Liberty Puerto Rico, and the local team has begun to stabilize the business, driving 21% YoY rebased Adjusted OIBDA growth and sequential improvement from Q1. LLA's YoY rebased revenue growth was impacted by a challenging comparable measure due to higher project-related B2B revenue in the prior-year period. We expect B2B to be a catalyst for better momentum in H2.' 'Today, at LLA, we believe our share price is not reflective of our growth potential or the value of our underlying businesses. In order to unlock this value for our shareholders, we intend to separate Liberty Puerto Rico from LLA, which could take one of many forms, including a spin-off. It is critical that Liberty Puerto Rico has a strong and sustainable capital structure going forward and we are working hard to achieve that desired outcome. With respect to Liberty Puerto Rico's liquidity, we expect that the business will utilize its own assets to raise any required incremental capital. We look forward to providing updates as we execute our plans.' 'Following separation, our two remaining credit silos at LLA, which consist of Cable & Wireless (Liberty Caribbean, Liberty Networks & C&W Panama) and Liberty Costa Rica, benefit from strong investments in fixed and mobile infrastructure. They have competitive positions in attractive markets and a unique subsea and terrestrial fiber network spanning the Caribbean and Central America. We believe this group of businesses will be positioned for continued Adjusted OIBDA growth and will generate substantial cash flow over time, on a much less levered balance sheet than LLA today. This should support an attractive capital return policy via recurring dividend and/or stock repurchases.' Business Highlights Financial and Operating Highlights Amounts may not recalculate due to rounding. Rebased growth rates are a non-GAAP measure. The indicated growth rates are rebased for the estimated impacts of FX, an acquisition and a disposal. See Non-GAAP Reconciliations section. Consolidated Adjusted OIBDA is a non-GAAP measure. For the definition of Adjusted OIBDA and required reconciliations, see Non-GAAP Reconciliations section. Adjusted Free Cash Flow ('Adjusted FCF') is a non-GAAP measure. For the definition of Adjusted FCF and required reconciliations, see Non-GAAP Reconciliations section. See Glossary for the definition of RGUs and mobile subscribers. Organic figures exclude RGUs and mobile subscribers of acquired entities at the date of acquisition and other non-organic adjustments, but include the impact of changes in RGUs and mobile subscribers from the date of acquisition. All subscriber / RGU additions or losses refer to net organic changes, unless otherwise noted. Refer to the quarterly subscriber variance table for discussion about non-organic adjustments in Q2 2025 at Liberty Puerto Rico. The Q1 2025 fixed customers, RGUs balance and organic changes presented in this table have been adjusted for comparability purposes. Revenue Highlights The following table presents (i) revenue of each of our segments and corporate operations for the periods indicated and (ii) the percentage change from period-to-period on both a reported and rebased basis: N.M. – Not Meaningful. Reported revenue for the three and six months ended June 30, 2025 was 3% and 2% lower as compared to the corresponding prior-year periods, respectively. Reported revenue in Q2 and H1 2025 was lower primarily driven by a reduction in all segments besides Liberty Costa Rica. Q2 2025 Revenue Growth – Segment Highlights Liberty Caribbean: revenue declined 1% and was flat year-over-year on a reported and rebased basis, respectively. Mobile residential revenue increased by 5% on a reported basis and 6% on a rebased basis, year-over-year. Performance was mainly driven by higher prepaid ARPU following price increases, primarily in Jamaica, and 41,000 net organic postpaid subscriber additions over the last twelve months. Fixed residential revenue declined by 2% on a reported basis and 1% on a rebased basis, year-over-year, driven by lower volumes mainly due to the impact of Hurricane Beryl in Q3 2024 and a drop in non-subscription revenue, which more than offset the increase in ARPU. B2B revenue was 3% lower on both a reported and rebased basis, year-over-year. The rebased decline was mainly driven by higher project revenue in the previous year's period, which more than offset a strong performance in mobile services in a number of markets. C&W Panama: revenue declined by 10% on a reported and rebased basis, year-over-year. Mobile residential revenue grew by 6% on both a reported and rebased basis, year-over-year, fueled by the net effect of (i) subscription revenue growth following the net organic addition of 26,000 postpaid subscribers over the last twelve months, (ii) higher equipment sales, driven by growth in both volume and unit pricing and (iii) the negative impact of nationwide protests principally impacting the prepaid business. Fixed residential revenue was flat on a reported basis and up 2% on a rebased basis, year-over-year, driven by broadband RGU net organic additions supported by continuous commercial momentum and churn management initiatives. B2B revenue fell by 30% on both a reported and rebased basis, year-over-year, primarily reflecting an exceptionally strong project revenue performance in the prior-year period, along with reduced contributions this year due to delays in project approvals. Liberty Networks: revenue declined by 4% and 3% year-over-year on a reported and rebased basis, respectively. The rebased decrease was mainly attributable to lower Wholesale revenue, reflecting a higher level of non-cash IRU revenue acceleration in the same quarter last year, partially offset by new lease capacity sales. In Enterprise, gains in IT-as-a-Service and connectivity revenue were more than offset by a reduction in project-related revenue. Liberty Puerto Rico: revenue was 2% and 5% lower on a reported and rebased basis, respectively, year-over-year. The rebased comparison includes the acquisition of EchoStar's Puerto Rico and USVI prepaid mobile customer base on September 3, 2024, which contributed approximately $9 million of revenue in each of the current and corresponding prior-year quarters. Residential fixed revenue declined by 1% on both a reported and rebased basis, year-over-year, primarily due to higher ARPU from price increases implemented in February 2025 more than offset by a reduction in the subscriber base, including the impact related to the end of the ACP program. Residential mobile revenue was 4% higher and 3% lower compared to the prior-year period on a reported and rebased basis, respectively. The rebased decline was largely driven by a reduction in postpaid mobile subscribers, year-over-year, impacted by disruption related to the migration of customers to our mobile network. Prepaid revenue remained stable over the period while non-subscription revenue saw an increase. B2B revenue declined by 18% year-over-year on both a reported and rebased basis, reflecting (i) lower service revenue resulting from a smaller subscriber base impacted by migration challenges and (ii) reduced mobile ARPU. Sequentially in Puerto Rico, revenue grew by 1% on a reported basis driven by residential revenue gains, including an increase in roaming, partly offset by lower FCC and B2B revenue. Postpaid churn continues to trend favorably while the introduction of our new postpaid customer value proposition, Liberty Mix, in July should help to support momentum in the second half of the year. Liberty Costa Rica: revenue grew by 3% on a reported basis and 1% on a rebased basis, year-over-year. Rebased growth was driven by higher mobile revenue, primarily due to postpaid subscriber growth and higher mobile equipment sales, as well as an increase in fixed non-subscription revenue, which more than offset continued ARPU headwinds on residential fixed subscription revenue. Operating Income (Loss) We reported operating income (loss) of $(333) million and $111 million for the three months ended June 30, 2025 and 2024, respectively, and $(205) million and $204 million for the six months ended June 30, 2025 and 2024, respectively. We experienced operating losses during the three and six months ended June 30, 2025, as compared with operating income for the corresponding periods in 2024, primarily due to a $494 million impairment associated with spectrum license intangible assets at Liberty Puerto Rico. The impacts of this impairment during the three and six months ended June 30, 2025 were partially offset by increases in Adjusted OIBDA. Adjusted OIBDA Highlights The following table presents (i) Adjusted OIBDA of each of our reportable segments and our corporate category for the periods indicated and (ii) the percentage change from period-to-period on both a reported and rebased basis: June 30, June 30, in millions, except % amounts Liberty Caribbean $ 173.8 $ 157.0 11 11 $ 347.1 $ 307.6 13 13 C&W Panama 68.6 64.8 6 6 133.2 121.6 10 10 Liberty Networks 60.8 63.1 (4 ) (3 ) 118.7 122.3 (3 ) (3 ) Liberty Puerto Rico 87.0 71.1 22 21 168.5 140.2 20 18 Liberty Costa Rica 54.0 53.4 1 — 112.9 111.7 1 (1 ) Corporate (29.2 ) (20.3 ) (44 ) (44 ) (58.8 ) (40.1 ) (47 ) (47 ) Total $ 415.0 $ 389.1 7 7 $ 821.6 $ 763.3 8 8 Operating income (loss) margin (30.6 )% 9.9 % (9.4 )% 9.2 % Adjusted OIBDA margin 38.2 % 34.8 % 37.9 % 34.4 % Expand Reported Adjusted OIBDA for the three and six months ended June 30, 2025 increased by 7% and 8%, respectively, as compared to the corresponding prior-year periods. Reported Adjusted OIBDA increased in Q2 and H1 2025 driven by growth across Liberty Caribbean, Liberty Puerto Rico and C&W Panama. Ongoing commitment to cost efficiency, notably in Liberty Caribbean. Q2 2025 Adjusted OIBDA Growth – Segment Highlights Liberty Caribbean: Adjusted OIBDA rose by 11% on both a reported and rebased basis, year-over-year. Our Adjusted OIBDA margin improved by 480 basis points year-over-year to 47%, reflecting (i) lower equipment cost, (ii) a tax-related assessment in the prior-year period and (iii) continued progress on cost efficiencies, particularly in network and commercial expenses. C&W Panama: Adjusted OIBDA increased by 6% on both a reported and rebased basis, year-over-year, leading to a margin expansion of 580 basis points to 39%, mainly driven by less lower margin project revenue and lower operating expenses. Liberty Networks: Adjusted OIBDA decreased by 4% on a reported basis and 3% on a rebased basis, year-over-year, primarily due to lower revenue from non-cash IRUs, partially offset by reduced bad debt expense. Liberty Puerto Rico: Adjusted OIBDA increased by 22% and 21% on a reported and rebased basis, respectively, year-over-year, despite the aforementioned rebased revenue decline. The positive performance was supported by (i) lower bad debt expense (ii) the phasing out of prior-period costs related to the transition services agreement with AT&T following migration and the integration and (iii) reduced staff and marketing costs in the period. Sequentially, Adjusted OIBDA was up 7% on a reported basis driven by the previously mentioned revenue growth and lower FTEs following workforce reorganization, along with reduced professional services costs. Liberty Costa Rica: Adjusted OIBDA grew by 1% on a reported basis and was flat on a rebased basis, year-over-year. The flat rebased performance resulted from the revenue increase being offset by higher handset and bad debt expenses. Net Loss Attributable to Shareholders Net loss attributable to shareholders was $(423) million and $(560) million for the three and six months ended June 30, 2025, respectively, and $(43) million for each of the three and six months ended June 30, 2024. Property & Equipment Additions and Capital Expenditures The table below highlights the categories of the property and equipment additions (P&E Additions) for the indicated periods and reconciles to cash paid for capital expenditures, net. Three months ended Six months ended June 30, June 30, 2025 2024 2025 2024 USD in millions Customer Premises Equipment $ 38.1 $ 46.0 $ 81.0 $ 87.3 New Build & Upgrade 20.9 43.7 39.9 67.7 Capacity 23.8 26.1 44.0 49.6 Baseline 58.8 52.1 91.7 90.0 Product & Enablers 8.6 11.7 13.9 19.9 Property & equipment additions 150.2 179.6 270.5 314.5 Assets acquired under capital-related vendor financing arrangements (17.8 ) (38.1 ) (55.4 ) (72.1 ) Changes in current liabilities related to capital expenditures and other 6.9 (1.0 ) 20.9 7.8 Capital expenditures, net $ 139.3 $ 140.5 $ 236.0 $ 250.2 Property & equipment additions as % of revenue 13.8 % 16.1 % 12.5 % 14.2 % Property & Equipment Additions: Liberty Caribbean $ 48.0 $ 55.1 $ 85.5 $ 99.4 C&W Panama 20.6 31.4 35.3 48.0 Liberty Networks 20.1 14.6 38.5 26.4 Liberty Puerto Rico 37.5 48.9 66.1 89.9 Liberty Costa Rica 17.3 20.9 32.5 32.0 Corporate 6.7 8.7 12.6 18.8 Property & equipment additions $ 150.2 $ 179.6 $ 270.5 $ 314.5 Property & Equipment Additions as a Percentage of Revenue by Reportable Segment: Liberty Caribbean 13.1 % 15.0 % 11.7 % 13.6 % C&W Panama 11.6 % 15.9 % 10.0 % 13.1 % Liberty Networks 17.5 % 12.3 % 17.1 % 11.6 % Liberty Puerto Rico 12.4 % 15.8 % 11.0 % 14.1 % Liberty Costa Rica 11.4 % 14.2 % 10.5 % 10.7 % New Build and Homes Upgraded by Reportable Segment 1: Liberty Caribbean 14,100 41,400 36,300 63,800 C&W Panama 17,200 13,100 39,500 30,400 Liberty Puerto Rico 900 15,600 1,700 29,400 Liberty Costa Rica 30,000 23,800 60,000 42,900 Total 62,200 93,900 137,500 166,500 Expand Table excludes Liberty Networks as that reportable segment only provides B2B-related services. Operating Income (Loss) less Property and Equipment Additions Operating income (loss) less property and equipment additions was $(483) million and $(69) million for the three months ended June 30, 2025 and 2024, respectively, and $(475) million and $(111) million for the six months ended June 30, 2025 and 2024, respectively. The declines in the 2025 periods reflect the impairment during the second quarter of 2025 associated with spectrum license intangible assets at Liberty Puerto Rico. Adjusted OIBDA less Property & Equipment Additions The following table presents (i) Adjusted OIBDA less property and equipment additions for each of our reportable segments and Liberty Latin America for the periods indicated and (ii) the percentage change from period-to-period. Three months ended Increase/(decrease) Six months ended Increase/(decrease) June 30, June 30, 2025 2024 % 2025 2024 % in millions, except % amounts Liberty Caribbean $ 125.8 $ 101.9 23 $ 261.6 $ 208.2 26 C&W Panama 48.0 33.4 44 97.9 73.6 33 Liberty Networks 40.7 48.5 (16 ) 80.2 95.9 (16 ) Liberty Puerto Rico 49.5 22.2 123 102.4 50.3 104 Liberty Costa Rica 36.7 32.5 13 80.4 79.7 1 Liberty Latin America 1 264.8 209.5 26 551.1 448.8 23 Expand Adjusted OIBDA less property and equipment additions for Liberty Latin America on a consolidated basis is a non-GAAP measure. Note that the sum of the reportable segments will not agree to the total for Liberty Latin America as we do not disclose amounts associated with our Corporate operations or intersegment eliminations. For the definition of Adjusted OIBDA less property and equipment additions and required reconciliations, see Non-GAAP Reconciliations section. Summary of Debt, Finance Lease Obligations and Cash & Cash Equivalents The following table details the U.S. dollar equivalent balances of the outstanding principal amounts of our debt and finance lease obligations, and cash and cash equivalents at June 30, 2025: Represents the aggregate amount held by subsidiaries of Liberty Latin America that are outside our borrowing groups. Represents the C&W borrowing group, including the Liberty Caribbean, Liberty Networks and C&W Panama reportable segments. Cash amount includes restricted cash that serves as collateral against certain letters of credit associated with the funding received from the FCC to continue to expand and improve our fixed network in Puerto Rico. Consolidated leverage ratios are non-GAAP measures. For additional information, including definitions of our consolidated leverage ratios and required reconciliations, see Non-GAAP Reconciliations section. For purposes of calculating our weighted average tenor, total debt excludes vendor financing, debt related to the Tower Transactions, other debt and finance lease obligations. At June 30, 2025, the full amount of unused borrowing capacity under our subsidiaries' revolving credit facilities was available to be borrowed, both before and after completion of the June 30, 2025 compliance reporting requirements. Residential Fixed ARPU per Customer Relationship The following table provides residential fixed ARPU per customer relationship for the indicated periods: Residential Mobile ARPU The following table provides residential ARPU per mobile subscriber for the indicated periods: The FX-Neutral change represents the percentage change on a sequential basis adjusted for FX impacts and is calculated by adjusting the current-period figures to reflect translation at the foreign currency rates used to translate the prior quarter amounts. The ARPU per customer relationship amounts in Costa Rican colones for the three months ended June 30, 2025 and March 31, 2025 were CRC 19,794 and CRC 20,684, respectively. The mobile ARPU amounts in Costa Rican colones for the three months ended June 30, 2025 and March 31, 2025 were CRC 5,748 and CRC 5,750, respectively. Forward-Looking Statements and Disclaimer This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our strategies, priorities and objectives, financial and operational performance, growth expectations; our digital strategy, product innovation and commercial plans and projects; subscriber growth; expectations on demand for connectivity in the region; the recovery by our Puerto Rico operations; our plans with respect to the separation of Liberty Puerto Rico; the strength of our balance sheet and tenor of our debt; capital intensity expectations; our capital return policy; and other information and statements that are not historical fact. These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these statements. These risks and uncertainties include events that are outside of our control, such as hurricanes and other natural disasters, political or social events, and pandemics, such as COVID-19, the uncertainties surrounding such events, the ability and cost to restore networks in the markets impacted by hurricanes or generally to respond to any such events; the continued use by subscribers and potential subscribers of our services and their willingness to upgrade to our more advanced offerings; our ability to meet challenges from competition, to manage rapid technological change or to maintain or increase rates to our subscribers or to pass through increased costs to our subscribers; the effects of changes in laws or regulation; general economic factors; our ability to successfully acquire and integrate new businesses and realize anticipated efficiencies from acquired businesses; the ability to obtain regulatory approvals and satisfy the other conditions to closing with respect to the transaction with Millicom in Costa Rica; the availability of attractive programming for our video services and the costs associated with such programming; our ability to achieve forecasted financial and operating targets; the outcome of any pending or threatened litigation; the ability of our operating companies to access cash of their respective subsidiaries; the impact of our operating companies' future financial performance, or market conditions generally, on the availability, terms and deployment of capital; fluctuations in currency exchange and interest rates; the ability of suppliers and vendors to timely deliver quality products, equipment, software, services and access; our ability to adequately forecast and plan future network requirements including the costs and benefits associated with network expansions; and other factors detailed from time to time in our filings with the Securities and Exchange Commission, including our most recently filed Form 10-K and Form 10-Q. These forward-looking statements speak only as of the date of this press release. We expressly disclaim any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained herein to reflect any change in our expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. About Liberty Latin America Liberty Latin America is a leading communications company operating in over 20 countries across Latin America and the Caribbean under the consumer brands BTC, Flow, Liberty and Más Móvil. The communications and entertainment services that we offer to our residential and business customers in the region include digital video, broadband internet, telephony and mobile services. Our business products and services include enterprise-grade connectivity, data center, hosting and managed solutions, as well as information technology solutions with customers ranging from small and medium enterprises to international companies and governmental agencies. In addition, Liberty Latin America operates a subsea and terrestrial fiber optic cable network that connects over 30 markets in the region. Liberty Latin America has three separate classes of common shares, which are traded on the NASDAQ Global Select Market under the symbols 'LILA' (Class A) and 'LILAK' (Class C), and on the OTC link under the symbol 'LILAB' (Class B). For more information, please visit The following tables reflect preliminary unaudited selected financial results, on a consolidated C&W basis, for the periods indicated, in accordance with U.S. GAAP. 1. Indicated growth rates are rebased for the estimated impacts of a disposal and FX. The following table details the U.S. dollar equivalent of the nominal amount outstanding of C&W's third-party debt and cash and cash equivalents: At June 30, 2025, our third-party total and proportionate net debt was $4.5 billion and $4.2 billion, respectively, our Fully-swapped Borrowing Cost was 6.3%, and the average tenor of our debt obligations (excluding vendor financing and debt related to the Tower Transactions) was approximately 6.0 years. Our portion of Adjusted OIBDA, after deducting the noncontrolling interests' share, ('Proportionate Adjusted OIBDA') was $252 million for Q2 2025. C&W's Covenant Proportionate Net Leverage Ratio was 3.9x, which is calculated by annualizing the last two quarters of Covenant EBITDA in accordance with C&W's Credit Agreement. At June 30, 2025, we had maximum undrawn commitments of $584 million, including $79 million under our regional facilities. At June 30, 2025, the full amount of unused borrowing capacity under our credit facilities (including regional facilities) was available to be borrowed, both before and after completion of the June 30, 2025 compliance reporting requirements. Liberty Puerto Rico (LPR) Borrowing Group The following tables reflect preliminary unaudited selected financial results, on a consolidated Liberty Puerto Rico basis, for the periods indicated, in accordance with U.S. GAAP: N.M. – Not Meaningful. 1. Indicated growth rates are rebased for the estimated impacts of an acquisition. The following table details the nominal amount outstanding of Liberty Puerto Rico's third-party debt, finance lease obligations and cash and cash equivalents: Cash amounts include restricted cash that serves as collateral against certain letters of credit associated with funding received from the FCC to continue to expand and improve our fixed network in Puerto Rico. At June 30, 2025, our Fully-swapped Borrowing Cost was 6.2% and the average tenor of our debt (excluding vendor financing, debt related to the Tower Transactions and other debt) was approximately 3.0 years. LPR's Covenant Consolidated Net Leverage Ratio was 7.9x, which is calculated by annualizing the last two quarters of Covenant EBITDA in accordance with LPR's Group Credit Agreement. At June 30, 2025, we had maximum undrawn commitments of $116 million. At June 30, 2025, the full amount of unused borrowing capacity under our revolving credit facility was available to be borrowed, both before and after completion of the June 30, 2025 compliance reporting requirements. Liberty Costa Rica Borrowing Group The following tables reflect preliminary unaudited selected financial results, on a consolidated Liberty Costa Rica basis, for the periods indicated, in accordance with U.S. GAAP: Six months ended June 30, Change 2025 2024 CRC in billions, except % amounts Revenue 156.5 153.9 2 % Operating income 28.6 31.6 (9 %) Adjusted OIBDA 57.1 57.4 (1 %) Property & equipment additions 16.5 16.4 1 % Operating income as a percentage of revenue 18.3 % 20.5 % Adjusted OIBDA as a percentage of revenue 36.5 % 37.3 % Expand The following table details the borrowing currency and Costa Rican colón equivalent of the nominal amount outstanding of Liberty Costa Rica's third-party debt and cash and cash equivalents: From July 15, 2028 and thereafter, the interest rate is subject to increase by 0.125% per annum for each of the two Sustainability Performance Targets (as defined in the credit agreement) not achieved by Liberty Costa Rica by no later than December 31, 2027. At June 30, 2025, our Fully-swapped Borrowing Cost was 10.7% and the average tenor of our debt was approximately 5.1 years. LCR's Covenant Consolidated Net Leverage Ratio was 2.1x, which is calculated by annualizing the last two quarters of Covenant EBITDA in accordance with LCR's Credit Agreement. At June 30, 2025, we had maximum undrawn commitments of $25 million (CRC 12.6 billion). At June 30, 2025, the full amount of unused borrowing capacity under our revolving credit facility was available to be borrowed, both before and after completion of the June 30, 2025 compliance reporting requirements. Subscriber Table Our homes passed in Liberty Costa Rica include 54,000 homes on a third-party network that provides us long-term access. Quarterly Subscriber Variance Represents adjustments resulting from a historical database cleanup which did not have an impact on our consolidated financial statements. Glossary Adjusted OIBDA - Operating income or loss before share-based compensation and other Employee Incentive Plan-related expense, depreciation and amortization, provisions and provision releases related to significant litigation and impairment, restructuring and Other Operating Items. Other Operating Items includes (i) gains and losses on the disposition of long-lived assets, (ii) third-party costs directly associated with successful and unsuccessful acquisitions and dispositions, including legal, advisory and due diligence fees, as applicable, and (iii) other acquisition-related items, such as gains and losses on the settlement of contingent consideration. Adjusted OIBDA Margin – Calculated by dividing Adjusted OIBDA by total revenue for the applicable period. ARPU – Average revenue per unit refers to the average monthly subscription revenue (subscription revenue excludes interconnect, mobile handset sales and late fees) per average customer relationship or mobile subscriber, as applicable. ARPU per average customer relationship is calculated by dividing the average monthly subscription revenue from residential fixed and SOHO fixed services by the average of the opening and closing balances for customer relationships for the indicated period. ARPU per average mobile subscriber is calculated by dividing the average monthly mobile service revenue by the average of the opening and closing balances for mobile subscribers for the indicated period. Unless otherwise indicated, ARPU per customer relationship or mobile subscriber is not adjusted for currency impacts. ARPU per average RGU is calculated by dividing the average monthly subscription revenue from the applicable residential fixed service by the average of the opening and closing balances of the applicable RGUs for the indicated period. Unless otherwise noted, ARPU in this release is considered to be ARPU per average customer relationship or mobile subscriber, as applicable. Customer relationships, mobile subscribers and RGUs of entities acquired during the period are normalized. Consolidated Debt and Finance Lease Obligations to Operating Income Ratio – Defined as total principal amount of debt outstanding (including liabilities related to vendor financing, debt related to the Tower Transactions, other debt and finance lease obligations) to annualized operating income from the most recent two consecutive fiscal quarters. Consolidated Net Debt and Finance Lease Obligations to Operating Income Ratio – Defined as total principal amount of debt outstanding (including liabilities related to vendor financing, debt related to the Tower Transactions, other debt and finance lease obligations) less cash, cash equivalents and restricted cash related to debt to annualized operating income from the most recent two consecutive fiscal quarters. Customer Relationships – The number of customers who receive at least one of our video, internet or telephony services that we count as RGUs, without regard to which or to how many services they subscribe. To the extent that RGU counts include equivalent billing unit ('EBU') adjustments, we reflect corresponding adjustments to our customer relationship counts. For further information regarding our EBU calculation, see Additional General Notes below. Customer relationships generally are counted on a unique premises basis. Accordingly, if an individual receives our services in two premises (e.g., a primary home and a vacation home), that individual generally will count as two customer relationships. We exclude mobile-only customers from customer relationships. FMC penetration – Calculated as Fixed Customer Relationships with a postpaid product as a percentage of total Fixed Customer Relationships, including both customers who have converged products and are receiving a financial or experience benefit from them and customers who have a postpaid product outside of an FMC bundle and are not receiving a financial or experience benefit from it. Fully-swapped Borrowing Cost – Represents the weighted average interest rate on our debt (excluding finance leases and including vendor financing obligations, debt related to the Tower Transactions and other debt), including the effects of derivative instruments, original issue premiums or discounts and commitment fees, but excluding the impact of financing costs. Homes Passed – Homes, residential multiple dwelling units or commercial units that can be connected to our networks without materially extending the distribution plant. Certain of our homes passed counts are based on census data that can change based on either revisions to the data or from new census results. Internet (Broadband) RGU – A home, residential multiple dwelling unit or commercial unit that receives internet services over our network. Leverage – Our gross and net leverage ratios, each a non-GAAP measure, are defined as total debt (total principal amount of debt outstanding, including liabilities related to vendor financing, debt related to the Tower Transactions, other debt and finance lease obligations, net of projected derivative principal-related cash payments (receipts)) and net debt to annualized Adjusted OIBDA of the latest two quarters. Net debt is defined as total debt less cash, cash equivalents and restricted cash related to debt. For purposes of these calculations, debt is measured using swapped foreign currency rates, consistent with the covenant calculation requirements of our subsidiary debt agreements. Mobile Subscribers – Our mobile subscriber count represents the number of active subscriber identification module ('SIM') cards in service rather than services provided. For example, if a mobile subscriber has both a data and voice plan on a smartphone this would equate to one mobile subscriber. Alternatively, a subscriber who has a voice and data plan for a mobile handset and a data plan for a laptop (via a dongle) would be counted as two mobile subscribers. Customers who do not pay a recurring monthly fee are excluded from our mobile telephony subscriber counts after periods of inactivity ranging from 30 to 90 days, based on industry standards within the respective country. In a number of countries, our mobile subscribers receive mobile services pursuant to prepaid contracts. NPS – Net promoter score. Property and Equipment Addition Categories Customer Premises Equipment: Includes capitalizable equipment and labor, materials and other costs directly associated with the installation of such CPE; New Build & Upgrade: Includes capitalizable costs of network equipment, materials, labor and other costs directly associated with entering a new service area and upgrading our existing network; Capacity: Includes capitalizable costs for network capacity required for growth and services expansions from both existing and new customers. This category covers Core and Access parts of the network and includes, for example, fiber node splits, upstream/downstream spectrum upgrades and optical equipment additions in our international backbone connections; Baseline: Includes capitalizable costs of equipment, materials, labor and other costs directly associated with maintaining and supporting the business. Relates to areas such as network improvement, property and facilities, technical sites, information technology systems and fleet; and Product & Enablers: Discretionary capitalizable costs that include investments (i) required to support, maintain, launch or innovate in new customer products, and (ii) in infrastructure, which drive operational efficiency over the long term. Proportionate Net Leverage Ratio (C&W) – Calculated in accordance with C&W's Credit Agreement, taking into account the ratio of outstanding indebtedness (subject to certain exclusions) less cash and cash equivalents to EBITDA (subject to certain adjustments) for the last two quarters annualized, with both indebtedness and EBITDA reduced proportionately to remove any noncontrolling interests' share of the C&W group. Revenue Generating Unit (RGU) – RGU is separately a video RGU, internet RGU or telephony RGU. A home, residential multiple dwelling unit, or commercial unit may contain one or more RGUs. For example, if a residential customer in Puerto Rico subscribed to our video service, fixed-line telephony service and broadband internet service, the customer would constitute three RGUs. RGUs are generally counted on a unique premises basis such that a given premises does not count as more than one RGU for any given service. On the other hand, if an individual receives one of our services in two premises (e.g., a primary home and a vacation home), that individual will count as two RGUs for that service. Each bundled video, internet or telephony service is counted as a separate RGU regardless of the nature of any bundling discount or promotion. Non-paying subscribers are counted as RGUs during their free promotional service period. Some of these subscribers may choose to disconnect after their free service period. Services offered without charge on a long-term basis (e.g., VIP subscribers or free service to employees) generally are not counted as RGUs. We do not include subscriptions to mobile services in our externally reported RGU counts. In this regard, our RGU counts exclude our separately reported postpaid and prepaid mobile subscribers. SOHO – Small office/home office customers. Telephony RGU – A home, residential multiple dwelling unit or commercial unit that receives voice services over our network. Telephony RGUs exclude mobile subscribers. Tower Transactions – Transactions entered into during 2023 associated with certain of our mobile towers across various markets that (i) have terms of 15 or 20 years and did not meet the criteria to be accounted for as a sale and leaseback and (ii) also include "build to suit" sites that we are obligated to construct over the next 4 years. U.S. GAAP – Generally accepted accounting principles in the United States. Video RGU – A home, residential multiple dwelling unit or commercial unit that receives our video service over our network, primarily via a digital video signal while subscribing to any recurring monthly service that requires the use of encryption-enabling technology. Video RGUs that are not counted on an EBU basis are generally counted on a unique premises basis. For example, a subscriber with one or more set-top boxes that receives our video service in one premises is generally counted as just one RGU. Additional General Notes Most of our operations provide telephony, broadband internet, mobile data, video or other B2B services. Certain of our B2B service revenue is derived from SOHO customers that pay a premium price to receive enhanced service levels along with video, internet or telephony services that are the same or similar to the mass marketed products offered to our residential subscribers. All mass marketed products provided to SOHO customers, whether or not accompanied by enhanced service levels and/or premium prices, are included in the respective RGU and customer counts of our operations, with only those services provided at premium prices considered to be 'SOHO RGUs' or 'SOHO customers.' To the extent our existing customers upgrade from a residential product offering to a SOHO product offering, the number of SOHO RGUs and SOHO customers will increase, but there is no impact to our total RGU or customer counts. With the exception of our B2B SOHO customers, we generally do not count customers of B2B services as customers or RGUs for external reporting purposes. Certain of our residential and commercial RGUs are counted on an EBU basis, including residential multiple dwelling units and commercial establishments, such as bars, hotels, and hospitals, in Puerto Rico. Our EBUs are generally calculated by dividing the bulk price charged to accounts in an area by the most prevalent price charged to non-bulk residential customers in that market for the comparable tier of service. As such, we may experience variances in our EBU counts solely as a result of changes in rates. While we take appropriate steps to ensure that subscriber and homes passed statistics are presented on a consistent and accurate basis at any given balance sheet date, the variability from country to country in (i) the nature and pricing of products and services, (ii) the distribution platform, (iii) billing systems, (iv) bad debt collection experience and (v) other factors add complexity to the subscriber and homes passed counting process. We periodically review our subscriber and homes passed counting policies and underlying systems to improve the accuracy and consistency of the data reported on a prospective basis. Accordingly, we may from time to time make appropriate adjustments to our subscriber and homes passed statistics based on those reviews. Non-GAAP Reconciliations We include certain financial measures in this press release that are considered non-GAAP measures, including (i) Adjusted OIBDA and Adjusted OIBDA Margin, each on a consolidated basis, (ii) Adjusted Free Cash Flow, (iii) rebased revenue and rebased Adjusted OIBDA growth rates, (iv) consolidated leverage ratios, and (v) Adjusted OIBDA less property and equipment additions on a conslidated basis. The following sections set forth reconciliations of the nearest GAAP measure to our non-GAAP measures, as well as information on how and why management of the Company believes such information is useful to an investor. Adjusted OIBDA On a consolidated basis, Adjusted OIBDA is a non-U.S. GAAP measure. Adjusted OIBDA is the primary measure used by our CODM, our Chief Executive Officer, to evaluate segment operating performance. Adjusted OIBDA is also a key factor that is used by our internal decision makers to determine how to allocate resources to segments. Our internal decision makers believe Adjusted OIBDA is a meaningful measure because it represents a transparent view of our recurring operating performance that is unaffected by our capital structure and allows management to (i) readily view operating trends, (ii) perform analytical comparisons and benchmarking between segments and (iii) identify strategies to improve operating performance in the different countries in which we operate. We believe our Adjusted OIBDA measure is useful to investors because it is one of the bases for comparing our performance with the performance of other companies in the same or similar industries, although our measure may not be directly comparable to similar measures used by other public companies. Adjusted OIBDA should be viewed as a measure of operating performance that is a supplement to, and not a substitute for, operating income or loss, net earnings or loss and other U.S. GAAP measures of income or loss. Adjusted OIBDA Less Property and Equipment Additions We define Adjusted OIBDA less P&E Additions, which is a non-GAAP measure, as Adjusted OIBDA less P&E Additions on an accrual basis. Adjusted OIBDA less P&E Additions is a meaningful measure because it provides (i) a transparent view of Adjusted OIBDA that remains after our capital spend, which we believe is important to take into account when evaluating our overall performance and (ii) a comparable view of our performance relative to other telecommunications companies. Our Adjusted OIBDA less P&E Additions measure may differ from how other companies define and apply their definition of similar measures. Adjusted OIBDA less P&E Additions should be viewed as a measure of operating performance that is a supplement to, and not substitute for, U.S. GAAP Measure of income included in our condensed consolidated statement of operations. A reconciliation of our operating income or loss to total Adjusted OIBDA, and Adjusted OIBDA less property and equipment additions is presented in the following table: June 30, June 30, 2025 2024 2025 2024 in millions Operating income (loss) $ (333.0 ) $ 110.8 $ (204.9 ) $ 203.6 Share-based compensation and other Employee Incentive Plan-related expense 1 13.3 16.0 47.3 43.0 Depreciation and amortization 217.5 236.7 446.3 484.5 Impairment, restructuring and other operating items, net 517.2 25.6 532.9 32.2 Adjusted OIBDA $ 415.0 $ 389.1 $ 821.6 $ 763.3 Less: Property and equipment additions 150.2 179.6 270.5 314.5 Adjusted OIBDA less property and equipment additions $ 264.8 $ 209.5 $ 551.1 $ 448.8 Operating income (loss) margin 2 (30.6 )% 9.9 % (9.4 )% 9.2 % Adjusted OIBDA margin 3 38.2 % 34.8 % 37.9 % 34.4 % Expand Includes expense associated with our LTVP, the vesting of which can be settled in either common shares or cash at the discretion of Liberty Latin America's Compensation Committee. Calculated by dividing operating income or (loss) by total revenue for the applicable period. Calculated by dividing Adjusted OIBDA by total revenue for the applicable period. Adjusted Free Cash Flow Definition and Reconciliation We define Adjusted Free Cash Flow (Adjusted FCF), a non-GAAP measure, as net cash provided by our operating activities, plus (i) cash payments for third-party costs directly associated with successful and unsuccessful acquisitions and dispositions, (ii) expenses financed by an intermediary, (iii) proceeds received in connection with handset receivables securitization, (iv) insurance recoveries related to damaged and destroyed property and equipment and (v) certain net interest payments or receipts incurred or received, including associated derivative instrument payments and receipts, in advance of a significant acquisition, less (a) capital expenditures, net, (b) principal payments on amounts financed by vendors and intermediaries, (c) principal payments on finance leases, (d) repayments made associated with a handset receivables securitization, and (e) distributions to noncontrolling interest owners. We believe that our presentation of Adjusted FCF provides useful information to our investors because this measure can be used to gauge our ability to service debt and fund new investment opportunities. Adjusted FCF should not be understood to represent our ability to fund discretionary amounts, as we have various mandatory and contractual obligations, including debt repayments, which are not deducted to arrive at this amount. Investors should view Adjusted FCF as a supplement to, and not a substitute for, U.S. GAAP measures of liquidity included in our consolidated statements of cash flows. The following table provides the reconciliation of our net cash provided by operating activities to Adjusted FCF for the indicated period: For purposes of our consolidated statements of cash flows, expenses financed by an intermediary, including value-added taxes, are treated as operating cash outflows and financing cash inflows when the expenses are incurred. When we pay the financing intermediary, we record financing cash outflows in our consolidated statements of cash flows. For purposes of our Adjusted FCF definition, we add back the operating cash outflows when these financed expenses are incurred and deduct the financing cash outflows when we pay the financing intermediary. Rebase Information Rebase growth rates are a non-GAAP measure. For purposes of calculating rebased growth rates on a comparable basis for all businesses that we owned during the current year, we have adjusted our historical revenue and Adjusted OIBDA to include or exclude the pre-acquisition amounts of acquired, disposed or transferred businesses, as applicable, to the same extent they are included in the current year. The businesses that were acquired or disposed of impacting the comparative periods are as follows: LPR Acquisition (acquisition of spectrum and prepaid subscribers in Puerto Rico and USVI from EchoStar), which was completed on September 3, 2024; and C&W Panama DTH, which was shutdown on January 15, 2025. In addition, we reflect the translation of our rebased amounts for the prior-year periods at the applicable average foreign currency exchange rates that were used to translate our results for the corresponding current-year period. We have reflected the revenue and Adjusted OIBDA of the acquired entities in our prior-year rebased amounts based on what we believe to be the most reliable information that is currently available to us (in the case of the LPR Acquisition, an estimated carve-out of revenue and Adjusted OIBDA associated with the acquired business), as adjusted for the estimated effects of (a) any significant differences between U.S. GAAP and local generally accepted accounting principles, (b) any significant effects of acquisition accounting adjustments, (c) any significant differences between our accounting policies and those of the acquired entities and (d) other items we deem appropriate. We do not adjust pre-acquisition periods to eliminate nonrecurring items or to give retroactive effect to any changes in estimates that might be implemented during post-acquisition periods. As we did not own or operate the acquired entities during the pre-acquisition periods, no assurance can be given that we have identified all adjustments necessary to present their revenue and Adjusted OIBDA on a basis that is comparable to the corresponding post-acquisition amounts that are included in our historical results or that the pre-acquisition financial statements we have relied upon do not contain undetected errors. In addition, the rebased growth percentages are not necessarily indicative of the revenue and Adjusted OIBDA that would have occurred if this transaction had occurred on the date assumed for purposes of calculating our rebased amounts or the revenue and Adjusted OIBDA that will occur in the future. The rebased growth percentages have been presented as a basis for assessing growth rates on a comparable basis and should be viewed as measures of operating performance that are a supplement to, and not a substitute for, U.S. GAAP reported growth rates. The following tables provide the aforementioned adjustments made to the revenue and Adjusted OIBDA amounts for the periods indicated, to derive our rebased growth rates. Due to rounding, certain rebased growth rate percentages may not recalculate. In the tables set forth below: reported percentage changes are calculated as current period measure, as applicable, less prior-period measure divided by prior-period measure; and rebased percentage changes are calculated as current period measure, as applicable, less rebased prior-period measure divided by rebased prior-period measure. The following tables set forth the reconciliation from reported revenue to rebased revenue and related change calculations. N.M. – Not Meaningful. Six months ended June 30, 2024 Liberty Caribbean C&W Panama Liberty Networks Liberty Puerto Rico Liberty Costa Rica Corporate Intersegment eliminations Total In millions Revenue – Reported $ 732.5 $ 366.4 $ 227.6 $ 635.8 $ 299.5 $ 11.0 $ (55.4 ) $ 2,217.4 Rebase adjustment: Acquisition — — — 18.9 — — — 18.9 Disposition — (2.1 ) — — — — — (2.1 ) Foreign currency (3.2 ) — (2.8 ) — 4.8 — 0.1 (1.1 ) Revenue – Rebased $ 729.3 $ 364.3 $ 224.8 $ 654.7 $ 304.3 $ 11.0 $ (55.3 ) $ 2,233.1 Reported percentage change — % (3 )% (1 )% (6 )% 3 % (30 )% N.M. (2 )% Rebased percentage change — % (3 )% — % (8 )% 2 % (30 )% N.M. (3 )% Expand N.M. – Not Meaningful. The following tables set forth the reconciliation from reported Adjusted OIBDA to rebased Adjusted OIBDA and related change calculations. Six months ended June 30, 2024 Liberty Caribbean C&W Panama Liberty Networks Liberty Puerto Rico Liberty Costa Rica Corporate Total In millions Adjusted OIBDA – Reported $ 307.6 $ 121.6 $ 122.3 $ 140.2 $ 111.7 $ (40.1 ) $ 763.3 Rebase adjustment: Acquisition — — — 2.2 — — 2.2 Disposition — (0.9 ) — — — — (0.9 ) Foreign currency (1.6 ) — (0.4 ) — 1.8 — (0.2 ) Adjusted OIBDA – Rebased $ 306.0 $ 120.7 $ 121.9 $ 142.4 $ 113.5 $ (40.1 ) $ 764.4 Reported percentage change 13 % 10 % (3 )% 20 % 1 % (47 )% 8 % Rebased percentage change 13 % 10 % (3 )% 18 % (1 )% (47 )% 8 % Expand The following tables set forth the reconciliation from reported revenue by product for our Liberty Caribbean segment to rebased revenue by product and related change calculations. Three months ended June 30, 2024 Residential fixed revenue Residential mobile revenue Total residential revenue B2B revenue Total revenue In millions Revenue by product – Reported $ 130.8 $ 104.1 $ 234.9 $ 133.4 $ 368.3 Rebase adjustment: Foreign currency (0.6 ) (0.6 ) (1.2 ) (0.6 ) (1.8 ) Revenue by product – Rebased $ 130.2 $ 103.5 $ 233.7 $ 132.8 $ 366.5 Reported percentage change (2 )% 5 % 1 % (3 )% (1 )% Rebased percentage change (1 )% 6 % 2 % (3 )% — % Expand Six months ended June 30, 2024 Residential fixed revenue Residential mobile revenue Total residential revenue B2B revenue Total revenue In millions Revenue by product – Reported $ 260.3 $ 210.1 $ 470.4 $ 262.1 $ 732.5 Rebase adjustment: Foreign currency (1.1 ) (1.1 ) (2.2 ) (1.0 ) (3.2 ) Revenue by product – Rebased $ 259.2 $ 209.0 $ 468.2 $ 261.1 $ 729.3 Reported percentage change (1 )% 4 % 1 % (3 )% — % Rebased percentage change (1 )% 5 % 2 % (3 )% — % Expand The following tables set forth the reconciliation from reported revenue by product for our C&W Panama segment to rebased revenue by product and related change calculations. Three months ended March 31, 2024 Residential fixed revenue Residential mobile revenue Total residential revenue B2B revenue Total revenue In millions Revenue by product – Reported $ 31.3 $ 82.2 $ 113.5 $ 83.7 $ 197.2 Rebase adjustment: Disposition (1.0 ) — (1.0 ) — (1.0 ) Revenue by product – Rebased $ 30.3 $ 82.2 $ 112.5 $ 83.7 $ 196.2 Reported percentage change — % 6 % 4 % (30 )% (10 )% Rebased percentage change 2 % 6 % 5 % (30 )% (10 )% Expand Six months ended June 30, 2024 Residential fixed revenue Residential mobile revenue Total residential revenue B2B revenue Total revenue In millions Revenue by product – Reported $ 62.9 $ 156.7 $ 219.6 $ 146.8 $ 366.4 Rebase adjustment: Disposal (2.1 ) — (2.1 ) — (2.1 ) Revenue by product – Rebased $ 60.8 $ 156.7 $ 217.5 $ 146.8 $ 364.3 Reported percentage change (1 )% 11 % 7 % (19 )% (3 )% Rebased percentage change 3 % 11 % 8 % (19 )% (3 )% Expand The following tables set forth the reconciliation from reported revenue by product for our Liberty Puerto Rico segment to rebased revenue by product and related change calculations. Three months ended June 30, 2024 Residential fixed revenue Residential mobile revenue Total residential revenue B2B revenue Other revenue Total revenue In millions Revenue by product – Reported $ 126.1 $ 122.6 $ 248.7 $ 52.6 $ 7.3 $ 308.6 Rebase adjustment: Acquisition — 9.4 9.4 — — 9.4 Revenue by product – Rebased $ 126.1 $ 132.0 $ 258.1 $ 52.6 $ 7.3 $ 318.0 Reported percentage change (1 )% 4 % 2 % (18 )% (22 )% (2 )% Rebased percentage change (1 )% (3 )% (2 )% (18 )% (22 )% (5 )% Expand Six months ended June 30, 2024 Residential fixed revenue Residential mobile revenue Total residential revenue B2B revenue Other revenue Total revenue In millions Revenue by product – Reported $ 251.2 $ 260.6 $ 511.8 $ 108.6 $ 15.4 $ 635.8 Rebase adjustment: Acquisition — 18.9 18.9 — — 18.9 Revenue by product – Rebased $ 251.2 $ 279.5 $ 530.7 $ 108.6 $ 15.4 $ 654.7 Reported percentage change (1 )% (3 )% (2 )% (20 )% (20 )% (6 )% Rebased percentage change (1 )% (10 )% (6 )% (20 )% (20 )% (8 )% Expand Non-GAAP Reconciliation for Consolidated Leverage Ratios We have set forth below our consolidated leverage and net leverage ratios. Our consolidated leverage and net leverage ratios (Consolidated Leverage Ratios), each a non-GAAP measure, are defined as (i) the principal amount of debt and finance lease obligations less cash and cash equivalents and restricted cash related to debt divided by (ii) last two quarters of annualized Adjusted OIBDA. We generally use Adjusted OIBDA for the last two quarters annualized when calculating our Consolidated Leverage Ratios to maintain as much consistency as possible with the calculations established by our debt covenants included in the credit facilities or bond indentures for our respective borrowing groups, which are predominantly determined on a last two quarters annualized basis. For purposes of these calculations, adjusted total debt and finance lease obligations is measured using swapped foreign currency rates. We believe our consolidated leverage and net leverage ratios are useful because they allow our investors to consider the aggregate leverage on the business inclusive of any leverage at the Liberty Latin America level, not just at each of our operations. Investors should view consolidated leverage and net leverage as supplements to, and not substitutes for, the ratios calculated based upon measures presented in accordance with U.S. GAAP. Reconciliations of the numerator and denominator used to calculate the consolidated leverage and net leverage ratios as of June 30, 2025 and March 31, 2025 are set forth below: June 30, 2025 March 31, 2025 in millions, except leverage ratios Total debt and finance lease obligations $ 8,159.9 $ 8,173.0 Discounts, premiums and deferred financing costs, net 72.6 76.5 Adjusted total debt and finance lease obligations 8,232.5 8,249.5 Less: Cash and cash equivalents 514.4 575.5 Restricted cash related to debt 1 13.0 13.0 Net debt and finance lease obligations $ 7,705.1 $ 7,661.0 Operating income (loss) 2: Operating income for the three months ended December 31, 2024 N/A $ 127.7 Operating income for the three months ended March 31, 2025 $ 128.1 128.1 Operating loss for the three months ended June 30, 2025 (333.0 ) N/A Operating income (loss) – last two quarters $ (204.9 ) $ 255.8 Annualized operating income (loss) – last two quarters annualized $ (409.8 ) $ 511.6 Adjusted OIBDA 3: Adjusted OIBDA for the three months ended December 31, 2024 N/A $ 427.3 Adjusted OIBDA for the three months ended March 31, 2025 $ 406.6 406.6 Adjusted OIBDA for the three months ended June 30, 2025 415.0 N/A Adjusted OIBDA – last two quarters $ 821.6 $ 833.9 Annualized Adjusted OIBDA – last two quarters annualized $ 1,643.2 $ 1,667.8 Consolidated debt and finance lease obligations to operating income (loss) ratio (20.1) x 16.1 x Consolidated net debt and finance lease obligations to operating income (loss) ratio (18.8) x 15.0 x Consolidated leverage ratio 5.0 x 4.9 x Consolidated net leverage ratio 4.7 x 4.6 x Expand N/A – Not Applicable. Amount relates to restricted cash at Liberty Puerto Rico that serves as collateral against certain letters of credit associated with the funding received from the FCC to continue to expand and improve our fixed network in Puerto Rico. Operating income or loss is the closest U.S. GAAP measure to Adjusted OIBDA, as discussed in Adjusted OIBDA above. Accordingly, we have presented consolidated debt and finance lease obligations to operating income (loss) and consolidated net debt and finance lease obligations to operating income (loss) as the most directly comparable financial ratios to our non-GAAP consolidated leverage and consolidated net leverage ratios. Adjusted OIBDA is a non-GAAP measure. See Adjusted OIBDA above for reconciliation of Adjusted OIBDA to the nearest U.S. GAAP measure for the three months ended June 30, 2025. A reconciliation of our operating income to Adjusted OIBDA for the three months ended March 31, 2025 and December 31, 2024 is presented in the following table: Three months ended March 31, 2025 December 31, 2024 in millions Operating income $ 128.1 $ 127.7 Share-based compensation and other Employee Incentive Plan-related expense 34.0 25.1 Depreciation and amortization 228.8 238.4 Impairment, restructuring and other operating items, net 15.7 36.1 Adjusted OIBDA $ 406.6 $ 427.3 Expand Non-GAAP Reconciliations for Our Borrowing Groups The financial statements of each of our borrowing groups are prepared in accordance with U.S. GAAP. We include certain financial measures for our C&W, Liberty Puerto Rico and Liberty Costa Rica borrowing groups in this press release that are considered non-GAAP measures, including: (i) Adjusted OIBDA; (ii) Adjusted OIBDA Margin; (iii) Proportionate Adjusted OIBDA, (iv) rebased revenue and (v) rebased Adjusted OIBDA. Adjusted OIBDA for our borrowing groups is defined as operating income or loss before share-based compensation and other Employee Incentive Plan-related expense, depreciation and amortization, related-party fees and allocations, provisions and provision releases related to significant litigation and impairment, restructuring and other operating items. Proportionate Adjusted OIBDA is defined as Adjusted OIBDA less the noncontrolling interests' share of Adjusted OIBDA. We believe these measures at the borrowing group level are useful to investors because they are one of the bases for comparing our performance with the performance of other companies in the same or similar industries, although our measures may not be directly comparable to similar measures used by other public companies. These measures should be viewed as measures of operating performance that are a supplement to, and not a substitute for, operating income or loss, net earnings or loss and other U.S. GAAP measures of income. A reconciliation of C&W's operating income to Adjusted OIBDA and Proportionate Adjusted OIBDA is presented in the following table: Three months ended Six months ended June 30, June 30, 2025 2024 2025 2024 in millions Operating income $ 138.8 $ 98.0 $ 262.3 $ 178.4 Share-based compensation and other Employee Incentive Plan-related expense 4.4 6.5 12.6 14.4 Depreciation and amortization 119.0 143.0 252.1 296.5 Related-party fees and allocations 29.1 26.8 53.9 48.0 Impairment, restructuring and other operating items, net 11.8 10.1 18.1 13.8 Adjusted OIBDA 303.1 284.4 599.0 551.1 Less: Noncontrolling interests' share of Adjusted OIBDA 51.3 48.3 100.5 91.8 Proportionate Adjusted OIBDA $ 251.8 $ 236.1 $ 498.5 $ 459.3 Expand A reconciliation of Liberty Puerto Rico's operating income (loss) to Adjusted OIBDA is presented in the following table: Three months ended Six months ended June 30, June 30, 2025 2024 2025 2024 in millions Operating income (loss) $ (474.8 ) $ (19.1 ) $ (471.0 ) $ (28.5 ) Share-based compensation and other Employee Incentive Plan-related expense 1.0 1.9 2.6 4.4 Depreciation and amortization 62.6 62.0 122.8 124.8 Related-party fees and allocations 13.4 13.4 25.6 26.0 Impairment, restructuring and other operating items, net 484.8 12.9 488.5 13.5 Adjusted OIBDA $ 87.0 $ 71.1 $ 168.5 $ 140.2 Expand A reconciliation of Liberty Costa Rica's operating income to Adjusted OIBDA is presented in the following table: Three months ended Six months ended June 30, June 30, 2025 2024 2025 2024 CRC in billions Operating income 12.9 14.2 28.6 31.6 Share-based compensation and other Employee Incentive Plan-related expense 0.4 0.4 0.6 0.4 Depreciation and amortization 13.6 12.3 26.9 24.5 Related-party fees and allocations 0.6 0.4 0.9 0.7 Impairment, restructuring and other operating items, net (0.1 ) 0.1 0.1 0.2 Adjusted OIBDA 27.4 27.4 57.1 57.4 Expand The following table sets forth the reconciliations from reported revenue for our C&W borrowing group to rebased revenue and related change calculations: Three months ended June 30, 2024 Six months ended June 30, 2024 in millions Revenue – Reported $ 662.3 $ 1,282.6 Rebase adjustment: Disposal (1.0 ) (2.1 ) Foreign currency (3.3 ) (6.0 ) Revenue – Rebased $ 658.0 $ 1,274.5 Reported percentage change (4 )% (1 )% Rebased percentage change (3 )% (1 )% Expand The following table sets forth the reconciliation from Adjusted OIBDA for our C&W borrowing group to rebased Adjusted OIBDA and related change calculations: Three months ended June 30, 2024 Six months ended June 30, 2024 in millions Adjusted OIBDA – Reported $ 284.4 $ 551.1 Rebase adjustment: Disposal (0.2 ) (0.9 ) Foreign currency (1.4 ) (2.2 ) Adjusted OIBDA – Rebased $ 282.8 $ 548.0 Reported percentage change 7 % 9 % Rebased percentage change 7 % 9 % Expand
Yahoo
7 days ago
- Business
- Yahoo
Outfront Media Inc (OUT) Q2 2025 Earnings Call Highlights: Navigating Revenue Challenges with ...
Organic Revenue: Essentially flat, in line with guidance. OIBDA: $124 million. AFFO: $85 million. Billboard Revenue: Down 2.5%, impacted by exits from two large contracts. Transit Revenue: Grew 5.6%, with 17% growth in Digital revenues. Digital Revenue: Grew 1.5%, representing over 34% of total organic revenues. Commercial Revenue: Up 1.4% year on year. Enterprise Revenue: Declined 4% during the second quarter. Billboard Yield Growth: Up about 0.5% year on year. Restructuring Charge: $19.8 million in the second quarter. Expected Expense Savings: $18 million to $20 million annually from restructuring. Billboard Expenses: Down 3.3% year over year. Transit Expenses: Up 3% year over year. Capital Expenditures: $26 million in Q2, with $7 million for maintenance. Net Leverage: 4.8 times as of June 30. Dividend: $0.30 cash dividend announced. Warning! GuruFocus has detected 12 Warning Signs with OUT. Release Date: August 05, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Outfront Media Inc (NYSE:OUT) has undergone a significant internal reorganization to better align its sales teams and improve revenue growth. The company has centralized its operational and real estate functions to enhance efficiency and reduce administrative burdens. Outfront Media Inc (NYSE:OUT) reported a 5.6% growth in Transit revenues, driven by a 17% increase in Digital revenues. The company is focusing on digital conversions, which have shown approximately four times uplift in revenue versus pre-conversion levels. Outfront Media Inc (NYSE:OUT) expects annualized expense savings of approximately $18 million to $20 million due to restructuring efforts. Negative Points Billboard revenues declined by 2.5%, primarily due to the exit of two large, marginally profitable contracts in New York and LA. The company incurred a $19.8 million restructuring charge in the second quarter due to workforce reductions. Static Billboard revenues were down 1.6%, and Digital Billboard revenues declined by 4.5% during the quarter. Entertainment, health and medical, restaurants, and alcohol were weaker categories during the quarter. Outfront Media Inc (NYSE:OUT) faces challenges in engaging digital media buyers who have not yet embraced the digital out-of-home ecosystem. Q & A Highlights Q: The business has gone through significant changes recently, including new leadership and restructuring. Are you through the heaviest period of these changes, or are there more areas to address? A: We have focused on fundamental transformational issues this year, including resetting our sales strategy and modernizing workflow processes. While we've made significant progress, ongoing efforts continue, particularly in areas like AI, automation, and ad tech stack improvements. We believe we've addressed the major changes but will continue refining our processes. Q: Can you explain the weakness in the entertainment vertical, given the strong box office performance this year? A: While we secured deals with major studios like Universal and Disney, some key studios did not support their slates, leading to lower spending. We are optimistic about the entertainment sector in Q3, given the deals already committed. Q: Regarding the Q3 outlook, what are the drivers behind the acceleration in Transit, and what is the impact of the MTA and LA contract exits on Billboard? A: Transit growth is driven by improved focus and management incentives, particularly in New York. The MTA and LA contract exits will impact Billboard revenues, with each representing about 2% of our Billboard revenues in 2024. The biggest headwind will be in Q3, but we expect to lap the New York contract by Q4 and both by 2026. Q: With the decline in Static Transit revenue, is this due to ridership or a structural shift away from Static boards? Also, what is the potential for margin expansion from recent cost actions? A: The decline in Static Transit is expected as digital options are more appealing. We anticipate this trend to continue. Regarding cost actions, we expect $18 million to $20 million in annual savings, with half realized this year, contributing to margin expansion. Q: Despite revenue pressure, Billboard margins held up well. Are there additional cost levers to pull if revenue remains soft? A: We continue to manage our Billboard portfolio for margin optimization. While no large low-margin portfolios remain, we will keep refining our portfolio. We are focused on seeing the impact of recent changes before pulling additional cost levers. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
02-08-2025
- Business
- Yahoo
EchoStar Corp (SATS) Q2 2025 Earnings Call Highlights: Navigating Challenges and Strategic ...
Revenue: $3.7 billion in Q2, a decrease of 5.8% year-over-year. OIBDA: $280 million in Q2, a decrease of $163 million year-over-year. Operating Free Cash Flow: $166 million positive for the first half of the year. Free Cash Flow (including debt service): Negative $739 million for Q2. Total Cash and Marketable Securities: $4.7 billion as of June 30, 2025, a decrease of $711 million from the prior quarter. Wireless Revenue: Increased by 4.7% to $935 million in Q2. Wireless OIBDA Loss: Increased to negative $452 million from negative $394 million last year. Pay-TV Revenue: Decreased 8% to $2.5 billion. Pay-TV OIBDA: Decreased to $663 million from $753 million in the prior year. Broadband and Satellite Services Revenue: Decreased by 13.8% to $340 million. Broadband and Satellite Services OIBDA: Decreased by 17.8% to $68 million. Wireless Subscribers: Added approximately 212,000 net subscribers, ending the quarter with 7.4 million subscribers. Pay-TV Subscribers: DISH TV finished the quarter with approximately 5.3 million subscribers. HughesNet Broadband Subscribers: Closed Q2 with approximately 820,000 subscribers. Sling Subscribers: Closed the second quarter with approximately 1.8 million subscribers. Warning! GuruFocus has detected 6 Warning Signs with SATS. Release Date: August 01, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points EchoStar Corp (NASDAQ:SATS) announced an agreement with MDA Space to be the prime contractor for their new LEO satellite constellation, aiming to provide global wideband services directly to standard 5G NTN devices. The company reported a sequential growth in its wireless segment with 212,000 net subscriber additions, compared to a net loss in the same period of 2024. EchoStar Corp (NASDAQ:SATS) achieved a churn rate of 2.69% in its wireless segment, an improvement of 24 basis points year-over-year, indicating better customer retention. The company's broadband and satellite services segment saw an 8% increase in enterprise committed contract volume year-over-year, showcasing growth in enterprise demand. EchoStar Corp (NASDAQ:SATS) has invested over $13 billion in the S-band spectrum since 2012, demonstrating a long-term commitment to expanding its technological capabilities and market presence. Negative Points The FCC's review of EchoStar Corp (NASDAQ:SATS)'s spectrum licenses has introduced uncertainty, freezing the company's ability to make decisions about its 5G terrestrial network buildout. Revenue for the second quarter was approximately $3.7 billion, a decrease of 5.8% year-over-year, primarily due to fewer subscribers in the Pay-TV and Broadband and Satellite Services segments. OIBDA decreased by $163 million year-over-year, driven by fewer subscribers in Pay-TV and increased operating losses in the wireless segment due to higher subscriber acquisition costs. Free cash flow, including debt service, was negative $739 million for the second quarter, a significant decrease compared to the prior year. EchoStar Corp (NASDAQ:SATS) has suspended further 5G network buildout due to the FCC's inquiry, impacting its ability to expand its network infrastructure. Q & A Highlights Q: Can you elaborate on the decision to pursue the non-terrestrial network direct-to-device LEO constellation and its market strategy? A: Hamid Akhavan, President and CEO, explained that EchoStar is uniquely positioned to offer wideband services directly to devices, unlike others who focus on narrowband or broadband. The company plans to leverage its global spectrum rights and 5G NTN standardization to provide seamless connectivity. While EchoStar is open to partnerships, the current strategy is to go to market primarily through a wholesale model with carriers, aiming for a $5 billion peak funding spread over time. Q: How does EchoStar envision the LEO constellation fitting into the existing wireless market? A: Hamid Akhavan stated that initially, the LEO constellation will complement terrestrial networks by covering areas that are uneconomical for terrestrial coverage. Over time, as satellite capacity increases, it could relieve carriers from the cost of maintaining networks in sparsely populated areas. The goal is to enhance carrier services without replacing them. Q: What is the status of EchoStar's discussions with the FCC regarding spectrum rights, and how does it impact your operations? A: Hamid Akhavan noted that discussions with the FCC are ongoing, and while they have introduced uncertainty, EchoStar is working collaboratively to find a solution. The company has suspended further 5G network buildout until the matter is resolved but remains committed to optimizing existing infrastructure. Q: Can you provide more details on the financial implications and timeline for the LEO constellation project? A: Hamid Akhavan clarified that the $5 billion peak funding includes satellite manufacturing, launch, and operational costs. The $1.3 billion agreement with MDA is part of this total. The project is expected to be self-funded after reaching peak funding, with commercial services launching in 2029. Q: How does EchoStar plan to address its financial obligations while investing in the LEO project? A: Hamid Akhavan acknowledged the need to balance financial obligations with new investments. While specific financing details were not disclosed, he emphasized that the company is considering various options to ensure financial stability and intends to provide more information at the upcoming satellite show in Paris. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
