Optimum Communications, Inc. · NYSE:OPTU
Optimum Communications — Altice USA — Q1 2023 Earnings Presentation
15 slides from Optimum Communications's earnings presentation, May 3, 2023
Slide 1: Altice USA Q1 2023 Results
Altice USA Q1 2023 Results May 3, 2023
Slide 2: Disclaimer
Disclaimer FORWARD-LOOKING STATEMENTS Certain statements in this presentation constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, all statements other than statements of hi
Slide 3: Altice USA Q1 2023 Summary Review
Altice USA Q1 2023 Summary Review New launch of Optimum Complete: Internet + Mobile bundle offer Fiber network expansion (+214k passings; total 2.4 million) and new build activity (+48k) Best fiber customer growth quarter (+38k), ending Q1 at 210k fiber customers Total customer broadband net loss of
Slide 4: Optimum Strategy
Optimum Strategy To become the connectivity provider of choice across all the communities we serve DELIGHT GROW THE BEST THE BEST CUSTOMER CUSTOMER EXPERIENCE RELATIONSHIPS CONNECT INSPIRE THE BEST THE BEST NETWORK PEOPLE Altice USA Q1 2023 Results | 4
Slide 5: FTTH Passings and New Build Growth
FTTH Passings and New Build Growth FTTH passings (’000) New build additional passings (’000) ~50% acceleration in pace Quarterly New FTTH +146 +270 +321 +251 +214 >+900 passings 3500 229 >3,000 216 200 3000 2,373 67 89 2500 2,159 150+ 1,908 2000 115 119 1,587 1500 1,317 200 Total 1000 Cumulative 149
Slide 6: Growth of the Fastest Fiber Internet
Growth of the Fastest Fiber Internet (1) Fiber + mobile converged bundle speed tiers Total fiber customers and net additions (’000) ~250% acceleration in pace Quarterly FTTH +11 +23 +31 +36 +38 Customer Net Additions 210 Ultra-fast speed plus Super-charged speed plus The fastest Internet speed plus
Slide 7: Quarterly Customer Trends
Quarterly Customer Trends Total broadband net additions (’000) Reported Mobile line net additions (’000) 33 12 8 5 4 (9) (12) (19) Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Mobile line net additions excluding free service(1) (’000) (39) (43) 15 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 7 6 6 4 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23
Slide 8: Financial Review
Financial Review Uti ¢ © Nae | optimum.
Slide 9: Revenue Trends
Revenue Trends Q1-23 vs. Q1-22 ($m) Revenue YoY -5.3% Q1-23 2,422 Other 2,294 News & Advertising 115 Total Revenue -5.3% 99 Business Services 368 364 Residential Revenue -5.6% Business Services Revenue -1.1% Residential 1,913 1,805 excluding Sprint early termination revenue(1) -0.2% News & Advertisi
Slide 10: Capex to Support Network Evolution
Capex to Support Network Evolution Cash capital expenditures ($m) Capital expenditures review Capital intensity(1) 16.2% 19.7% 20.6% 22.9% 25.4% + Q1-23 growth capex(2) represents 72% of capital spend + Ongoing focus on FTTH rollout and footprint expansion 583 543 (FTTH / New Build capex increase +6
Slide 11: Free Cash Flow
Free Cash Flow Q1-23 Free Cash Flow and Net Change in Cash Bridge ($m) 868 FTTH 285 (583) 81 (389) (13) (85) (50) (166) (0) Adjusted Cash Operating Cash Cash Other Free Cash Other Financing Net change in EBITDA capex Free Cash interest taxes operating Flow investing activities & FX cash Flow cash fl
Slide 12: Altice USA Pro Forma Consolidated Debt Maturity Profile
Altice USA Pro Forma Consolidated Debt Maturity Profile Altice USA maturity profile ($bn) 0.1 0.8 1.6 0.6 5.8 5.4 1.8 5.7 3.0 Altice USA Consolidated as of March 31, 2023 $1,000m RCF WACD: 6.0% Paydown(3) WAL: 5.5 years Fixed rate % of debt: 80% Liquidity: ~$2bn New $1,000m Sr. Guaranteed Note(3) Ne
Slide 13: Q&A
Q&A Altice USA Q1 2023 Results | 13
Slide 14: Appendix
Appendix Altice USA Q1 2023 Results | 14
Slide 15: Summary Financial Information
Summary Financial Information Growth ($m) Q1-22 Q1-23 YoY Total Revenue $2,421.9 $2,294.0 (5.3%) Adjusted EBITDA(1) $991.7 $868.4 (12.4%) Margin (%) 40.9% 37.9% Cash capital expenditures $392.4 $582.9 48.6% Capex % of revenue 16.2% 25.4% OpFCF (1) $599.4 $285.5 (52.4%) Margin (%) 24.7% 12.4% (1) Adj