Shenandoah Telecommunications Co · NASDAQ:SHEN
Shenandoah Telecommunications — Q4 2021 Earnings Presentation
27 slides from Shenandoah Telecommunications's earnings presentation, Mar 1, 2022
Slide 1: Q4 2021 Earnings Conference Call
Q4 2021 Earnings Conference Call March 1, 2022
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation includes “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended, regarding our business strategy, our prospects and our financial position. These statements can be
Slide 3: Chris French, President and CEO
Chris French President and CEO 3
Slide 4: 2021 was a Transformative Year!
2021 was a Transformative Year! a Successfully divested our Wireless business for $1.94 billion a Paid $940 million in dividends to our shareholders a De-levered our balance sheet and raised $400 million in growth capital a Invested $82 million to grow the Glo Fiber network and customer base a Achie
Slide 5: Growing Broadband Network
Growing Broadband Network Broadband Data Homes and Businesses Passed 5
Slide 6: Broadband Data Net Additions
Broadband Data Net Additions Broadband Data Net Additions 6
Slide 7: Jim Volk, SVP of Finance and CFO
Jim Volk SVP of Finance and CFO 7
Slide 8: Broadband Highlights - Full Year Results
Broadband Highlights - Full Year Results Revenue (in millions) Adjusted EBITDA (in millions) 4.5% 11.6% 39.2% 36.7% margin margin 8
Slide 9: Tower Highlights - Full Year Results
Tower Highlights - Full Year Results Revenue (in millions) Adjusted EBITDA (in millions) 3.8% 3.2% 62.6% 62.9% margin margin 9
Slide 10: Consolidated Highlights - Full Year Results
Consolidated Highlights - Full Year Results Revenue (in millions) Adjusted EBITDA (in millions) 11.1% 17.8% Consolidated revenue includes elimination of intercompany activity. 10
Slide 11: Liquidity & Free Cash Flow
Liquidity & Free Cash Flow Liquidity (in millions) YTD Free Cash Flow (in millions) 11
Slide 12: Ed McKay, EVP and COO
SC a Ed McKay EVP and COO
Slide 13: Unique network platform with high growth potential
Unique network platform with high growth potential Government Grant Opportunities Greenfield fiber overbuilder Greenfield fixed wireless Greenfield hybrid fiber / Shentel position Incumbent cable broadband overbuilder fixed wireless provider Higher density tier III / IV Market type Mostly rural Low
Slide 14: Integrated Fiber, Cable and Fixed Wireless Broadband Network
Integrated Fiber, Cable and Fixed Wireless Broadband Network 14
Slide 15: Broadband - Incumbent Cable Metrics
Broadband - Incumbent Cable Metrics Revenue Generating Units (RGU) Broadband Data Average Revenue per User (ARPU) Broadband Data Penetration Broadband Data Churn 15
Slide 16: Broadband - Glo Fiber Metrics
Broadband - Glo Fiber Metrics Revenue Generating Units (RGU) Broadband Data Average Revenue per User (ARPU) Broadband Data Penetration Broadband Data Churn 16
Slide 17: Vintage Glo Fiber Penetration
Vintage Glo Fiber Penetration Vintage Glo Fiber Penetration 32.2%1 23.7%1 21.6%1 13.7%1 6.4%1 Passings released 15,377 10,848 5,828 8,434 1,777 to sales Quarter launched # of months after 1 month 7 months 13 months 19 months 25 months quarter launched 1 Penetration rates as of 2/4/2022 17
Slide 18: Broadband - Beam Broadband Data Metrics
Broadband - Beam Broadband Data Metrics Revenue Generating Units (RGU) Broadband Data Average Revenue per User (ARPU) Broadband Data Penetration Broadband Data Churn 18
Slide 19: Tower - Metrics
Tower - Metrics Towers Tenants Intercompany leases assumed by T-Mobile 7/1/2021 19
Slide 20: Capital Expenditures
Capital Expenditures Capex Spending ($ in millions) $220 - $240 $165 - $175 $13 - $18 $40 - $45 20
Slide 21: Q&A
Q&A AXSHENTEL
Slide 22: Appendix
HENTEL Appendix
Slide 23: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Included in this presentation are certain non-GAAP financial measures that are not determined in accordance with U.S. generally accepted accounting principles. These financial performance measures are not indicative of cash provided or used by operating activities
Slide 24: Adjusted EBITDA by Segment - Full Year Results
Adjusted EBITDA by Segment - Full Year Results 24
Slide 25: Broadband - Average Revenue per User (ARPU)
Broadband - Average Revenue per User (ARPU) *Average Revenue Per User calculation = (Residential & SMB Revenue * 1,000) / average revenue generating units / 12 months 25
Slide 26: Quarterly Results - Consolidated
Quarterly Results - Consolidated * Reclassification adjustments have been applied to historical financial results so that all periods are comparable. See Note 1 in the Company's 2021 10-K filed with the SEC for more details. SEC for more details. 26
Slide 27: Quarterly Results - Broadband
Quarterly Results - Broadband * Reclassification adjustments have been applied to historical financial results so that all periods are comparable. See Note 1 in the Company's 2021 10-K filed with the SEC for more details. SEC for more details. 27
Shenandoah Telecommunications Company — Q4 2021 Earnings Presentation on 6ix