Liberty Latin America Ltd. · NASDAQ:LILA
Liberty Latin America — Q3 2023 Earnings Presentation
23 slides from Liberty Latin America's earnings presentation, Nov 10, 2023
Slide 1: Liberty Latin America Q3 2023 Investor Call
LIBERTY LATIN AMERICA Q3 2023 INVESTOR CALL November 10, 2023 Part of Liberty Latin America
Slide 2: Safe Harbor: Forward-Looking Statements and Defined Terms
“SAFE HARBOR” FORWARD-LOOKING STATEMENT | DEFINED TERMS FORWARD-LOOKING STATEMENTS & DISCLAIMER businesses; 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
Slide 3: Agenda
AGENDA 01 | EXECUTIVE SUMMARY 02 | FINANCIAL RESULTS 03 | APPENDIX Part of Liberty Latin America
Slide 4: Liberty Latin America Key Messages
LIBERTY LATIN AMERICA | KEY MESSAGES(1) OPERATIONAL PROGRESS; INTEGRATION FOCUS 1 2 3 4 +44K $428M $112M INTEGRATION Q3 INTERNET Q3 EQUITY & Q3 ADJUSTED PROGRESS & POSTPAID CONVERTIBLE OIBDA ADDS BUYBACK Panama progress, Driven by Costa Rica +10% rebased growth $294m repurchased in synergies driving
Slide 5: C&W Caribbean: Operational Momentum Continues
C&W CARIBBEAN | OPERATIONAL MOMENTUM CONTINUES(1) ROBUST SUBSCRIBER TRENDS & FINANCIAL GROWTH INTERNET RGU EVOLUTION REVENUE BY PRODUCT KEY MESSAGES & HIGHLIGHTS INTERNET NET RGU ORGANIC ADDITIONS (LOSSES) | IN THOUSANDS Q3 2023 FIXED MOBILE B2B YoY ADDs +28 • Economies continue to improve 36% • Rob
Slide 6: C&W Panama: Synergies Drive Financial Performance
C&W PANAMA | SYNERGIES DRIVE FINANCIAL PERFORMANCE(1) INTEGRATION PROGRESSING INTERNET RGU EVOLUTION REVENUE BY PRODUCT KEY MESSAGES & HIGHLIGHTS INTERNET NET RGU ORGANIC ADDITIONS (LOSSES) | IN THOUSANDS Q3 2023 FIXED MOBILE B2B YoY ADDs +27 • Revenue driven by B2B contract wins & >50k total fixed
Slide 7: Liberty Puerto Rico: Integration Focus
LIBERTY PUERTO RICO | INTEGRATION FOCUS(1) FIXED BUSINESS PERFORMING STRONGLY INTERNET RGU EVOLUTION KEY MESSAGES & HIGHLIGHTS INTERNET NET RGU ORGANIC ADDITIONS (LOSSES) | IN THOUSANDS YoY ADDs +29 • Robust fixed subscriber & revenue growth, underpinned by high-speed networks & commercial propositi
Slide 8: Liberty Costa Rica: Robust Operating Performance
LIBERTY COSTA RICA | ROBUST OPERATING PERFORMANCE(1) INTERNET ADDS IMPROVEMENT; STRONG POSTPAID TREND INTERNET RGU EVOLUTION REVENUE BY PRODUCT KEY MESSAGES & HIGHLIGHTS INTERNET NET RGU ORGANIC ADDITIONS (LOSSES) | IN THOUSANDS Q3 2023 FIXED MOBILE B2B YoY ADDs +4 • Stabilization in competitive fix
Slide 9: Liberty Networks: Strong Top-Line Performance
LIBERTY NETWORKS | STRONG TOP-LINE PERFORMANCE(1) ROBUST GROWTH LEVERAGING UNIQUE NETWORK FOOTPRINT SUBSEA & TERRESTRIAL NETWORK REVENUE BY PRODUCT KEY MESSAGES & HIGHLIGHTS Q3 2023 Q3 REBASED REVENUE GROWTH • Rebrand to Liberty Networks globally recognized by Capacity Media for Best Marketing Campa
Slide 10: M&A: Delivering Shareholder Value
M&A | DELIVERING SHAREHOLDER VALUE SPECTRUM & MOBILE PREPAID ACQUISITION IN PR & USVI; TOWER MONETIZATION IN SIX MARKETS AGREEMENT TO ACQUIRE SPECTRUM & SUBSCRIBERS FROM DISH(1) AGREEMENT TO MONETIZE TOWERS WITH PHOENIX TOWER Across Panama, Jamaica, Bahamas, PR, Barbados & Enhances spectrum position
Slide 11: Agenda
AGENDA 01 | EXECUTIVE SUMMARY 02 | FINANCIAL RESULTS 03 | APPENDIX Part of Liberty Latin America
Slide 12: Q3 2023 Financial Results
Q3 2023 FINANCIAL RESULTS(1) DOUBLE-DIGIT ADJUSTED OIBDA GROWTH; ANTICIPATE STRONG Q4 ADJUSTED FCF REVENUE ADJUSTED OIBDA P&E ADDITIONS(2) ADJUSTED FCF IN USD MILLIONS IN USD MILLIONS IN USD MILLIONS; AS PERCENTAGE OF REVENUE IN USD MILLIONS VTR VTR VTR +1% EXCL. VTR +10% EXCL. VTR 18% EXCL. VTR 17%
Slide 13: Segment Financial Results
SEGMENT FINANCIAL RESULTS(1) STRONG YOY ADJUSTED OIBDA GROWTH IN NUMBER OF SEGMENTS PUERTO RICO COSTA RICA Q3 2023 IN USD MILLIONS 15% 20% 12% 16% 12% AS % OF AS % OF AS % OF AS % OF AS % OF REVENUE REVENUE REVENUE REVENUE REVENUE 361 351 190 150 116 135 113 56 59 37 64 57 50 13 16 REVENUE ADJ. P&E
Slide 14: LPR: Revenue by Product & Adjusted OIBDA
LPR | REVENUE BY PRODUCT & ADJUSTED OIBDA(1) OPERATING PERFORMANCE STABLE; PHASING IMPACTS YOY REVENUE & ADJUSTED OIBDA REVENUE EQUIPMENT POSTPAID PREPAID ROAMING & OTHER TOTAL IN USD MILLIONS (9) (17) • Stable sequentially (3) SEQUENTIAL YOY (5) 0 • YoY decline driven by: 1 12 (3) (17) 3 4 (13) o M
Slide 15: Balance Sheet & Liquidity Position
BALANCE SHEET & LIQUIDITY POSITION(1) STRONG LIQUIDITY; CONTINUING TO DE-RISK CONVERTIBLE MATURITY KEY METRICS MATURITY SCHEDULE(5) IN USD BILLIONS LLA CORP C&W LPR LCR $8.0 6.0 BILLION PERCENT TOTAL 2.9 TOTAL DEBT DEBT CASH(3) WACD 2.6 DUE IN 2027 & BEYOND 96% 1.4 4.6x 4.3X 4.6 GROSS NET YEARS 0.5
Slide 16: Conclusions
CONCLUSIONS(1) FOCUS ON PROGRESSING INTEGRATIONS & DELIVERING PERFORMANCE 1 2 3 4 OPERATIONAL INTEGRATION CAPITAL INORGANIC MOMENTUM ACTIVITY ALLOCATION STRATEGY Subscriber growth Network investments Accretive transactions Final stages of key driven by FMC Equity buyback & de-risk strengthening our
Slide 17: Agenda
AGENDA 01 | EXECUTIVE SUMMARY 02 | FINANCIAL RESULTS 03 | APPENDIX Part of Liberty Latin America
Slide 18: Definitions & Additional Information
DEFINITIONS & ADDITIONAL INFORMATION ADJUSTED OIBDA MARGIN REVENUE GENERATING UNIT (“RGU”) Calculated by dividing Adjusted OIBDA by total revenue for the applicable period. RGU is separately a video RGU, internet RGU or telephony RGU. A home, residential multiple dwelling unit, or commercial unit ma
Slide 19: Agreement to Acquire Spectrum & Subscribers from DISH
AGREEMENT TO ACQUIRE SPECTRUM & SUBSCRIBERS FROM DISH SPECTRUM EVOLUTION PAYMENT TIMELINE IN MHz CBRS WCS AWS 1900 MHz 850 MHz 700 MHz 600 MHz $67m $32m +1.4 GHz T SPECTRUM BOOST mmWAVE PAYMENT PAYMENT 324 40 30 $72m T+1 SPECTRUM 223 PAYMENT 30 105 30 +1.4 GHz mmWAVE 40 $45m T+2 SPECTRUM 60 101 PAYM
Slide 20: Information on Rebased Growth
INFORMATION ON REBASED GROWTH Rebase growth rates are a non-GAAP measure. For purposes of calculating rebased growth rates on a acquisition periods to eliminate nonrecurring items or to give retroactive effect to any changes in estimates that comparable basis for all businesses that we owned during
Slide 21: Adjusted Free Cash Flow Definition & Reconciliation
ADJUSTED FREE CASH FLOW DEFINITION & RECONCILIATION We define Adjusted Free Cash Flow (Adjusted FCF), a non-GAAP measure, as net cash provided by our interest owners. We believe that our presentation of Adjusted FCF provides useful information to our investors operating activities, plus (i) cash pay
Slide 22: Adjusted OIBDA Definition & Reconciliation
ADJUSTED OIBDA DEFINITION & RECONCILIATION On a consolidated basis, Adjusted OIBDA, a non-GAAP measure, is the primary measure used by our chief trends, (ii) perform analytical comparisons and benchmarking between segments and (iii) identify strategies to operating decision maker to evaluate segment
Slide 23: Consolidated Leverage Ratio Definition & Reconciliation
CONSOLIDATED LEVERAGE RATIO DEFINITION & RECONCILIATION 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 le
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