NEW YORK, April 17, 2024 /PRNewswire/ -- Duolingo Inc. (NASD:DUOL) will replace Cable One Inc. (NYSE:CABO) in the S&P MidCap 400, and Cable One will replace MDC Holdings Inc. (NYSE:MDC) in the S&P SmallCap 600 effective prior to the opening of trading Monday, April 22. Sekisui House Ltd. is acquiring MDC Holdings in a transaction expected to be completed on April 19, pending final conditions. Following is a summary of the changes that will take place prior to the open of trading on the effective date: Ef ...

If there’s one thing I’ve learned about retail do-it-yourself investors, they love to hear about Wall Street whispers. These are upgrades or new coverage of stocks by analysts with a buy rating. Nothing moves the markets quite like the prognostications of sell-side analysts. The challenge in tracking analysts’ moves is that they are human, which means they sometimes get it wrong. I remember one analyst covering Lululemon (NASDAQ:LULU), who was bearish about the athletic apparel brand for years, despite its ...

PHOENIX--(BUSINESS WIRE)--Cable One, Inc. (NYSE: CABO) (the “Company” or “Cable One”) today announced that Ken Johnson has been appointed Chief Operating Officer by its Board of Directors. Johnson, who previously served as the Company’s Chief Technology & Innovation Officer, has more than 25 years of industry experience, having held executive leadership positions over technology and operations for companies of considerable size and complexity. Since joining Cable One in 2018 upon the Company’s acquisitio ...

Financial Data and Key Metrics Changes - For Q4 2023, total revenues were $411.8 million, a 3.2% decrease from Q4 2022, primarily due to a 21.3% decrease in residential video revenues [20] - Net income for Q4 2023 was $115.3 million compared to a net loss of $77.2 million in Q4 2022 [21] - Adjusted EBITDA for 2023 was $916.9 million, a 0.6% increase from $911.9 million in 2022, with an adjusted EBITDA margin of 54.6%, representing a 120 basis point improvement [39] Business Line Data and Key Metrics Changes - Residential data revenues increased by 2.1% year-over-year, with over 1,600 new PSUs added in Q4 2023 [20] - Business services revenues declined by 0.5% year-over-year, but data services within business offerings exceeded residential data revenue growth rates [20] - Operating expenses for 2023 were $440.9 million, or 26.3% of revenues, down from $470.9 million or 27.6% in the prior year, indicating improved cost management [36] Market Data and Key Metrics Changes - The company expanded its residential broadband base by more than 1,600 customers in Q4 2023, driven by improved new connects and sustained low churn rates [81] - Approximately 9,800 residential and business data customers grew sequentially in Q4, totaling over 83,600 for the full year 2023 [46] Company Strategy and Development Direction - The company is focusing on balanced growth, targeting value-conscious customers while maintaining a robust infrastructure to support increasing bandwidth needs [61] - The strategy includes aggressive responses to competition, particularly in markets with new entrants, and a commitment to enhancing customer experience through investments in technology [51][53] - The company plans to moderate capital expenditures in 2024, aiming for a range in the low 300s million, reflecting a disciplined approach to long-term investments [40][49] Management's Comments on Operating Environment and Future Outlook - Management acknowledged near-term pressures on ARPU due to promotional offers aimed at value-conscious customers, viewing this as an acceptable trade-off for long-term growth [54][55] - The company achieved its highest level of free cash flow in 2023, indicating strong financial performance despite competitive challenges [56] - Management expressed confidence in the ability to manage ARPU effectively while expanding the customer base and enhancing long-term value [55] Other Important Information - The company distributed $66.3 million in dividends and repurchased over 141,000 shares for $99.6 million in 2023, alongside repaying $163.7 million of debt [42] - As of December 31, the company had approximately $190 million in cash and cash equivalents, with a total debt balance of approximately $3.7 billion [43] Q&A Session Summary Question: What is the impact of existing subscriber base on ARPU? - Management noted that promotional and discounted offers targeted at value-conscious segments have impacted ARPU, with a shift from focusing solely on high LTV customers [6][11] Question: What is the target leverage for the company? - The company operates within a leverage range of 2.5 to 4.5 times, currently at 3.85 times, and is focused on disciplined debt repayment [27][28] Question: How does the company view ARPU pressures in the near term? - Management anticipates continued ARPU pressure due to targeting lower-end offers but believes this is necessary for defending market share and expanding the customer base [54][55] Question: What are the company's plans regarding buybacks? - Management indicated that buybacks are currently deprioritized in favor of balance sheet management and debt repayment, reflecting a conservative approach [68][69] Question: How is the company addressing competition from new entrants? - The company is prepared to respond aggressively to new competitors with a comprehensive strategy, including competitive pricing and enhanced service offerings [51][52]

Cable One (CABO) reported $411.82 million in revenue for the quarter ended December 2023, representing a year-over-year decline of 3.2%. EPS of $10.66 for the same period compares to $8.94 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $417.66 million, representing a surprise of -1.40%. The company delivered an EPS surprise of -17.11%, with the consensus EPS estimate being $12.86.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wal ...

Cable One (CABO) came out with quarterly earnings of $10.66 per share, missing the Zacks Consensus Estimate of $12.86 per share. This compares to earnings of $8.94 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -17.11%. A quarter ago, it was expected that this telecommunications company would post earnings of $13.40 per share when it actually produced earnings of $10.78, delivering a surprise of -19.55%.Over the last four qua ...

Revenue Breakdown - In 2023, residential data services accounted for 58.4% of total revenues, business services for 18.1%, and residential video for 15.4%[79]. - Business services accounted for 18.1% of total revenues in 2023, up from 17.9% in 2022[104]. - Residential video services represented 15.4% of total revenues in 2023, down from 19.1% in 2022[107]. - Residential voice services made up 2.2% of total revenues in 2023, a decline from 2.5% in 2022[108]. Financial Performance - Net income for 2023 was $267.4 million, an increase of $33.3 million or 14.2% compared to $234.1 million in 2022[281]. - Adjusted EBITDA for 2023 was $916.9 million, reflecting a slight increase of $5.1 million or 0.6% from $911.9 million in 2022[278]. - Income tax provision for 2023 was $89.7 million, a decrease of $36.6 million or 29.0% compared to $126.3 million in 2022[268]. - The effective tax rate decreased to 21.8% in 2023 from 33.7% in 2022, primarily due to changes in valuation allowance and state blended rate adjustments[268]. - Other income, net, was $54.6 million for 2023, compared to an expense of $25.9 million in 2022, primarily due to non-cash gains and interest income[297]. Customer and Service Trends - The average residential data customer used 705 Gigabytes of data per month, with nearly 25% using over 1 Terabyte[82]. - Business data customers and revenues have seen significant growth since 2013, with expectations for continued long-term growth[67]. - Residential video services are expected to decline as the company shifts focus to higher-margin businesses, with the introduction of Sparklight® TV as an IPTV service[83]. - Residential data service revenues increased by $44.7 million or 4.8%, driven by increased customer subscriptions to premium tiers and a rate adjustment in Q2 2023[270]. - Residential video service revenues decreased by $67.2 million, or 20.7%, due to a decline in residential video subscribers[298]. - Residential voice service revenues decreased by $6.0 million, or 13.9%, primarily due to a decrease in residential voice subscribers[299]. Capital Expenditures and Investments - Approximately 69% of total capital expenditures since 2017 focused on infrastructure improvements to drive revenue and Adjusted EBITDA expansion[68]. - The company continues to invest in infrastructure to meet customer needs and remain competitive, including expanding high-speed data service in adjacent areas[84]. - The company plans to deploy DOCSIS 4.0 capabilities and new data service offerings to enhance growth in residential and business services[70]. - The company is expanding fiber-to-the-premises technology to additional areas and markets each year[105]. Regulatory and Compliance Issues - The FCC's new broadband label requirements are set to take effect on April 10, 2024, which may incur additional compliance costs for the company[136]. - The FCC adopted rules in November 2023 to prevent digital discrimination in broadband access, effective March 22, 2024, potentially impacting the company's operations[136]. - The company is subject to various federal and state data security laws, which may impose unforeseen costs related to sensitive personal information[138]. - The FCC's regulations allow for an orderly franchise renewal process, but local authorities may require additional commitments from the company[140]. - The FCC has implemented rules to expedite competitive franchise awards, which could enhance competition in the video service marketplace[141]. - The company is required to comply with the Communications Assistance for Law Enforcement Act (CALEA), ensuring law enforcement access for lawful wiretap purposes[204]. Workforce and Diversity - As of December 31, 2023, the company had 2,993 full-time and part-time associates, a decrease from 3,132 associates in 2022[93]. - The average tenure of associates at the company is nearly 11 years, indicating a stable workforce[94]. - The company is committed to diversity and inclusion, with 2,437 participants in various sessions in 2023[117]. - The company completed over 32,000 instructional hours of safety training for associates in 2023[98]. Debt and Financing - The company entered into a new credit agreement, increasing the revolving credit facility by $500.0 million to $1.0 billion and extending its maturity to February 2028[305]. - Net cash provided by operating activities decreased by $74.9 million, or 10.1%, year-over-year, primarily due to increased cash paid for income taxes and interest[300]. - Cash and cash equivalents at the end of the period were $190.3 million, down $24.9 million, or 11.6%, from the previous year[300]. - The company reported a $117.3 million year-over-year decrease in net cash used in financing activities, attributed to net proceeds from long-term debt borrowings[301]. Market Value and Stock - The aggregate market value of the company's common stock held by non-affiliates was approximately $3.7 billion as of June 30, 2023[73]. - The existence of Convertible Notes may dilute existing stockholders' ownership interests and could adversely affect the market price of the company's common stock[207].

Exhibit 99.1 Year Ended December 31, Cable One® Cable One Reports Fourth Quarter and Full Year 2023 Results February 22, 2024 – PHOENIX – (BUSINESS WIRE) – Cable One, Inc. (NYSE: CABO) (the "Company" or "Cable One") today reported financial and operating results for the quarter and year ended December 31, 2023. Three Months Ended December 31, | --- | --- | --- | --- | --- | --- | --- | --- | |-------------------------------------------------------|-------|------------------|-------|------------------|------ ...

The upcoming report from Cable One (CABO) is expected to reveal quarterly earnings of $12.86 per share, indicating an increase of 43.9% compared to the year-ago period. Analysts forecast revenues of $417.66 million, representing a decrease of 1.9% year over year.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Before a company announces its earnings, it ...

Cable One (CABO) is expected to deliver a year-over-year increase in earnings on lower revenues when it reports results for the quarter ended December 2023. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on February 22, 2024, might help the stock move higher if these key numbers are better than ...