Core Insights - WideOpenWest (WOW!) has appointed a new senior leadership team following its acquisition by DigitalBridge Group and Crestview Partners, aimed at transforming the company and enhancing customer experience [1][2][3] Leadership Appointments - Frank van der Post has been appointed as the new CEO, previously leading Cogeco's U.S. fiber-broadband business [3] - Patrick Bratton is the new Chief Financial Officer, overseeing finance, accounting, and tax teams, with over 20 years of experience in the industry [4] - Aaron Brace has been appointed as Chief Technology and Information Officer, leading network and IT infrastructure, with extensive experience in system design and support [4] - Courtland Madock is the Chief Commercial Officer, responsible for brand, marketing, and sales functions, with a strong background in telecom marketing [4] - Heather McCallion is the Chief Experience Officer, focusing on customer experience and business transformation initiatives [4] - Roger Seiken continues as Senior Vice President and General Counsel, overseeing legal and regulatory affairs [4] - Kristine DiFiore is the Senior Vice President of Human Resources, leading HR functions and organizational growth [4] Investment Plans - DigitalBridge and Crestview plan to invest in expanding and upgrading WOW!'s networks, adopting new technologies, and ensuring resources for delivering reliable internet service and high-quality customer experience [5] Company Overview - WOW! is a leading broadband provider, serving nearly 2 million consumers across 20 markets, primarily in the Midwest and Southeast [6] - The company offers a range of services including high-speed internet, TV, home phone, mobile phone, and cloud services, and has been recognized for its exceptional human resources practices [6]

The Zacks Cable Television industry players are focusing on bundled offerings and on-demand programming to counter challenges from cord-cutting as consumers shift away from traditional pay-TV options, including cable TV and satellite TV, to over-the-top streaming services with innovative content. The industry is evolving by leveraging its broadband infrastructure to meet changing consumer preferences and balancing traditional cable services with new streaming options to maintain relevance in the rapidly cha ...

Core Viewpoint - Wohl & Fruchter LLP has renewed its investigation into the fairness of the proposed sale of WideOpenWest, Inc. (WOW) to DigitalBridge Group and Crestview Partners for $5.20 per share in cash [1] Group 1: Shareholder Dynamics - Crestview Partners is the largest shareholder of WOW, owning approximately 37% of the common stock and has agreed to roll over its equity into the post-close entity, which is not available to public stockholders [2] - The sale was approved based on the recommendation of a purportedly independent special committee of WOW's board, indicating potential conflicts of interest [2] Group 2: Legal Proceedings - On October 27, 2025, WOW filed a definitive proxy with the SEC regarding the proposed sale, prompting the renewal of the investigation by Wohl & Fruchter LLP [3] - Shareholders concerned about the fairness of the sale price are encouraged to contact Wohl & Fruchter LLP for legal discussions at no charge [3] Group 3: Firm Background - Wohl & Fruchter LLP has over a decade of experience representing investors in litigation related to fraud and corporate misconduct, recovering hundreds of millions of dollars for investors [4]

Financial Performance - Revenue for Q3 2025 was $144.0 million, a decrease of 8.9% compared to $158.0 million in Q3 2024[13] - Net loss for Q3 2025 was $35.7 million, compared to a net loss of $22.4 million in Q3 2024, representing a 59.0% increase in losses year-over-year[13] - Basic and diluted loss per share for Q3 2025 was $0.43, compared to $0.27 in Q3 2024, indicating a 59.3% increase in loss per share[13] - Total revenue for the three months ended September 30, 2025, was $144.0 million, a decrease of 8.9% compared to $158.0 million for the same period in 2024[33] - Total expenses for the three months ended September 30, 2025, were $92.0 million, down from $100.5 million in the prior year, reflecting a reduction of 5.0%[13] - For the nine months ended September 30, 2025, the net loss was $67.4 million compared to a net loss of $48.2 million for the same period in 2024[18] Operating Expenses - Operating expenses (excluding depreciation and amortization) were $53.9 million, down from $62.6 million in the same quarter last year, reflecting a 13.5% reduction[13] - Total expenses for the nine months ended September 30, 2025, were $273.6 million, down from $306.8 million in 2024, a decrease of 10.8%[13] - Compensation and benefits expenses increased to $30.1 million for the three months ended September 30, 2025, compared to $29.0 million in 2024[97] - Direct expenses decreased to $18.3 million for the three months ended September 30, 2025, from $26.7 million in 2024[97] - Customer service and support expenses were $12.0 million for the three months ended September 30, 2025, slightly down from $12.4 million in 2024[97] Debt and Interest - The company incurred interest expenses of $25.9 million in Q3 2025, down from $31.6 million in Q3 2024, a reduction of 17.9%[13] - As of September 30, 2025, total long-term debt was $1,052.2 million, an increase from $1,008.7 million as of December 31, 2024[53] - The effective interest rate for the Super-priority Loans was 8.95% as of September 30, 2025, while the Revolving Credit Facility had an effective interest rate of 10.54%[53] - The Company has total long-term debt of $1,054.9 million as of September 30, 2025, not including unamortized debt issuance costs and discount[83] Merger and Future Outlook - The company entered into a Merger Agreement on August 11, 2025, with Bandit Parent LP, which will result in each share of the company's common stock being converted into cash of $5.20 per share upon completion[20] - The Merger is expected to close by the end of 2025 or in the first quarter of 2026, subject to various conditions including shareholder approval[21] - Future outlook includes potential risks associated with a proposed merger, which is subject to various approvals and may disrupt existing customer relationships[11] Impairment and Losses - The company reported impairment losses on intangibles of $1.5 million for Q3 2025, with no such losses reported in Q3 2024[13] - The company recorded a non-cash impairment loss of $1.5 million for franchise operating rights during the three and nine months ended September 30, 2025, due to a decline in projected cash flows[51] - The company recorded an out-of-period adjustment increasing income tax expense by $9.5 million for the three months ended September 30, 2025[90] Cash Flow and Capital Expenditures - Net cash provided by operating activities was $91.8 million for the nine months ended September 30, 2025, down from $132.8 million in 2024, reflecting a decrease of approximately 30.8%[18] - Capital expenditures for the nine months ended September 30, 2025, were $139.3 million, a decrease from $164.1 million in 2024, representing a reduction of about 15.1%[18] Customer and Market Information - The company serves customers in 18 markets across the United States, including major cities in Michigan, Georgia, South Carolina, Alabama, Tennessee, and Florida[19] - Total residential subscription revenue decreased to $105.2 million in Q3 2025 from $117.4 million in Q3 2024, representing a decline of 10.5%[33] - Business subscription revenue slightly decreased to $27.8 million in Q3 2025 from $28.6 million in Q3 2024, a decline of 2.8%[33] Accounting and Compliance - The company anticipates that the adoption of new accounting standards will not have a material impact on its financial position or results of operations[29][30][31][32] - The company was in compliance with all debt covenants as of September 30, 2025[60] - The company operates as one reportable segment, with no intra-entity sales or transfers[96]

Core Insights - WideOpenWest (WOW) reported a quarterly loss of $0.43 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.20, marking an earnings surprise of -115.00% [1] - The company generated revenues of $144 million for the quarter ended September 2025, exceeding the Zacks Consensus Estimate by 2.35%, but down from $158 million year-over-year [2] - The stock has underperformed the market, gaining about 3.6% year-to-date compared to the S&P 500's gain of 15.1% [3] Financial Performance - Over the last four quarters, WideOpenWest has surpassed consensus EPS estimates only once [2] - The current consensus EPS estimate for the upcoming quarter is -$0.26 on revenues of $138 million, and for the current fiscal year, it is -$0.84 on revenues of $572.9 million [7] Industry Context - The Cable Television industry, to which WideOpenWest belongs, is currently ranked in the bottom 15% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact WideOpenWest's stock performance [5][6]

Financial Data and Key Metrics Changes - The company did not provide specific financial results for Q3 2025 due to a pending acquisition, but a press release was issued with financial and operating results available on the Investor Relations website [1][2]. Business Line Data and Key Metrics Changes - In legacy markets, the company continues to compete primarily with Comcast and Charter, achieving strong high-speed data revenue growth and near-record low churn rates [6]. - In greenfield markets, the company added over 15,000 homes in the last quarter, bringing the total to 106,000, with a penetration rate maintained at 16% despite the increase in homes [6][7]. Market Data and Key Metrics Changes - The company reported adding 3,700 homes in legacy markets, with the 2025 vintage nearing a 30% performance rate [7]. Company Strategy and Development Direction - The company positions itself as a challenger brand against traditional cable companies and emphasizes its no contract, no data caps, reliable network, and simplified pricing as key competitive advantages [6][8]. Management's Comments on Operating Environment and Future Outlook - Management noted that competition includes traditional cable companies, new fiber entrants, and fixed wireless, but expressed confidence in their competitive position and customer value proposition [6][9]. Other Important Information - The company is currently in a definitive agreement for acquisition by affiliated investment funds of DigitalBridge Investments and Crestview Partners, which may impact future operations and strategic direction [1]. Q&A Session Summary Question: Where is the competition coming from in the market? - Management identified Comcast and Charter as primary competitors in legacy markets, along with fixed wireless competition, and noted strong growth in high-speed data revenue [6]. Question: Are Charter and Comcast focusing on their mobility products? - Management observed that Charter and Comcast are engaging in national advertising emphasizing mobile services, but highlighted their own clear value proposition with all-in pricing and no hidden fees [9].

Financial Performance - Total Revenue for Q3 2025 was $144.0 million, a decrease of $14.0 million, or 8.9%, compared to Q3 2024[4] - Total Subscription Revenue for Q3 2025 was $133.0 million, down $13.0 million, or 8.9%, primarily due to a $10.6 million shift in service offering mix and a $7.3 million decrease in volume across all services[5] - HSD Revenue totaled $106.6 million, a decrease of $0.9 million, or 0.8%, compared to Q3 2024[8] - Adjusted EBITDA for Q3 2025 was $68.8 million, a decrease of $8.5 million, or 11.0%, with an Adjusted EBITDA margin of 47.8%[12] - Net Loss for Q3 2025 was $35.7 million, compared to a net loss of $22.4 million for Q3 2024, resulting in a Net Profit Margin of (24.8)%[11] - Total revenue for the three months ended September 30, 2025, was $144.0 million, a decrease of 8.9% compared to $158.0 million for the same period in 2024[22] - Total subscription services revenue for the nine months ended September 30, 2025, was $404.4 million, down 8.4% from $441.5 million in 2024[22] - Net loss for the nine months ended September 30, 2025, was $67.4 million, compared to a net loss of $48.2 million for the same period in 2024[22] - Adjusted EBITDA for the nine months ended September 30, 2025, was not explicitly stated but is a key metric for assessing operational performance[30] - Cash flows from operating activities for the nine months ended September 30, 2025, provided $91.8 million, a decrease from $132.8 million in 2024[23] - Capital expenditures for the nine months ended September 30, 2025, were $139.3 million, down from $164.1 million in 2024[23] - For the three months ended September 30, 2025, the net loss was $35.7 million, compared to a net loss of $22.4 million for the same period in 2024, resulting in a net profit margin of (24.8)%[36] - Adjusted EBITDA for the nine months ended September 30, 2025, was $215.8 million, with an adjusted EBITDA margin of 49.2%, compared to $214.7 million and 44.9% for the same period in 2024[36] Subscriber Metrics - Approximately 464,500 total subscribers as of September 30, 2025, a decrease of 26,000, or 5%, compared to September 30, 2024[13] - The company passed approximately 15,500 new homes and added 2,500 subscribers in Greenfield markets during Q3 2025, bringing total homes passed to 106,600 with a penetration rate of 16.0%[8] - Total subscribers decreased to 464,500 as of September 30, 2025, down from 473,800 as of March 31, 2025[38] - High-Speed Data (HSD) Revenue Generating Units (RGUs) decreased to 457,100 as of September 30, 2025, compared to 465,900 as of March 31, 2025[38] - Video RGUs declined to 40,000 as of September 30, 2025, down from 48,900 as of March 31, 2025[38] - Telephony RGUs decreased to 65,300 as of September 30, 2025, compared to 69,200 as of March 31, 2025[38] Capital Expenditures and Debt - Capital Expenditures totaled $52.5 million for Q3 2025, representing a $12.0 million increase compared to Q3 2024[16] - Total outstanding long-term debt and finance lease obligations was $1,065.5 million as of September 30, 2025, with total net leverage at 3.7x on a LTM Adjusted EBITDA basis[17] - Total capital expenditures for the three months ended September 30, 2025, were $52.5 million, an increase from $40.5 million in the same period in 2024[38] - Capital expenditures related to Greenfields were $20.2 million for the three months ended September 30, 2025, compared to $6.5 million in the same period in 2024[38] Acquisition and Corporate Developments - WOW! announced an agreement to be taken private by DigitalBridge Group Inc and Crestview Partners in a $1.5 billion transaction, subject to certain closing conditions[8] - The company is involved in a proposed acquisition by funds affiliated with DigitalBridge Investments and Crestview Partners, which may impact future operations[25] Company Recognition and Operations - WOW! serves approximately 2.0 million residential, business, and wholesale consumers across 20 markets, primarily in the Midwest and Southeast[24] - The company has been recognized nine times as a Best & Brightest Company to Work For in the Nation, indicating strong human resources practices[24] - The company incurred non-recurring professional fees and restructuring expenses of $14.0 million for the three months ended September 30, 2025[36]

Core Insights - WideOpenWest, Inc. ("WOW!") reported a total revenue of $144.0 million for Q3 2025, a decrease of $14.0 million or 8.9% compared to Q3 2024 [6][4] - The company experienced a net loss of $35.7 million for the quarter, compared to a net loss of $22.4 million in the same period last year [8][6] - WOW! added 15,500 new homes passed and approximately 2,500 new Greenfield high-speed data (HSD) fiber subscribers, bringing the total homes passed in Greenfield markets to 106,600 with a penetration rate of 16.0% [11][6] Financial Performance - Total Subscription Revenue for Q3 2025 was $133.0 million, down $13.0 million or 8.9% from Q3 2024, primarily due to a shift in service offering mix and a decrease in volume across all services [4][6] - HSD Revenue totaled $106.6 million, a slight decrease of $0.9 million or 0.8% compared to the same quarter in 2024 [6][4] - Adjusted EBITDA for the quarter was $68.8 million, down $8.5 million or 11.0% from Q3 2024, with an Adjusted EBITDA margin of 47.8% [9][6] Subscriber Metrics - Total Subscribers as of September 30, 2025, were approximately 464,500, a decrease of 26,000 or 5% compared to the same date in 2024 [10][6] - HSD RGUs totaled 457,100, reflecting a decrease of 23,500 or 5% year-over-year [10][6] Market Expansion - The company passed an additional 19,200 homes in Q3 2025, including 15,500 in Greenfield markets and 3,700 in Edge-out projects [11][6] - Edge-out projects from 2025 passed 8,700 new homes with a penetration rate of 29.9%, while 2024 Edge-out projects had a penetration rate of 45.8% [12][11] Capital Expenditures and Debt - Capital Expenditures for Q3 2025 totaled $52.5 million, an increase of $12.0 million compared to Q3 2024, primarily due to market expansion initiatives [13][6] - As of September 30, 2025, total outstanding long-term debt and finance lease obligations were $1,065.5 million, with cash on hand of $22.9 million [14][6] Acquisition Announcement - WOW! announced an agreement to be acquired by DigitalBridge Group Inc. and Crestview Partners in a $1.5 billion transaction, subject to certain closing conditions [6][16] - In connection with the acquisition, WOW! extended the maturity date of its revolving credit facility to June 30, 2027 [17][6]

Core Points - WOW! Internet, TV & Phone will host a webcast and conference call on November 5, 2025, at 8:00 a.m. ET to discuss its Q3 2025 financial results [1][2] - The company is a leading broadband provider in the U.S., serving nearly 2 million consumers across 20 markets, primarily in the Midwest and Southeast [3] Company Overview - WOW! provides a range of services including high-speed Internet, cable TV, home and mobile phone services, business data, voice, and cloud services [3] - The company has been recognized 12 times as a Best & Brightest Company to Work For in the Nation, winning the award for the last eight consecutive years [3] - WOW! has recently achieved a milestone of surpassing 100,000 fiber homes passed in its Greenfield markets [6]

Core Viewpoint - Johnson Fistel, PLLP has initiated an investigation into potential breaches of fiduciary duties by the board members of WideOpenWest, Inc. (WOW!) regarding the proposed sale of the company to DigitalBridge Group, Inc. and Crestview Partners [1] Company Overview - WideOpenWest, Inc. announced a definitive merger agreement on August 11, 2025, where investment funds affiliated with DigitalBridge and Crestview will acquire all outstanding shares of WOW! common stock not already owned by Crestview for $5.20 per share, valuing the company at approximately $1.5 billion [3][4] - Crestview currently owns about 37% of WOW!'s outstanding shares and controls a majority of the board seats, which raises potential conflicts of interest in the negotiation and approval of the transaction [4] Financial Aspects - The proposed offer of $5.20 per share represents a premium to WOW!'s recent trading price but may still undervalue the company considering its strategic position, assets, and growth potential [4]