Cable One(US:CABO)2024-02-21 16:00Financial Performance - Total revenues for Q4 2023 were $411.8 million, a decrease of $13.7 million or 3.2% compared to Q4 2022[6] - Net income for Q4 2023 was $115.3 million, compared to a net loss of $77.2 million in Q4 2022, resulting in a net profit margin of 28.0%[5][17] - Adjusted EBITDA for Q4 2023 was $226.9 million, down from $233.2 million in Q4 2022, with an Adjusted EBITDA margin of 55.1%[5][18] - For the full year 2023, total revenues were $1.7 billion, a decrease of $28.0 million or 1.6% compared to 2022[11][20] - Net income for 2023 was $267.4 million, an increase of $33.3 million or 14.2% from 2022, with a net profit margin of 15.9%[10][21] - Adjusted EBITDA for 2023 was $916.9 million, slightly up from $911.9 million in 2022, with an Adjusted EBITDA margin of 54.6%[10][22] Revenue Breakdown - Residential data revenues increased by 2.1% year-over-year in Q4 2023, contributing to overall revenue performance[6] - Residential data revenue increased by $44,732 or 4.8% to $979,296, while residential video revenue decreased by $67,234 or 20.7% to $257,966[58] - Residential data average monthly revenue per unit (ARPU) was $83.95 in Q4 2023, an increase of $2.24 or 2.7% from the prior year[7] - Residential video revenue decreased by 21.3% to $59.247 million[51] Expenses and Capital Expenditures - Capital expenditures for Q4 2023 totaled $115.6 million, an increase of 8.2% from $106.8 million in Q4 2022[19] - Operating expenses (excluding depreciation and amortization) decreased by 5.6% to $106.265 million[51] - Capital expenditures decreased to $371,028, down by $43,067 or 10.4% from $414,095 in 2022[72] Customer Metrics - The company serves over 1 million residential and business customers across 24 states[47] - Total residential customers decreased to 994.4 thousand, a decline of 15.8 thousand or 1.6% from 1,010.2 thousand in 2022[75] - Total business customers increased to 102.6 thousand, up by 1.1 thousand or 1.1% from 101.6 thousand in the previous year[75] - The percentage of total non-video customers increased to 86.8%, up from 83.4% in 2022, indicating a growth in non-video service adoption[75] - Video PSUs decreased to 134.2 thousand, down by 37.1 thousand or 21.6% from 171.2 thousand in 2022[75] Debt and Equity - The company repaid $150.0 million under its revolving credit facility during 2023, including $50.0 million in Q4 2023[9][27] - Long-term debt decreased to $3,626,928 from $3,752,591, a reduction of $125,663 or 3.4%[60] - Total stockholders' equity increased to $1,873,145 from $1,757,973, an increase of $115,172 or 6.5%[60] Cash Flow - Net cash provided by operating activities was $151,669 for the three months ended December 31, 2023, down $16,578 or 9.9% from $168,247 in the prior year[67] - The net cash provided by operating activities was $663,170, a decrease of $74,870 or 10.1% from $738,040 in 2022[72] Other Income and Adjustments - The company reported a significant increase in other income, netting $71.994 million compared to a loss of $122.873 million in the previous year[51] - The company reported a significant loss in other income, totaling $(71,994) for the three months ended December 31, 2023, compared to a gain of $122,873 in the same period last year, a change of $(194,867)[67] - Fair value adjustments for the three months ended December 31, 2023, resulted in a gain of $66,591, compared to a loss of $128,420 in the same period last year, a change of $195,011[67] Challenges and Outlook - The company anticipates ongoing challenges from rising competition and technology changes in the broadband communications market[49]