Liberty .(LBTYB) - 2024 Q3 - Quarterly Report

Customer Metrics - As of September 30, 2024, the company served 4,008,800 fixed-line customers and 5,932,500 mobile subscribers, with networks passing 8,546,000 homes[213]. - The average number of residential fixed subscription customers decreased by 13.3 thousand for the three-month period, contributing to a decline in subscription revenue[233]. - Residential fixed subscription revenue decreased by $34.1 million during the three months ended September 30, 2024, primarily due to a decline in the average number of customers[254]. Financial Performance - Net earnings for the three months ended September 30, 2024, were $(1,410.9) million, compared to $822.7 million in 2023, reflecting a significant decline[223]. - Adjusted EBITDA for the same period was $668.3 million, an increase from $597.7 million in 2023, representing a growth of 11.4%[223]. - Total revenue for the reportable segments reached $1,935.2 million, up 4.4% from $1,854.5 million in 2023[227]. - Total revenue for the nine months ended September 30, 2024, was $5,754.0 million, an increase of $183.1 million, or 3.3%, from $5,570.9 million in 2023[228]. - The company reported a net loss of $608.7 million for the nine months ended September 30, 2024, compared to a loss of $402.1 million in 2023, driven by increased non-operating expenses[313]. Revenue Segments - Sunrise segment revenue increased to $865.7 million, a rise of 0.7% compared to $859.3 million in 2023[227]. - Telenet segment revenue grew by 10.0% to $785.2 million, up from $775.2 million in the previous year[227]. - Central and Other segment revenue surged by 65.0% to $229.3 million, compared to $164.3 million in 2023[227]. - Total B2B revenue reached $395.0 million for the three months ended September 30, 2024, up from $379.4 million in the same period last year[248]. Cost and Expenses - Programming and other direct costs of services increased by $5.3 million or 0.9% for the three months ended September 30, 2024, and $112.5 million or 6.5% for the nine months ended September 30, 2024, compared to the corresponding periods in 2023[264]. - Other operating expenses (excluding share-based compensation) increased by $5.4 million or 1.8% for the three months ended September 30, 2024, compared to the same period in 2023[269]. - SG&A expenses decreased by $6.8 million or 1.6% for the three months ended September 30, 2024, compared to the same period in 2023[272]. Market Competition - The company experienced competition that adversely impacted revenue, customer numbers, and average revenue per user (ARPU) in all operating markets[214]. - The company experienced competition across all markets, impacting customer growth and average revenue per user (ARPU)[225]. Regulatory and Economic Factors - The company faces risks related to regulatory compliance, government interventions, and potential impacts from geopolitical events[209]. - Inflationary pressures on labor, programming, and other costs may negatively impact operating results, cash flows, and liquidity[215]. Joint Ventures - The VMO2 joint venture reported revenue of $3,512.7 million, a slight increase of 0.3% from $3,503.8 million in 2023[227]. - The VodafoneZiggo joint venture generated $1,131.1 million in revenue, up 5.9% from $1,125.2 million in the previous year[227]. Cash Flow and Liquidity - Cash and cash equivalents totaled $2,356.4 million as of September 30, 2024, with $1,289.0 million (54.7%) denominated in euros and $1,034.3 million (43.9%) in U.S. dollars[320]. - Net cash provided by operating activities for the nine months ended September 30, 2024, was $1,241.3 million, a decrease of $85.4 million compared to $1,326.7 million in 2023[340]. - The company maintained compliance with its debt covenants as of September 30, 2024, and does not anticipate any material adverse impact on liquidity in the next 12 months[336]. Shareholder Actions - The company authorized a share repurchase program for 2024 to repurchase up to 10% of total outstanding shares as of December 31, 2023, with $503.1 million spent on share repurchases during the nine months ended September 30, 2024[329].