Cable One(US:CABO)2024-11-07 21:22Financial Performance - Total revenues for Q3 2024 were $393.6 million, a decrease of 6.4% from $420.3 million in Q3 2023[2] - Net income increased to $44.2 million in Q3 2024, up 45.9% from $30.3 million in Q3 2023, resulting in a net profit margin of 11.2%[4] - Adjusted EBITDA for Q3 2024 was $213.6 million, down 7.1% from $230.0 million in Q3 2023, with an adjusted EBITDA margin of 54.3%[9] - Residential data revenues decreased by $17.1 million, or 6.9%, year-over-year, primarily due to a 7.1% decrease in average revenue per unit[7] - Net income for the quarter was $44.2 million, representing a 45.9% increase from $30.3 million in the same quarter of 2023[35] - Basic net income per share rose to $7.86, a 45.6% increase from $5.40 in the previous year[35] - Operating expenses decreased by 1.6% to $283.3 million, down from $287.8 million year-over-year[35] - Interest expense decreased by 11.3% to $34.2 million compared to $38.5 million in the same period last year[35] - The company reported a comprehensive income of $13.1 million, a decrease of 73.3% from $48.9 million in the prior year[35] - The net profit margin for the three months ended September 30, 2024, was 11.2%, up from 7.2% in the prior year[40] Cash Flow and Capital Expenditures - Cash flows from operating activities were $176.2 million in Q3 2024, compared to $180.2 million in Q3 2023, reflecting a decrease of 2.2%[10] - Capital expenditures for Q3 2024 totaled $76.9 million, a slight decrease from $77.8 million in Q3 2023[10] - The company paid $17.0 million in dividends during Q3 2024[5] - The company repaid $50.0 million under its revolving credit facility during Q3 2024, with an additional $50.0 million repaid in October 2024[12] - Net cash provided by operating activities was $176,209,000, compared to $180,152,000 in the same period last year[38] - Capital expenditures decreased by 1.1% to $76,970,000 from $77,815,000[42] - Interest expense, net decreased by 11.3% to $34,210,000 from $38,548,000[42] Customer Metrics - Residential data primary service units (PSUs) decreased by approximately 3,400 sequentially, with a net loss of 5,300 PSUs due to the expiration of the Affordable Connectivity Program[3] - Total residential customers decreased by 0.8% to 994,600 from 1,002,100[44] - Total business customers remained stable at 102,700[44] - Total PSUs (Primary Service Units) decreased by 3.3% to 1,181,000 from 1,220,100[44] - ARPU for residential data decreased by 7.1% to $85.69 from $91.77[44] Balance Sheet and Debt - At September 30, 2024, the company's cash and cash equivalents were $226.6 million, with total debt at $3.52 billion[11] - Total current assets decreased slightly to $335,070,000 as of September 30, 2024, from $342,378,000 at the end of 2023[36] - Cash and cash equivalents increased to $226,641,000 from $190,289,000 at the end of 2023[36] - Total liabilities decreased to $4,776,076,000 as of September 30, 2024, from $4,950,240,000 at the end of 2023[36] - Long-term debt decreased to $3,468,818,000 from $3,626,928,000 at the end of 2023[36] - Total stockholders' equity increased to $1,884,604,000 as of September 30, 2024, from $1,809,270,000 at the end of 2023[36] Operational Insights - The company is focused on bridging the digital divide and enhancing customer experience through innovation and reliability[29] - Fair value adjustments showed a significant increase of 121.0%, changing from $(25,421,000) to $5,347,000[42] - Adjusted EBITDA less capital expenditures decreased by 10.2% to $136,621,000 from $152,185,000[42] - Changes in operating assets and liabilities increased by 127.6%, from $(13,319,000) to $(30,311,000)[42]