WOW(WOW)2025-05-06 20:05Financial Performance - Revenue for the three months ended March 31, 2025, was $150.0 million, a decrease of 7.3% compared to $161.5 million for the same period in 2024[14] - Net loss for the first quarter of 2025 was $13.9 million, compared to a net loss of $15.0 million in the first quarter of 2024, indicating an improvement of 7.3%[14] - Basic and diluted loss per common share for Q1 2025 was $0.17, consistent with the loss per share of $0.18 in Q1 2024[14] - Total expenses for the broadband services segment decreased to $90.5 million in Q1 2025 from $103.9 million in Q1 2024, reflecting a reduction of approximately 12.9%[80] - The company reported a net loss of $13.9 million for the three months ended March 31, 2025, compared to a net loss of $15.0 million for the same period in 2024[57] Assets and Liabilities - Total assets as of March 31, 2025, were $1,502.3 million, a slight decrease from $1,512.5 million as of December 31, 2024[13] - Total liabilities increased marginally to $1,306.3 million from $1,303.7 million at the end of 2024[13] - Stockholders' equity decreased to $196.0 million as of March 31, 2025, down from $208.8 million at the end of 2024[13] - The company’s retained earnings showed a deficit of $52.4 million as of March 31, 2025, compared to a deficit of $38.5 million at the end of 2024[16] Cash Flow and Expenditures - Cash and cash equivalents decreased to $28.8 million from $38.8 million at the end of 2024, a decline of 25.8%[13] - Net cash provided by operating activities was $16.7 million, down from $33.2 million in the prior year[20] - Capital expenditures for the three months ended March 31, 2025, were $38.9 million, significantly lower than $72.5 million in the same period of 2024[20] Revenue Breakdown - Residential subscription services revenue decreased to $110.4 million, a decline of 8.8% from $121.0 million in the same period of 2024[30] - Business subscription services revenue remained stable at $28.1 million, slightly up from $28.0 million in the previous year[30] - Expected total revenue from subscription services for 2025 is $40.1 million, with a total expected revenue of $99.3 million through 2027[35] Debt and Interest Management - Long-term debt outstanding as of March 31, 2025, is $1,024.3 million, with an effective interest rate of 8.94% for super-priority loans[40] - The company entered into five interest rate swap agreements with a notional amount of $100 million each to manage interest rate risk, fixing the average variable rate exposure at 4.3%[67][68] - The fair value of the company's long-term debt was reported at $834.1 million as of March 31, 2025, down from $864.7 million as of December 31, 2024[61][64] Stock and Compensation - The company issued 1,029,789 shares of restricted stock during the first quarter of 2025[16] - The company recorded $2.4 million in stock-based compensation expense for the three months ended March 31, 2025[47] - The company granted 472,938 performance shares on March 28, 2025, related to the three-year cumulative EBITDA metric for 2024[52] - The total outstanding shares of restricted stock awards increased from 1,482,690 in March 2024 to 2,939,868 in March 2025[48] Compliance and Risk Management - The company is in compliance with all debt covenants as of March 31, 2025[45] - The company is focused on managing risks related to competition, technological changes, and economic conditions that may impact customer demand[11] Tax and Settlement - The company reported an income tax benefit of $4.9 million for Q1 2025, up from $0.5 million in Q1 2024, primarily due to the release of valuation allowance[72] - The company accrued $46.8 million related to a settlement with Sprint, with a remaining payment of $5.0 million due as of March 31, 2025[74]