Financial Performance - GCI Liberty reported a 6% increase in total revenue to $261 million for Q2 2025, with business revenue rising 14% to $142 million, while consumer revenue decreased 2% to $119 million[3][18]. - Adjusted OIBDA grew 26% to $108 million, and operating income increased 70% to $51 million, reflecting improved cost management and operational efficiencies[3][9]. - GCI Liberty reported revenue of $261 million for Q2 2025, an increase of 6.1% from $246 million in Q2 2024[37]. - Adjusted OIBDA for Q2 2025 was $108 million, up 25.6% from $86 million in Q2 2024[35]. - Operating income increased to $51 million in Q2 2025, compared to $30 million in Q2 2024, marking a 70% growth[37]. - Net earnings for the six months ended June 30, 2025, were $62 million, compared to $33 million for the same period in 2024, representing an 87.9% increase[39]. - GCI Liberty's Adjusted OIBDA margin for Q2 2025 was approximately 41.4%, up from 35% in Q2 2024[35]. Cash Flow and Liquidity - GCI generated net cash from operating activities of $342 million and free cash flow of $153 million over the trailing twelve months ended June 30, 2025[11]. - Free cash flow for the twelve months ended June 30, 2025, was $153 million, reflecting a strong liquidity position[35]. - Cash and cash equivalents increased to $117 million at the end of June 2025, compared to $53 million at the end of June 2024[39]. Subscriber Metrics - Consumer cable modem subscribers declined 3% to 154,500, while consumer wireless lines in service grew 1% to 207,000, with GCI adding 4,700 wireless lines in Q2 2025[3][16]. Capital Expenditures and Investments - Capital expenditures for the year are expected to be approximately $250 million, focusing on network improvements in rural Alaska, including the Bethel and AU-Aleutians fiber projects[10]. Debt and Leverage - GCI's leverage ratio decreased to 2.3x as of June 30, 2025, following a reduction in total debt by $86 million during the quarter[27][26]. - Long-term debt decreased to $983 million as of June 30, 2025, from $1.066 billion at the end of 2024[36]. Margins and Cost Management - GCI's business gross margin improved by 730 basis points to 81.7%, driven by a 19% decrease in direct costs[19]. - GCI's consumer gross margin increased to 70.6%, reflecting a 40 basis point improvement year-over-year despite a decline in data revenue[17]. Strategic Focus - The company plans to fully exit the video business by the end of 2025, as part of its strategic focus on wireless and data services[8]. Regulatory Environment - The Supreme Court upheld the constitutionality of the Universal Service Fund, providing clarity for GCI's efforts to enhance connectivity in rural Alaska[2][3]. Non-GAAP Measures - The company emphasized the importance of non-GAAP measures like Adjusted OIBDA and free cash flow for assessing operational strength and liquidity[32].
GCI Liberty Inc-A(GLIBA) - 2025 Q2 - Quarterly Results