Frontier Communications(FYBR) - 2025 Q3 - Quarterly Results

Revenue Growth - Fiber broadband revenue growth accelerated to 25% year-over-year, driven by a record 133,000 fiber net adds and 5% ARPU growth[5] - Total revenue reached $1.55 billion, marking a 4.1% increase year-over-year, despite declines in copper-based products[6] - Consumer fiber broadband revenue grew by 25.8% year-over-year to $521 million, fueled by customer growth and ARPU increases[10] - Business and Wholesale revenue increased by 3.7% year-over-year to $707 million, driven by fiber-based product growth[10] - Total revenue for the nine months ended September 30, 2025, was $4,600 million, a 3.8% increase from $4,431 million in the same period last year[27] - Broadband revenue for the nine months ended September 30, 2025, reached $1,992 million, compared to $1,747 million for the same period in 2024, representing a year-over-year increase of 14.0%[44] - Fiber broadband revenue for the nine months ended September 30, 2025, was $1,622 million, up from $1,300 million in the prior year, indicating a growth of 24.7%[44] Financial Performance - Adjusted EBITDA increased by 16% year-over-year to $637 million, supported by revenue growth and cost efficiencies[6] - Operating income for the three months ended September 30, 2025, was $117 million, significantly up from $44 million in the previous quarter and $86 million in the same quarter last year[25] - Net loss for the three months ended September 30, 2025, was $76 million, an improvement from a net loss of $123 million in the previous quarter and $82 million in the same quarter last year[25] - Adjusted EBITDA for the nine months ended September 30, 2025, was $1,827 million, compared to $1,656 million for the same period in 2024, reflecting a growth of 10.3%[41] - The EBITDA margin for the nine months ended September 30, 2025, was 35.0%, compared to 33.0% in the prior year[40] Customer Metrics - Fiber broadband customer growth was 20.2% year-over-year, with 133,000 net additions in the quarter[6] - Broadband customers increased to 3,308 thousand as of September 30, 2025, with net customer additions of 81 thousand during the quarter[31] - Total broadband customers at the end of the period were 3,078 thousand, an increase from 2,823 thousand a year earlier[44] - The total fiber penetration rate as of September 30, 2025, was 31.3%, up from 30.2% a year ago[44] - Consumer fiber churn rate for the quarter ended September 30, 2025, was 1.41%, compared to 1.49% in the previous quarter[44] Capital Expenditures and Liquidity - Cash capital expenditures amounted to $819 million, with net cash from operations generated at $504 million[6] - Frontier's total liquidity as of September 30, 2025, was approximately $1.87 billion, including a cash balance of $340 million[9] - Capital expenditures for the three months ended September 30, 2025, were $819 million, compared to $845 million in the previous quarter and $699 million in the same quarter last year[25] - Total capital expenditures for the nine months ended September 30, 2025, were $2,421 million, up from $1,991 million in the same period of 2024[40] Acquisition and Future Outlook - The pending acquisition by Verizon is expected to close by the first quarter of 2026, subject to regulatory approvals[12] ARPU and Service Metrics - Average monthly consumer revenue per customer was $83.19 for the three months ended September 30, 2025, slightly down from $84.43 in the previous quarter[31] - Total ARPU for Consumer Fiber increased to $68.59, up from $68.54 in the previous period, reflecting a growth of 0.07%[45] - Total ARPU for Business + Wholesale customers decreased to $91.93 from $90.08, representing a decline of 2.01%[45] - The average ARPU for Total services was $68.02, up from $67.91, indicating a growth of 0.16%[45] - The average ARPU for Total services in the Business + Wholesale segment was $90.50, an increase from $82.86, reflecting a growth of 9.88%[45]