Lumen(US:LUMN)2025-10-30 20:16Financial Performance - Total revenue for Q3 2025 was $3.087 billion, a decrease of 4% from $3.221 billion in Q3 2024[11] - Adjusted EBITDA for Q3 2025 was $787 million, down from $899 million in Q3 2024, reflecting a margin of 25.5%[7][8] - The company reported a net loss of $(621) million for Q3 2025, compared to a net loss of $(148) million in Q3 2024[7] - Operating revenue for Q3 2025 was $3,087 million, a decrease of 4% compared to $3,221 million in Q3 2024[26] - Total operating expenses increased by 3% to $3,203 million in Q3 2025 from $3,095 million in Q3 2024[26] - Net loss for Q3 2025 was $621 million, compared to a net loss of $148 million in Q3 2024[26] - Basic loss per share for Q3 2025 was $0.62, significantly higher than $0.15 in Q3 2024[26] - The company reported a net loss excluding special items of $197 million for Q3 2025, compared to a loss of $133 million in Q3 2024, representing a 48% increase[26] - Net loss for the nine months ended September 30, 2025, was $1,737 million, compared to a net loss of $140 million in the same period of 2024[30] - The net loss for Q3 2025 was $621 million, compared to a net loss of $148 million in Q3 2024, showing a significant increase in losses[51] - The net loss for the twelve months ending December 31, 2025, is projected to range from $(1,455) million to $(650) million[53] Cash Flow and Liquidity - Free cash flow for Q3 2025 was $1.661 billion, compared to $1.198 billion in Q3 2024, marking a significant increase[12] - Cash provided by operating activities increased to $4,176 million in 2025 from $3,645 million in 2024, reflecting a growth of approximately 14.6%[30] - Net cash provided by operating activities for Q3 2025 was $2,511 million, up from $2,032 million in Q3 2024, representing a 23.5% increase[49] - Free Cash Flow for Q3 2025 was $1,470 million, compared to $1,182 million in Q3 2024, reflecting a 24.4% growth[49] - The company expects Free Cash Flow for the twelve months ending December 31, 2025, to range between $1,200 million and $1,400 million[54] - Total cash, cash equivalents, and restricted cash at the end of the period was $2,412 million in 2025, down from $2,653 million in 2024[30] - Cash and cash equivalents increased to $2,401 million as of September 30, 2025, up from $1,889 million at the end of 2024[28] Capital Expenditures and Investments - Capital expenditures for Q3 2025 were $1.041 billion, up from $850 million in Q3 2024[8] - Capital expenditures for the twelve months ending December 31, 2025, are expected to be between $(4,100) million and $(4,300) million[54] - Net cash used in investing activities was $2,669 million in 2025, compared to $1,999 million in 2024, indicating an increase of approximately 33.6%[30] - Net proceeds from the issuance of long-term debt reached $6,920 million in 2025, a significant increase from $1,325 million in 2024[30] Subscriber Metrics - Total broadband subscribers decreased to 2,417 thousand in Q3 2025 from 2,601 thousand in Q3 2024, representing a decline of about 7.1%[32] - Fiber broadband subscribers increased to 1,190 thousand in Q3 2025, up from 1,035 thousand in Q3 2024, marking an increase of approximately 14.9%[32] Special Items and Adjustments - Special items impacting Adjusted EBITDA totaled $216 million in Q3 2025, compared to $56 million in Q3 2024, reflecting a substantial increase[47] - Goodwill impairment recorded in 2025 was $628 million, with no such impairment reported in 2024[30] Future Outlook - The company expects full-year 2025 adjusted EBITDA to be between $3.2 billion and $3.4 billion[14] - Adjusted EBITDA outlook for the twelve months ending December 31, 2025, is projected to be between $3,200 million and $3,400 million[53] - The company is targeting the completion of the consumer FTTH sale to AT&T in early 2026[6] - The company is undergoing a transformation strategy, including the anticipated sale of its consumer fiber business[20] - The company aims to enhance growth products while managing the decline of legacy products, driven by increased demand for high-speed data transmission services[20]