ATN International(US:ATNI)2025-11-10 20:53Financial Performance - Total revenue for Q3 2025 was $183.165 million, a 3.9% increase from $178.451 million in Q3 2024[14] - Net income for Q3 2025 was $3.933 million, a significant recovery from a net loss of $39.451 million in Q3 2024[17] - The company reported a net income per share of $0.18 for Q3 2025, compared to a loss per share of $(2.26) in Q3 2024[14] - Comprehensive income for Q3 2025 was $3.675 million, compared to a comprehensive loss of $(40.863) million in Q3 2024[17] - For the nine months ended September 30, 2025, the net loss was $16,715,000 compared to a net loss of $36,059,000 for the same period in 2024, indicating an improvement in financial performance[22] - The company reported a net loss attributable to ATN International, Inc. stockholders of $11.611 million for the nine months ended September 30, 2025, an improvement from a loss of $30 million in the same period of 2024[14] Revenue Breakdown - Communication services revenue was $177.752 million in Q3 2025, compared to $174.422 million in Q3 2024, reflecting a growth of 1.3%[14] - The Company reported total revenue of $183.165 million for the three months ended September 30, 2025, compared to $178.451 million for the same period in 2024, representing a year-over-year increase of 2.0%[41] - For the nine months ended September 30, 2025, total revenue was $543.760 million, a slight decrease from $548.527 million in the same period of 2024, reflecting a decline of 0.9%[42] - The Company’s international telecom segment generated $95.143 million in revenue for the three months ended September 30, 2025, compared to $94.281 million in the same period of 2024, indicating a growth of 0.9%[41] - The Company recorded communication services revenue of $18.890 million for the three months ended September 30, 2025, compared to $18.104 million for the same period in 2024, representing a 4.3% increase[126] Operating Expenses - Operating expenses decreased to $173.335 million in Q3 2025 from $216.809 million in Q3 2024, a reduction of 20%[14] - The company recorded a total operating expense of $173.3 million for the three months ended September 30, 2025[159] - Operating lease costs for the nine months ended September 30, 2025, were $18.7 million, an increase from $14.8 million for the same period in 2024[54] - The cost of communication services decreased to $77.850 million in Q3 2025 from $78.973 million in Q3 2024, a decline of 1.4%[14] Cash and Assets - Total cash, cash equivalents, and restricted cash at the end of the period was $119,640,000, up from $116,764,000 at the end of September 2024[22] - The company reported net cash provided by operating activities of $97,689,000 for the nine months ended September 30, 2025, compared to $97,426,000 for the same period in 2024[22] - Total liabilities, redeemable noncontrolling interests, and equity stood at $1.698681 billion as of September 30, 2025, down from $1.727103 billion at the end of 2024[12] - As of September 30, 2025, total assets amounted to $1,698,681, a decrease from $1,727,103 on December 31, 2024[12] Dividends and Shareholder Returns - The company declared a dividend of $0.275 per share for Q3 2025, up from $0.24 in Q3 2024[14] - The company declared dividends of $11,475,000 on common stock for the nine months ended September 30, 2025, compared to $11,047,000 in 2024[22] Goodwill and Impairments - The company experienced a goodwill impairment of $35.269 million in Q3 2024, which did not recur in Q3 2025[14] - The Company recorded a goodwill impairment of $35.3 million during the three months ended September 30, 2024, due to operational challenges[140] Taxation - The effective tax rate for the three months ended September 30, 2025, was 451.5%, compared to 23.4% for the same period in 2024[142] - The company recorded an income tax benefit of $5.1 million related to a pretax loss of $1.1 million for the three months ended September 30, 2025[143] - For the nine months ended September 30, 2025, the effective tax rate was 35.0%, up from 22.1% in 2024[145] Strategic Initiatives - The company has developed significant operational expertise to enhance service quality and economies of scale in rural and remote markets[23] - The company actively evaluates investment opportunities and strategic transactions to generate excess operating cash flows over extended periods[24] - The Company engages in restructuring activities to improve operational efficiency and margins, with the 2024 reorganization plan completed by December 2024[32] Market Operations - As of September 30, 2025, the company identified two operating segments: US Telecom and International services, focusing on fixed and managed services[26] - The Company operates in international markets including Bermuda, the Cayman Islands, Guyana, and the US Virgin Islands, providing a range of telecom services[28] - The Company completed a rebranding in Guyana and the US Virgin Islands, now known as "One Communications"[29] Future Outlook - The company expects to meet all requirements associated with construction grants awarded for network connectivity projects[128] - The One Big Beautiful Bill Act (OBBBA) enacted in July 2025 is currently being evaluated for its impact on the Company's financial statements[141]