Subscriber Metrics - As of June 30, 2023, the company served 3,874,200 RGUs, including 1,770,200 broadband internet subscribers, 1,165,100 fixed-line telephony subscribers, and 938,900 video subscribers[176]. - The company reported a total of 8,011,500 mobile subscribers as of June 30, 2023[176]. Financial Performance - Revenue for the three months ended June 30, 2023, was $1,122.7 million, a decrease of $93.5 million (7.7%) compared to $1,216.2 million in 2022[185]. - Operating income for the three months ended June 30, 2023, was $139.5 million, a significant improvement of $492.4 million compared to an operating loss of $352.9 million in 2022[189]. - For the six months ended June 30, 2023, revenue was $2,226.5 million, a decrease of $205.9 million (8.5%) from $2,432.4 million in 2022[189]. - Operating income for the six months ended June 30, 2023, was $252.5 million, an increase of $420.8 million compared to an operating loss of $168.3 million in 2022[189]. - Net earnings for the three months ended June 30, 2023, were $19.2 million, a significant recovery from a loss of $508.6 million in the same period of 2022[268]. Adjusted OIBDA - Adjusted OIBDA for the three months ended June 30, 2023, was $445.3 million, slightly down from $460.8 million in 2022[189]. - For the six months ended June 30, 2023, Adjusted OIBDA was $851.8 million, down from $897.3 million in 2022, representing a decline of 5.1%[191]. - The Adjusted OIBDA Margin for C&W Caribbean increased to 41.1% in Q2 2023 from 37.8% in Q2 2022, while Liberty Networks saw a decrease from 64.5% to 60.9%[193]. Costs and Expenses - The company reported a decrease in programming and other direct costs of services by $67.4 million (22.4%) for the three months ended June 30, 2023[185]. - Depreciation and amortization increased by $27.2 million (12.8%) to $240.5 million for the three months ended June 30, 2023, compared to $213.3 million in 2022[189]. - Other operating costs and expenses for the three months ended June 30, 2023, were $468.5 million, a decrease of $17.9 million (3.7%) compared to $486.4 million in 2022[189]. - Personnel and contract labor costs for the three months ended June 30, 2023, were $140.2 million, a decrease of $4.9 million (3.4%) from $145.1 million in 2022[234]. Market Competition - The company faced significant competition across all markets, adversely impacting the ability to increase or maintain RGUs and ARPU[195]. - Organic changes in revenue were influenced by variations in the number of RGUs and changes in ARPU, which can be affected by pricing, bundling, and service tier selections[196]. Foreign Currency Impact - Changes in foreign currency exchange rates significantly impacted operating results, particularly for Liberty Costa Rica and certain entities within C&W[180]. - The company reported a non-organic revenue change of $25 million due to FX impacts during the three months ended June 30, 2023[199]. - The total organic increase in Liberty Costa Rica's revenue was $0.8 million in Q2 2023, with a significant impact from foreign exchange of $26.4 million[217]. Debt and Interest Expense - Interest expense increased by $12 million and $29 million for the three and six months ended June 30, 2023, respectively, compared to the same periods in 2022[256]. - The weighted average interest rate for all borrowings was 6.9%, which decreased to 5.9% when including the effects of derivative instruments and other costs[281]. - As of June 30, 2023, the total outstanding principal amount of debt and finance lease obligations was $8,042 million, with $316 million classified as current and $7,362 million not due until 2027 or thereafter[280]. Cash Flow and Capital Expenditures - Net cash provided by operating activities for the six months ended June 30, 2023, was $288 million, a decrease of $59.1 million compared to $347.1 million in 2022[283]. - Capital expenditures, net, for the six months ended June 30, 2023, were $273.1 million, down from $319.1 million in 2022, representing 15.1% of revenue for both periods[286]. - The cash used by investing activities in 2023 was $291.1 million, a decrease of $51.8 million compared to $342.9 million in 2022[284].
Liberty Latin America(LILAK) - 2023 Q2 - Quarterly Report