ATN Reports Third Quarter 2024 Results; Updates Full-Year 2024 Outlook

Core Insights - The company reported a year-over-year increase in total high-speed broadband subscribers by 6% and a 20% expansion in broadband homes passed by high-speed data services [1] - The third quarter of 2024 saw a net loss of $32.7 million, or $2.26 per diluted share, which included a non-cash goodwill impairment charge of $35.3 million [1][7] - The company updated its full-year 2024 revenue guidance to a range of $720 million to $730 million, down from a previous range of $730 million to $750 million [17] Financial Performance - Consolidated revenues for Q3 2024 were $178.5 million, a decrease of 7% from $191.0 million in Q3 2023, primarily due to declines in the US Telecom segment [5][6] - Adjusted EBITDA for Q3 2024 decreased by 5% to $45.7 million compared to $47.8 million in the same quarter last year [8] - Year-to-date net cash from operations increased by 9% year-over-year to $97.4 million [15] Segment Performance - The International Telecom segment's revenues were essentially flat, supported by growth in consumer and business fixed revenues, while the US Telecom segment revenues decreased by 13% [1][3] - The International Telecom segment saw solid fixed revenue gains and business mobility revenue growth, offsetting softness in consumer mobility [3][4] Capital Expenditures and Debt - Capital expenditures for the first nine months of 2024 were $85.7 million, reduced from $126.6 million in the same period of 2023 [1][15] - The net debt ratio is now expected to be in the range of 2.3x to 2.6x exiting 2024, an increase from the previous guidance of 2.25x to 2.50x [17] Strategic Outlook - The company is transitioning from heavy investments to a focus on margin and cash flow improvement as part of its three-year strategic plan initiated in 2021 [12] - Strategic actions are being taken to align the cost structure with current revenue levels while focusing on margin improvement and cash flow generation [4]