Altice USA(US:ATUS)2020-11-02 16:40Financial Performance - Altice USA's Q3 2020 revenue decreased by 0.2% year-over-year to $2.434 billion[65], but increased by 3.0% when adjusted for RSN credits[5, 7] and 3.7% when further adjusted for storm credits[5, 7] - Adjusted EBITDA increased by 5.5% year-over-year[5, 65], or 6.3% excluding mobile losses[5, 39], and 7.7% excluding mobile and storm credits[5, 39] - Free Cash Flow (FCF) increased significantly by 176% year-over-year[5, 49] to $458 million in Q3 2020[49], with year-to-date FCF reaching $1.46 billion[5, 49], an 82% increase year-over-year[49] Subscriber Growth and Network - The company added 26,000 broadband subscribers in Q3[5, 12], or 32,000 excluding storm impacts[5], and 62,000 including the SECO acquisition[5] - Altice completed its 1 Gig rollout to 100% of its Optimum footprint[5], achieving 92% coverage across Altice USA[5] - Broadband speed upgrade volume increased by 44%[16] and average data usage per customer increased[16] compared to Q3 2019[18] Business Segments - Business Services revenue grew by 1.3% year-over-year[7, 31], with Lightpath revenue growing by 2.6% year-over-year[31] - News & Advertising revenue increased by 5.2% year-over-year to $124 million[7, 35] Capital Allocation and Debt Management - The company repurchased $449 million in shares during Q3[5], bringing the year-to-date total to $1.8 billion[5], and raised its full-year target to ≥$2.0 billion[5] - Altice refinanced $2.7 billion of CSC debt at record-low coupons[5, 59] and completed debt financing for Lightpath at a weighted average cost of debt (WACD) of 4.3%[5] Outlook - Altice USA reiterated its full-year 2020 financial outlook, expecting revenue and Adjusted EBITDA growth, capital expenditures less than $1.3 billion[5, 60], and leverage between 4.5x and 5.0x[5, 60]