
Financial Data and Key Metrics Changes - Total revenue declined by 4.2% year over year, remaining relatively flat quarter over quarter, primarily impacted by video cord cutting, which accounted for about 85% of total revenue declines [28][29] - Adjusted EBITDA of $840 million declined 7.3% year over year but grew slightly sequentially, reflecting continued operating discipline and efficiency [31] - Adjusted EBITDA margin decreased by 130 basis points to 37.4%, but improved sequentially by 30 basis points [31] Business Line Data and Key Metrics Changes - Broadband subscriber net losses improved to 35,000, a year-over-year improvement of 16,000 or 31% [8][12] - Video business saw 58,000 subscriber net losses, marking the best subscriber trends in the last ten quarters [5][12] - Fiber network added approximately 56,000 customers, with a penetration rate of 22% across the fiber network [14] Market Data and Key Metrics Changes - In the East footprint, the company delivered its best net add trend in ten quarters, driven by stronger win share performance against ILECs and fixed wireless [9] - In the West, competition remained strong, but performance improved year over year, including fewer seasonal disconnects [9] - The company reported a 10% lift in sales volume in income-constrained markets compared to control markets [11] Company Strategy and Development Direction - The company is focused on unlocking revenue opportunities, driving operational efficiency, enhancing networks, and ensuring a sustainable capital structure [3][7] - The introduction of new product tiers in video and the expansion of value-added services are aimed at increasing customer stickiness and driving long-term ARPU growth [16][20] - The company is leveraging AI to enhance customer experience and operational efficiency, including the deployment of AI tools in sales and customer care [23][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to deliver continued operational and financial improvements over time, despite headwinds from competition and macroeconomic factors [26][32] - The company anticipates that adjusted EBITDA will improve sequentially over the next two quarters, with significant impacts expected in the fourth quarter [33][92] - Management highlighted the importance of maintaining a balanced approach to subscriber growth and ARPU management [77][92] Other Important Information - The company completed a $1 billion asset-backed loan, marking a significant milestone in capital structure management [38][39] - The recent tax reform is expected to yield savings of $250 million to $350 million over the period of 2025 to 2027 [40] Q&A Session Summary Question: Can you expand on the trajectory and opportunity in mobile? - Management highlighted improvements in mobile line net adds, with a focus on quality sales and increased penetration, aiming for a million lines by 2027 [46][49] Question: What is the typical profile of a new mobility subscriber? - Approximately 50% of new mobility subscribers are new customers, with a strong focus on fiber subscribers due to better NPS and ARPU [52][53] Question: How is the company competing against larger, well-capitalized competitors? - The company is seeing improvements in win share against larger telcos and fiber overbuilders, particularly through hyper-local strategies [59][60] Question: What subscriber or ARPU results are needed in the back half of the year? - Management reaffirmed guidance for revenue and EBITDA, expecting improvements driven by subscriber performance and operational efficiencies [91][92]