Liberty Latin America Reports Q3 2020 Results

Liberty Latin America Reports Q3 2020 Results

04 Nov 2020 in

Liberty Latin America Reports Q3 2020 Results

  • Sequential financial and operating improvement from Q2
  • Net RGU additions driven by record C&W and Puerto Rico performance
  • Operating income growth and Adj. OIBDA returning towards pre-COVID levels
  • Completed acquisition of AT&T's Puerto Rico and USVI assets

Denver, Colorado - November 4, 2020: Liberty Latin America Ltd. (“Liberty Latin America” or “LLA”) (NASDAQ: LILA and LILAK, OTC Link: LILAB) today announced its financial and operating results for the three months (“Q3”) and nine months (“YTD”) ended September 30, 2020.

CEO Balan Nair commented, “Following a challenging second quarter, we delivered improved financial and operating performance in Q3, as the majority of our markets began to recover from the impacts of COVID-19.”

“We saw strong demand for our high-speed broadband-led propositions and achieved record quarterly fixed RGU additions in each of C&W and Puerto Rico, with over 100,000 new subscribers across both reporting segments. Our C&W markets also swung back to mobile subscriber growth following declines during Q2, and we will build on this momentum through the rest of the year. In Chile, we were impacted by severe lockdown restrictions and VTR experienced greater churn with net subscriber losses in the period although proactive operational actions led to improvements each month from July, which was our most challenging month.”

“Our financial performance also recovered in Q3 with sequential revenue growth of 5%. Growth was achieved across all reporting segments, including mobile and B2B products within C&W, and we anticipate our markets will continue to recover over time. In addition, the early actions we took to manage our cost base led to operating income growth and Adjusted OIBDA returning towards Q1 2020 pre-COVID levels.”

“We see a compelling opportunity to drive stakeholder value through our disciplined inorganic growth strategy and we are pleased that we completed the acquisition of AT&T's assets in Puerto Rico and the USVI. We believe that the combination of these assets with our high-performing Puerto Rico operations, will create a leading integrated communications player capable of providing enhanced value to customers, generating significant synergies, and bolstering LLA’s adjusted free cash flow.”

“During the quarter, as part of the funding for our agreed acquisition of Telefonica's Costa Rica assets, we also successfully completed our $350 million rights offering. Our balance sheet remains robust with extended maturities and significant available liquidity through cash and undrawn facilities.”

“As we approach the year-end, we are excited to begin the work of integrating our newly acquired assets in Puerto Rico and USVI, and we continue to focus on generating positive adjusted free cash flow in 2020 despite the impacts of COVID-19. Looking further ahead, we continue to invest in expanding our high-speed network footprint, building or upgrading over 230,000 homes year-to-date, and investing in innovative products and services to establish a foundation for further operational and financial growth in future years.”


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