Loading...
•
Dec 31, 2022
Lumen Q4 2022 Earnings Report
Lumen's financial performance declined due to a net loss, partially offset by strategic divestitures and leadership changes.
Key Takeaways
Lumen Technologies reported a net loss of $(3.069) billion for Q4 2022, impacted by a $3.271 billion non-cash goodwill impairment charge. Despite the loss, the company completed the $7.5 billion divestiture of its 20-state ILEC business and announced the proposed sale of its EMEA business for $1.8 billion. Kate Johnson was appointed as the new president and CEO.
Kate Johnson appointed as president and CEO.
Completed $7.5 billion divestiture of 20-state ILEC business to Apollo.
Announced exclusive arrangement for proposed sale of EMEA business to Colt Technology Services for $1.8 billion.
Reported net loss of $(3.069) billion, including a $3.271 billion non-cash goodwill impairment charge.
Lumen
Lumen
Lumen Revenue by Segment
Revenue by Segment
Large Enterprise Revenue
CapyFin.comMid-Market Enterprise Revenue
CapyFin.comWholesale Revenue
CapyFin.comInternational and Other Revenue
CapyFin.comBusiness Segment Revenue
CapyFin.comMass Markets Segment Revenue
CapyFin.com Forward Guidance
Lumen Technologies provided its full-year 2023 financial outlook, projecting adjusted EBITDA between $4.6 to $4.8 billion and free cash flow between $0 to $200 million.
Positive Outlook
- Adjusted EBITDA is projected to be between $4.6 to $4.8 billion.
- Net Cash Interest is expected to be between $1.1 to $1.2 billion.
- GAAP Interest Expense is anticipated to be $1.200 billion.
- Depreciation and Amortization are forecasted to be between $2.9 to $3.1 billion.
- Stock-based Compensation Expense is expected to be approximately $125 million.
Challenges Ahead
- Free Cash Flow is projected to be between $0 to $200 million.
- Capital Expenditures are expected to be between $2.9 to $3.1 billion.
- Cash Income Taxes are estimated to be around $200 to $300 million, excluding the impact of taxes related to divestitures.
- Full Year Effective Income Tax Rate is projected to be approximately 26%.
- The outlook excludes the effects of Special Items and unforeseen events.
Revenue & Expenses
Visualization of income flow from segment revenue to net income