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Sep 30, 2022
WideOpenWest Q3 2022 Earnings Report
WOW! reported mixed results in Q3 2022, with revenue decline offset by EBITDA growth and strategic investments.
Key Takeaways
WideOpenWest (WOW!) reported a decrease in total revenue but an increase in Pro Forma Adjusted EBITDA for Q3 2022. The company is focusing on its broadband-first strategy and expanding its footprint through Greenfield expansions and edge-outs. A $50 million share repurchase program was authorized by the Board of Directors.
Total revenue from continuing operations decreased by 6% year-over-year to $173.7 million.
High-Speed Data (HSD) revenue from continuing operations totaled $102.3 million, a 1% decrease year-over-year.
Net income from continuing operations was $0.5 million.
Pro Forma Adjusted EBITDA increased by 3% year-over-year to $68.5 million, with a margin of 39.4%
WideOpenWest
WideOpenWest
WideOpenWest Revenue by Segment
Revenue by Segment
Other Revenue
CapyFin.com Forward Guidance
WOW! provided full year 2022 guidance for HSD Revenue, Total Revenue, Adjusted EBITDA, and HSD net additions.
Positive Outlook
- HSD Revenue is expected to be between $411.0 and $414.0 million.
- Total Revenue is projected to be between $702.0 and $705.0 million.
- Adjusted EBITDA is anticipated to be between $278.0 and $281.0 million.
- HSD net additions are expected to be between (2,000) and 2,000.
- Company's broadband-first strategy shows growth in pro forma Adjusted EBITDA.
Challenges Ahead
- The company's future performance is subject to various risks and uncertainties, as detailed in their SEC filings.
- Total revenue from continuing operations decreased compared to the third quarter of 2021.
- HSD Revenue from continuing operations also saw a slight decrease compared to the third quarter of 2021.
- Capital Expenditures from continuing operations totaled $37.7 million for the quarter ended September 30, 2022, representing a $3.0 million decrease compared to the quarter ended September 30, 2021.
- Total Subscription Revenue from continuing operations for the quarter ended September 30, 2022 was down $9.9 million, or 6%, as compared to the corresponding period in 2021.