High-Speed Data Revenue from continuing
operations of $100.1 million, up 4%
compared to the first quarter of 2021
ENGLEWOOD, Colo., May 9, 2022
/PRNewswire/ -- WideOpenWest, Inc. ("WOW!" or the "Company") (NYSE:
WOW), one of the nation's leading broadband providers, with an
efficient, high-performing network that passes 1.9 million
residential, business and wholesale consumers, today announced
financial and operating results for the first quarter ended
March 31, 2022.
First Quarter 2022
Highlights (1)(2)
- Total Revenue from continuing operations of $174.6 million, a decrease of $6.9 million, or 4%, compared to the first
quarter of 2021
- HSD Revenue from continuing operations totaled $100.1 million, an increase of $3.5 million, or 4%, compared to the first
quarter of 2021
- Net Income from continuing operations was $5.7 million for the quarter ended March 31, 2022
- Pro Forma Adjusted EBITDA was $66.4
million, an increase of $4.8
million, or 8%, compared to the first quarter of 2021
- Pro Forma Adjusted EBITDA margin of 38.0% compared to 33.9% for
the first quarter of 2021
- Added 3,300 HSD RGUs
- Doubled Greenfield expansion plans for homes passed to 400,000
and increased target Greenfield investment capital to $400.0 million by 2027
"The first quarter results reflect continued momentum as we
execute our broadband-first strategy. We delivered year-over-year
growth in high-speed data revenue and further improvements in our
pro forma adjusted EBITDA and pro forma adjusted EBITDA margins,
which reached 38% this quarter," said Teresa Elder, WOW!'s CEO. "Our Greenfield
strategy is also exceeding our expectations as we continue to see
exciting opportunities to bring our multi-gig fiber network to
significantly more homes as we have now increased our plan for
Greenfield investments to $400
million without increasing our leverage."
"Our financials once again highlight the strength of our
business. Pro Forma Adjusted EBITDA grew 8% from last year and
drove significant improvement in our margins," said John Rego, WOW!'s CFO. "The margin expansion
further enables us to invest in the future growth of our business
while maintaining a low leverage profile."
Revenue
Total Revenue from continuing operations was
$174.6 million for the quarter ended
March 31, 2022, down $6.9
million, or 4%, as compared to the corresponding period in
2021.
Total Subscription Revenue from continuing operations for the
quarter ended March 31, 2022 was $162.0 million, down $6.0
million, or 4%, as compared to the corresponding period in
2021. The decrease is primarily driven by a shift in service
offering mix as we continue to experience a reduction in Video and
Telephony RGUs, partially offset by an increase in average revenue
per unit ("ARPU") as HSD customers upgrade to higher speed
offerings coupled with an increase in volume attributable
exclusively to the addition of HSD subscribers.
Other Business Services Revenue from continuing operations
totaled $5.3 million for the quarter
ended March 31, 2022, down $0.3
million as compared to the corresponding period in
2021. The decrease is primarily due to a decrease in data
center revenue.
Other Revenue from continuing operations totaled $7.3 million for the quarter ended March 31, 2022, down $0.6
million as compared to the corresponding period in 2021,
primarily related to decreases in advertising and line assurance
revenue.
(1)
|
Refer to "Non-GAAP
Financial Measures" "Unaudited Reconciliations of GAAP Measures to
Non-GAAP Measures," and "Subscriber Information" in this Press
Release for definitions and information related to Pro Forma
Adjusted EBITDA, and reconciliation of non-GAAP measures to the
closest comparable GAAP measures and why our management thinks it
is beneficial to present such non-GAAP measures.
|
(2)
|
During the second
half of 2021, the Company completed of the sale of five of its
service areas. For presentation purposes, the financial results of
these five service areas were classified as discontinued
operations. Refer to tables that follow for the reconciliation of
continuing and discontinued operations.
|
Costs and Expenses
Operating Expenses (excluding
Depreciation and Amortization) from continuing operations totaled
$87.3 million for the quarter ended
March 31, 2022, down $11.1 million, or 11%, compared to the
corresponding period in 2021 primarily driven by decreases in
direct operating expenses, specifically programming expense, which
aligns with the reduction in Video RGUs between periods and lower
bad debt expense, partially offset by decreases in capital eligible
expenses. Selling, General, and Administrative expenses from
continuing operations totaled $38.3
million for the quarter ended March
31, 2022, down $4.2 million,
or 10%, compared to the corresponding period in 2021 primarily
attributable to decreases in costs associated with digital
transformation initiatives, lower marketing and professional
services expenses, partially offset by an increase in stock
compensation expense.
Net Income (Loss)
Net Income from continuing
operations for the quarter ended March 31,
2022 was $5.7 million as
compared to Net Loss of $22.7 million
for the quarter ended March 31,
2021.
Pro Forma Adjusted EBITDA
Pro Forma Adjusted EBITDA
for the quarter ended March 31, 2022 was $66.4 million, an increase of $4.8 million, compared to the corresponding
period in 2021. Pro Forma Adjusted EBITDA margin was 38.0% for the
quarter ended March 31, 2022 as compared to 33.9% for the
quarter ended March 31, 2021.
Subscribers
WOW! reported Total Subscribers from
continuing operations of 534,700 as of March 31, 2022, an
increase of 6,700, or 1%, compared to March 31, 2021, up 1,800
compared to December 31, 2021. HSD RGUs totaled 515,000 as of
March 31, 2022, an increase of 10,100 or 2%, compared to
March 31, 2021, up 3,300 compared to December 31,
2021.
Edge-Outs
Edge-Out Projects from continuing
operations reached a total of 78,600 homes passed and 19,500
Subscribers since inception.
The 2020 Edge-Out projects from continuing operations include
800 Subscribers, which represents 23.5% penetration on such nodes.
The 2021 Edge-Out projects from continuing operations include 700
Subscribers, which represents 35.0% penetration on such nodes.
Capital Expenditures
Capital Expenditures from
continuing operations totaled $42.1
million for the quarter ended March
31, 2022, representing a $1.9
million decrease compared to the quarter ended March 31, 2021. The slight decrease is primarily
related to a reduction in customer premise equipment
("CPE") and network enhancement expenditures partially
offset by increases in line extensions as we focus on expanding our
network.
Capital Expenditures from continuing operations for the quarter
ended March 31, 2022 equates to 24%
of Total Revenue from continuing operations for the quarter ended
March 31, 2022.
Liquidity and Leverage
As of March 31, 2022, the total outstanding amount of
long-term debt and finance lease obligations was $740.3 million, and cash and cash equivalents
were $190.7 million. Total Net
Leverage as of March 31, 2022,
was 2.6X compared to 2.7X as of December 31, 2021 on a LTM Pro Forma Adjusted
EBITDA basis and undrawn revolver capacity totaled $245.6 million.
Second Quarter and Full Year 2022 Guidance
|
|
Q2
2022
|
|
Full Year
2022
|
HSD Revenue
|
|
$104.0 - $107.0
million
|
|
$427.0 - $430.0
million
|
Total
Revenue
|
|
$177.0 - $180.0
million
|
|
$708.0 - $711.0
million
|
Adjusted
EBITDA
|
|
$68.0 - $71.0
million
|
|
$281.0 - $284.0
million
|
|
|
|
|
|
HSD net
additions
|
|
1,000 -
2,000
|
|
14,000 -
17,000
|
Webcast
WOW! will host a webcast on Monday, May 9, 2022, at 8:00 a.m. ET to discuss the financial and
operating results contained in this press release. The conference
call and webcast will be broadcast live on the Company's investor
relations website at ir.wowway.com. Those parties interested in
participating can use the information as follows:
Call Date: Monday, May 9, 2022
Call Time:
8:00 a.m. Eastern
Dial In: (888) 330-3556
International: (646) 960-0826
Conf. ID: 4844814
A replay of the call will be available on May 9, 2022, at 11:00 a.m.
ET, on the investor relations website or by telephone. To
access the telephone replay, which will be available until
May 23, 2022, at 11:59 p.m. ET, please dial (800) 770-2030 or
(647) 362-9199 and use conference ID 4844814.
WIDEOPENWEST, INC.
AND SUBSIDIARIES CONSOLIDATED BALANCE
SHEETS (unaudited)
|
|
|
|
|
|
|
|
|
|
March 31,
|
|
December
31,
|
|
|
2022
|
|
2021
|
|
|
(in millions,
except share data)
|
Assets
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
190.7
|
|
$
|
193.2
|
Accounts
receivable—trade, net of allowance for doubtful accounts of $2.8
and $4.3, respectively
|
|
|
37.7
|
|
|
40.9
|
Accounts
receivable—other, net
|
|
|
15.5
|
|
|
17.2
|
Prepaid expenses
and other
|
|
|
38.7
|
|
|
30.7
|
Total
current assets
|
|
|
282.6
|
|
|
282.0
|
Right-of-use lease
assets—operating
|
|
|
15.9
|
|
|
17.2
|
Property, plant and
equipment, net
|
|
|
716.6
|
|
|
722.3
|
Franchise operating
rights
|
|
|
620.1
|
|
|
620.1
|
Goodwill
|
|
|
225.1
|
|
|
225.1
|
Intangible assets
subject to amortization, net
|
|
|
1.6
|
|
|
1.7
|
Other non-current
assets
|
|
|
39.7
|
|
|
38.3
|
Total
assets
|
|
$
|
1,901.6
|
|
$
|
1,906.7
|
Liabilities and
stockholders' equity
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
Accounts
payable—trade
|
|
$
|
40.8
|
|
$
|
50.3
|
Accrued
interest
|
|
|
4.9
|
|
|
0.8
|
Current portion
of long-term lease liability—operating
|
|
|
4.9
|
|
|
5.1
|
Accrued
liabilities and other
|
|
|
216.4
|
|
|
218.7
|
Current portion
of long-term debt and finance lease obligations
|
|
|
18.1
|
|
|
17.9
|
Current portion
of unearned service revenue
|
|
|
28.7
|
|
|
28.1
|
Total
current liabilities
|
|
|
313.8
|
|
|
320.9
|
Long-term debt and
finance lease obligations—less current portion and debt issuance
costs
|
|
|
722.2
|
|
|
723.5
|
Long-term lease
liability—operating
|
|
|
12.7
|
|
|
13.8
|
Deferred income taxes,
net
|
|
|
255.6
|
|
|
257.6
|
Other non-current
liabilities
|
|
|
20.5
|
|
|
20.1
|
Total
liabilities
|
|
|
1,324.8
|
|
|
1,335.9
|
Commitments and
contingencies
|
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
|
|
|
Preferred stock, $0.01
par value, 100,000,000 shares authorized; 0 shares issued and
outstanding
|
|
|
—
|
|
|
—
|
Common stock, $0.01 par
value, 700,000,000 shares authorized; 96,930,774 and 96,225,910
issued as of March 31, 2022 and
December 31, 2021, respectively; 87,798,566 and
87,392,088 outstanding as of March 31, 2022 and
December 31, 2021, respectively
|
|
|
1.0
|
|
|
1.0
|
Additional paid-in
capital
|
|
|
354.1
|
|
|
348.5
|
Accumulated
income
|
|
|
316.2
|
|
|
310.5
|
Treasury stock at cost,
9,132,208 and 8,833,822 shares as of March 31, 2022 and
December 31, 2021, respectively
|
|
|
(94.5)
|
|
|
(89.2)
|
Total
stockholders' equity
|
|
|
576.8
|
|
|
570.8
|
Total liabilities and
stockholders' equity
|
|
$
|
1,901.6
|
|
$
|
1,906.7
|
WIDEOPENWEST, INC.
AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED (unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
Three months ended
|
|
|
March 31, 2022
|
|
March 31, 2021
|
|
|
Continued
|
|
Discontinued
|
|
Total
|
|
Continued
|
|
Discontinued
|
|
Total
|
|
|
(in millions, except share
data)
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
HSD
|
|
$
|
100.1
|
|
$
|
—
|
|
$
|
100.1
|
|
$
|
96.6
|
|
$
|
56.1
|
|
$
|
152.7
|
Video
|
|
|
48.6
|
|
|
—
|
|
|
48.6
|
|
|
56.4
|
|
|
36.9
|
|
|
93.3
|
Telephony
|
|
|
13.3
|
|
|
—
|
|
|
13.3
|
|
|
15.0
|
|
|
6.8
|
|
|
21.8
|
Total subscription
services revenue
|
|
|
162.0
|
|
|
—
|
|
|
162.0
|
|
|
168.0
|
|
|
99.8
|
|
|
267.8
|
Other business
services
|
|
|
5.3
|
|
|
—
|
|
|
5.3
|
|
|
5.6
|
|
|
0.6
|
|
|
6.2
|
Other
|
|
|
7.3
|
|
|
—
|
|
|
7.3
|
|
|
7.9
|
|
|
4.4
|
|
|
12.3
|
Total
revenue
|
|
|
174.6
|
|
|
—
|
|
|
174.6
|
|
|
181.5
|
|
|
104.8
|
|
|
286.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
(excluding depreciation and amortization)
|
|
|
87.3
|
|
|
—
|
|
|
87.3
|
|
|
98.4
|
|
|
39.6
|
|
|
138.0
|
Selling, general
and administrative
|
|
|
38.3
|
|
|
—
|
|
|
38.3
|
|
|
42.5
|
|
|
2.7
|
|
|
45.2
|
Depreciation and
amortization
|
|
|
44.4
|
|
|
—
|
|
|
44.4
|
|
|
41.3
|
|
|
20.5
|
|
|
61.8
|
|
|
|
170.0
|
|
|
—
|
|
|
170.0
|
|
|
182.2
|
|
|
62.8
|
|
|
245.0
|
Income (loss) from
operations
|
|
|
4.6
|
|
|
—
|
|
|
4.6
|
|
|
(0.7)
|
|
|
42.0
|
|
|
41.3
|
Other income
(expense):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
(7.4)
|
|
|
—
|
|
|
(7.4)
|
|
|
(31.4)
|
|
|
—
|
|
|
(31.4)
|
Loss on sale of
assets, net
|
|
|
(0.4)
|
|
|
—
|
|
|
(0.4)
|
|
|
—
|
|
|
—
|
|
|
—
|
Other income,
net
|
|
|
8.7
|
|
|
—
|
|
|
8.7
|
|
|
0.6
|
|
|
—
|
|
|
0.6
|
Income (loss) before
provision for income taxes
|
|
|
5.5
|
|
|
—
|
|
|
5.5
|
|
|
(31.5)
|
|
|
42.0
|
|
|
10.5
|
Income tax
benefit (expense)
|
|
|
0.2
|
|
|
—
|
|
|
0.2
|
|
|
8.8
|
|
|
(9.7)
|
|
|
(0.9)
|
Net income
(loss)
|
|
$
|
5.7
|
|
$
|
—
|
|
$
|
5.7
|
|
$
|
(22.7)
|
|
$
|
32.3
|
|
$
|
9.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss) per
share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.07
|
|
$
|
—
|
|
$
|
0.07
|
|
$
|
(0.28)
|
|
$
|
0.40
|
|
$
|
0.12
|
Diluted
|
|
$
|
0.07
|
|
$
|
—
|
|
$
|
0.07
|
|
$
|
(0.28)
|
|
$
|
0.40
|
|
$
|
0.12
|
Weighted-average common
shares outstanding
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
83,286,934
|
|
|
|
|
|
|
|
|
82,031,043
|
|
|
|
|
|
|
Diluted
|
|
|
86,422,983
|
|
|
|
|
|
|
|
|
82,031,043
|
|
|
|
|
|
|
WIDEOPENWEST, INC.
AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH
FLOWS (unaudited)
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
|
March 31,
|
|
|
2022
|
|
2021
|
|
|
(in millions)
|
Cash flows from
operating activities:
|
|
|
|
|
|
|
Net income
|
|
$
|
5.7
|
|
$
|
9.6
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
44.4
|
|
|
61.8
|
Deferred
income taxes
|
|
|
(2.0)
|
|
|
0.2
|
Provision
for doubtful accounts
|
|
|
0.4
|
|
|
2.9
|
Loss on
sale of assets, net
|
|
|
0.4
|
|
|
—
|
Amortization of debt issuance costs and discount
|
|
|
0.4
|
|
|
1.2
|
Non-cash
compensation
|
|
|
5.7
|
|
|
3.1
|
Other
non-cash items
|
|
|
(0.1)
|
|
|
(0.1)
|
Changes
in operating assets and liabilities:
|
|
|
|
|
|
|
Receivables and other operating assets
|
|
|
(5.7)
|
|
|
(0.7)
|
Payables and accruals
|
|
|
0.2
|
|
|
(0.4)
|
Net cash provided by
operating activities
|
|
$
|
49.4
|
|
$
|
77.6
|
Cash flows from
investing activities:
|
|
|
|
|
|
|
Capital
expenditures
|
|
$
|
(42.1)
|
|
$
|
(59.3)
|
Other investing
activities
|
|
|
0.5
|
|
|
0.4
|
Net cash used in
investing activities
|
|
$
|
(41.6)
|
|
$
|
(58.9)
|
Cash flows from
financing activities:
|
|
|
|
|
|
|
Proceeds from
issuance of long-term debt, net
|
|
$
|
—
|
|
$
|
31.0
|
Payments on
long-term debt and finance lease obligations
|
|
|
(5.0)
|
|
|
(19.4)
|
Purchase of
shares
|
|
|
(5.3)
|
|
|
(6.6)
|
Net cash (used in)
provided by financing activities
|
|
$
|
(10.3)
|
|
$
|
5.0
|
(Decrease) increase in
cash and cash equivalents
|
|
|
(2.5)
|
|
|
23.7
|
Cash and cash
equivalents, beginning of period
|
|
|
193.2
|
|
|
12.4
|
Cash and cash
equivalents, end of period
|
|
$
|
190.7
|
|
$
|
36.1
|
Supplemental
disclosures of cash flow information:
|
|
|
|
|
|
|
Cash paid during
the periods for interest
|
|
$
|
2.8
|
|
$
|
30.7
|
Cash paid during
the periods for income taxes
|
|
$
|
—
|
|
$
|
—
|
Non-cash operating
activities:
|
|
|
|
|
|
|
Operating lease
additions
|
|
$
|
—
|
|
$
|
0.1
|
Non-cash financing
activities:
|
|
|
|
|
|
|
Finance lease
additions
|
|
$
|
3.5
|
|
$
|
2.8
|
Capital
expenditure accounts payable and accruals
|
|
$
|
20.3
|
|
$
|
17.0
|
About WOW!
WOW! is one of the nation's leading
broadband providers, with an efficient, high-performing network
that passes 1.9 million residential, business and wholesale
consumers. WOW! provides services in 14 markets, primarily in the
Midwest and Southeast, including Michigan, Alabama, Tennessee, South
Carolina, Florida and
Georgia. With an expansive
portfolio of advanced services, including high-speed Internet
services, cable TV, phone, business data, voice, and cloud
services, the company is dedicated to providing outstanding service
at affordable prices. WOW! also serves as a leader in exceptional
human resources practices, having been recognized seven times by
the National Association for Business Resources as a Best &
Brightest Company to Work For, winning the award for the last four
consecutive years. Visit www.wowway.com for more
information.
Cautionary Statement Regarding Forward-Looking
Statements
Certain statements in this press release
that are not historical facts contain "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These forward-looking statements represent our
goals, beliefs, plans and expectations about our prospects for the
future and other future events. Forward-looking statements include
all statements that are not historical fact and can be identified
by terms such as "may," "intend," "might," "will," "should,"
"could," "would," "anticipate," "expect," "believe," "estimate,"
"plan," "project," "predict," "potential," or the negative of these
terms. Although these forward-looking statements reflect our
good-faith belief and reasonable judgment based on current
information, these statements are qualified by important factors,
many of which are beyond our control that could cause our actual
results to differ materially from those in the forward-looking
statements. These factors and other risks that could cause our
actual results to differ materially are set forth in the section
entitled "Risk Factors" in our Annual Report filed on Form 10-K
with the Securities and Exchange Commission ("SEC") and other
reports subsequently filed with the SEC. Given these uncertainties,
you should not place undue reliance on any such forward-looking
statements. The forward-looking statements included in this report
are made as of the date hereof or the date specified herein, based
on information available to us as of such date. Except as required
by law, we assume no obligation to update these forward-looking
statements, even if new information becomes available in the
future.
Non-GAAP Financial Measures
The Company has included
certain non-GAAP financial measures in this release, including
Adjusted EBITDA. These terms, as defined herein, are not intended
to be considered in isolation, as a substitute for, or superior to,
the financial information prepared and presented in accordance with
generally accepted accounting principles in the United States of America ("GAAP"). These
terms may vary from the use of similar terms by other companies in
our industry due to different methods of calculation and therefore
are not necessarily comparable.
We believe that these non-GAAP measures enhance an investor's
understanding of our financial performance. We believe that these
non-GAAP measures are useful financial metrics to assess our
operating performance from period to period by excluding certain
items that we believe are not representative of our core business.
We believe that these non-GAAP measures provide investors with
useful information for assessing the comparability between periods
of our ability to generate cash from operations sufficient to pay
taxes, to service debt and to undertake Capital Expenditures. We
use these non-GAAP measures for business planning purposes and in
measuring our performance relative to that of our competitors. We
believe these non-GAAP measures are measures commonly used by
investors to evaluate our performance and that of our
competitors.
Adjusted EBITDA eliminates the impact of expenses that do not
relate to overall business performance and is defined by WOW! as
net income (loss) before interest expense, income taxes,
depreciation and amortization (including impairments), impairment
losses on intangibles and goodwill, write-off of any asset, loss on
early extinguishment of debt, integration and restructuring
expenses and all non‑cash charges and expenses (including stock
compensation expense) and certain other income and expenses.
Adjusted EBITDA should not be considered as an alternative to net
income (loss), operating income or any other performance measures
derived in accordance with GAAP as measures of operating
performance, operating cash flows or liquidity. Pro Forma Adjusted
EBITDA takes into account the recent sales of five service areas as
though such transactions had occurred prior to the periods
presented.
Refer to "Reconciliations of GAAP Measures to Non-GAAP
Measures" and the accompanying tables below for a
reconciliation of Adjusted EBITDA to Net Income which is the most
directly comparable to its corresponding GAAP financial
measure.
Subscriber Information
The Company uses the terms
defined below throughout this release.
Homes passed are reported as the number of serviceable
addresses, such as single residence homes, apartments and
condominium units, and businesses passed by our broadband network
and listed in our database.
We deliver multiple services to our customers, as such we report
Total Subscribers as the number of Subscribers who receive at least
one of our HSD, Video or Telephony services, without regard to
which or how many services they subscribe. We define each of the
individual HSD Subscribers, Video Subscribers and Telephony
Subscribers as a Revenue Generating Unit ("RGU").
While we take appropriate steps to ensure subscriber information
is presented on a consistent and accurate basis at any given
balance sheet date, we periodically review our policies in light of
the variability we may encounter across our different markets due
to the nature and pricing of products and services and billing
systems. Accordingly, we may from time to time make appropriate
adjustments to our subscriber information based on such
reviews.
WIDEOPENWEST, INC.
AND SUBSIDIARIES Reconciliations of GAAP Measures to
Non-GAAP Measures (unaudited)
|
|
The following table
provides a reconciliation of Adjusted EBITDA and Pro Forma Adjusted
EBITDA to Net Income for the periods presented:
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
|
March 31,
|
|
|
2022
|
|
2021
|
|
|
(in millions)
|
Net Income
|
|
$
|
5.7
|
|
$
|
9.6
|
Depreciation and
amortization
|
|
|
44.4
|
|
|
61.8
|
Interest
expense
|
|
|
7.4
|
|
|
31.4
|
Loss on sale of
assets, net
|
|
|
0.4
|
|
|
—
|
Non-recurring
professional fees, M&A integration and restructuring
expense
|
|
|
11.7
|
|
|
6.2
|
Non-cash stock
compensation
|
|
|
5.7
|
|
|
3.1
|
Other income,
net
|
|
|
(8.7)
|
|
|
(0.6)
|
Income tax
(benefit) expense
|
|
|
(0.2)
|
|
|
0.9
|
Adjusted
EBITDA
|
|
$
|
66.4
|
|
$
|
112.4
|
|
|
|
|
|
|
|
Pro Forma
Adjustments
|
|
|
|
|
|
|
Less: Adjusted
EBITDA attributable to disposed service areas
|
|
|
—
|
|
|
(50.8)
|
Pro Forma Adjusted
EBITDA
|
|
$
|
66.4
|
|
$
|
61.6
|
WIDEOPENWEST, INC.
AND SUBSIDIARIES Capital Expenditures and Subscriber
Information (unaudited)
|
|
The following table
provides additional information regarding our Capital Expenditures
for the periods presented:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
|
March 31,
2022
|
|
March 31,
2021
|
|
|
Continuing
|
|
Discontinued
|
|
Total
|
|
Continuing
|
|
Discontinued
|
|
Total
|
|
|
(in millions)
|
Capital
Expenditures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Customer premise
equipment
|
|
$
|
19.0
|
|
$
|
—
|
|
$
|
19.0
|
|
$
|
20.0
|
|
$
|
10.6
|
|
$
|
30.6
|
Scalable
infrastructure
|
|
|
10.7
|
|
|
—
|
|
|
10.7
|
|
|
11.4
|
|
|
1.0
|
|
|
12.4
|
Line
extensions
|
|
|
4.5
|
|
|
—
|
|
|
4.5
|
|
|
3.7
|
|
|
1.2
|
|
|
4.9
|
Support capital and
other
|
|
|
7.9
|
|
|
—
|
|
|
7.9
|
|
|
8.9
|
|
|
2.5
|
|
|
11.4
|
Total
|
|
$
|
42.1
|
|
$
|
—
|
|
$
|
42.1
|
|
$
|
44.0
|
|
$
|
15.3
|
|
$
|
59.3
|
Capital expenditures
included in total related to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Edge-outs
|
|
$
|
1.1
|
|
$
|
—
|
|
$
|
1.1
|
|
$
|
0.8
|
|
$
|
0.6
|
|
$
|
1.4
|
Business
services
|
|
$
|
3.2
|
|
$
|
—
|
|
$
|
3.2
|
|
$
|
3.9
|
|
$
|
1.1
|
|
$
|
5.0
|
The following table
provides an unaudited summary of our continuing operations
subscriber information:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March
31,
|
|
June
30,
|
|
September
30,
|
|
December
31,
|
|
March
31,
|
|
|
2021
|
|
2021
|
|
2021
|
|
2021
|
|
2022
|
Homes Passed
|
|
1,873,900
|
|
1,877,300
|
|
1,880,900
|
|
1,882,100
|
|
1,886,000
|
Total
Subscribers
|
|
528,000
|
|
530,500
|
|
531,600
|
|
532,900
|
|
534,700
|
HSD RGUs
|
|
504,900
|
|
507,900
|
|
509,500
|
|
511,700
|
|
515,000
|
Video RGUs
|
|
178,800
|
|
169,300
|
|
158,600
|
|
150,600
|
|
142,000
|
Telephony
RGUs
|
|
108,000
|
|
105,600
|
|
102,400
|
|
100,000
|
|
97,300
|
Total RGUs
|
|
791,700
|
|
782,800
|
|
770,500
|
|
762,300
|
|
754,300
|
Additional Information Available on Website:
The
information in this press release should be read in conjunction
with the financial statements and footnotes contained in the
Company's Quarterly Report on Form 10-Q for the quarter ended
March 31, 2022, which will be posted
on of our investor relations website at ir.wowway.com, when it
is filed with the Securities and Exchange Commission (the
"SEC"). A slide presentation to accompany the conference call
and a trending schedule containing historical customer and
financial data will also be available on our website.
Contact:
Andrew
Posen
Vice President, Head of Investor Relations
303-927-4935
andrew.posen@wowinc.com
Debra Havins
Vice President, Corporate Communications
720-527-8214
debra.havins@wowinc.com
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SOURCE WideOpenWest, Inc.