YASTEST
GCI REPORTS THIRD
QUARTER 2017 FINANCIAL RESULTS
Net Loss of $9 million
Consolidated Revenue of $231
million
Pro Forma EBITDA of $81 million
November 1, 2017,
Anchorage, Alaska - General Communication, Inc. ("GCI")
(NASDAQ: GNCMA) announces its results for the third quarter of
2017.
Liberty
Interactive Transaction Update:
As previously announced, GCI and
Liberty Interactive Corporation signed an agreement to combine GCI
with certain assets of the Liberty Ventures Group. The following
summarizes our progress on outstanding closing related
requirements:
Regulatory Approvals: As
previously reported, we have made the required filings with each of
the Federal Communications Commission ("FCC") and the Regulatory
Commission of Alaska seeking approval of the transaction.
Shareholder vote: We are
responding to additional requests from the SEC on the
S-4.
We are now expecting to close the transaction in the first quarter
of 2018 rather than the fourth quarter of 2017, subject to the
satisfaction of customary closing conditions, including the
regulatory and shareholder approvals.
Operating and
Financial Highlights
Our third quarter revenues were
$231 million, an increase of $7 million sequentially and a $5
million decrease from the third quarter of 2016. The year-over-year
decline was due largely to a $5 million decline in wireless
equipment revenue. Pro Forma EBITDA, which is Adjusted EBITDA plus
$2 million of one-time Liberty transaction costs in the quarter,
was $81 million. This is up $6 million from the previous quarter
and $3 million year-over-year.
As we have stated previously, we
are focusing on operating efficiencies and cost savings as we
expect muted revenue growth in the context of the Alaska
recession. This quarter we had Pro Forma EBITDA margins of
34.9 percent compared to 33.0 percent in the third quarter of 2016
and 33.4 percent in the second quarter of 2017.
Consumer
Consumer revenues of $110 million
in the third quarter were up $4 million or 3.5 percent sequentially
and down $5 million or 4.1 percent year-over-year. Wireless
revenues were down $5 million year-over-year with the declines
primarily from handset sales. During the quarter we experienced
subscriber declines of 1,900 cable modems, 2,300 video subscribers
and 300 wireless subscribers. The recession in Alaska is a
significant contributing factor in our subscriber headwinds.
However, we also completed our rate plan simplification project
effective September 30, 2017. This was an important project
to complete as we move to our new billing system in 2018 although
it did result in elevated customer churn throughout the
process.
Business
GCI Business revenues of $121
million in the third quarter were up $3 million or 2.6 percent
sequentially and down $1 million or 0.6 percent year-over-year. The
year-over-year decline is due to declines in voice revenues.
On a sequential basis, second quarter revenue was affected by a $5
million reduction from the Universal Services Rural Health Care
adjustment. Excluding this adjustment, third quarter sequential
revenues would have declined $2 million due to lower time and
materials revenue.
SG&A
SG&A expenses were $91 million
during the quarter. Excluding the one-time Liberty transaction
costs of $2 million, expenses were level year-over-year and up $2
million or 2.0 percent sequentially.
Capital Expenditures
On a year to date basis we have
made $120 million of capital expenditures excluding capitalized
interest.
Leverage
After adding back the roaming
adjustment and Liberty transaction costs, our net debt to trailing
12 months Adjusted EBITDA was 4.6x as of September 30, 2017.
2017
Guidance
We are affirming our Pro Forma
EBITDA guidance to be between $300 million and $315 million in
2017, excluding costs related to the Liberty transaction.
Capital expenditures are expected
to be approximately $165 million in 2017.
Use of Non-GAAP Measure
Pro-Forma and Adjusted EBITDA are presented herein
and are non-GAAP measures. See our attached financials for a
reconciliation of these non-GAAP measures to the nearest GAAP
measure.
Pro-Forma EBITDA guidance is a
forward-looking non-GAAP financial measure presented herein.
Reconciliation to the most directly comparable GAAP financial
measure is not provided because we are unable to provide such
reconciliation without unreasonable effort. The inability to
provide a reconciliation is due to the uncertainty and inherent
difficulty regarding the occurrence, the financial impact and the
periods with respect to recognition of future GAAP financial
measures. We also believe that such a reconciliation would
imply an inappropriate degree of precision. For the same
reasons, we are unable to address the probable significance of the
unavailable information.
Conference Call
The company will hold a conference
call to discuss the financial results on Thursday, November 2, at
2:00 p.m. (Eastern). To access the call, call the conference
operator between 1:45-2:00 p.m. (Eastern) at 844-850-0551
(International callers should dial +1-412-902-4197) and identify
your call as "GCI".
In addition to dial-up access, GCI
will make available net conferencing. To access the call via net
conference, log on to ir.gci.com and follow the instructions.
After appropriate filings have
been made with the SEC, a rebroadcast of the briefing will be
available by logging onto our investor relations site at
www.gci.com.
Forward-Looking Statement Disclosure
The foregoing contains
forward-looking statements regarding GCI's expected results that
are based on management's expectations as well as on a number of
assumptions concerning future events. Actual results might differ
materially from those projected in the forward-looking statements
due to uncertainties and other factors, many of which are outside
GCI's control. Additional information concerning factors that could
cause actual results to differ materially from those in the
forward-looking statements is contained in GCI's cautionary
statement sections of Forms 10-K and 10-Q filed with the Securities
and Exchange Commission.
About GCI
GCI is the largest communications provider in
Alaska, providing data, wireless, video, voice and managed services
to consumer and business customers throughout Alaska and
nationwide. Headquartered in Alaska, GCI has delivered services for
nearly 40 years to some of the most remote communities and in some
of the most challenging conditions in North America. Learn more
about GCI at www.gci.com.
Contact:
Media / Investors: Heather Handyside, 907.868.6838,
hhandyside@gci.com
#
# #
Press Release Financials
9-30-2017
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: General Communication Inc via Globenewswire
Gci Liberty, Inc. (delisted) (NASDAQ:GNCMA)
과거 데이터 주식 차트
부터 10월(10) 2024 으로 11월(11) 2024
Gci Liberty, Inc. (delisted) (NASDAQ:GNCMA)
과거 데이터 주식 차트
부터 11월(11) 2023 으로 11월(11) 2024