NASDAQ$FYBR

Frontier Communications Parent Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Frontier delivered solid financial performance driven by strong growth in consumer fiber broadband and strategic execution.

Frontier Communications reported Q4 2023 results, with revenue of $1.43 billion and net income of $17 million. The company achieved its first full year of EBITDA growth in more than a decade, driven by strong consumer fiber broadband revenue growth. Frontier is guiding to accelerated mid-single-digit Adjusted EBITDA growth in 2024.

  • Consumer fiber broadband revenue increased by more than 25%, driven by customer and ARPU growth.
  • Frontier reached a milestone of two million fiber broadband customers.
  • Adjusted EBITDA increased 4.0% year-over-year, driven by lower content expenses and cost savings.
  • Consumer fiber broadband customer churn decreased from 1.32% to 1.20%.

Headline financials

Total Revenue

$1.43B

Previous: $1.44B-0.8%
EPS (adj)

$0.07

Previous: $0.63-88.9%
Capital Expenditures

-$329M

No prior period
Net Income

$17M

Previous: $155M-89.0%
Operating Income

$120M

Previous: $136M-11.8%
Gross Profit

$541M

Previous: $911M-40.6%
Stock-Based Comp

$27M

Previous: $28M-3.6%

Revenue & EPS history

Frontier Communications · Revenue · Quarterly

$1.43B

Q4 2023-0.8%vs Q4 2022
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Frontier Communications · $2.38B total across 4 segments · Q3 2020

  • Consumer
    $859M-8.9%
  • Data & Internet
    $838M
  • Voice Services
    $500M
  • Video Services
    $186M

Forward guidance

Frontier provided guidance for full year 2024, including Adjusted EBITDA of $2.20 - $2.25 billion, new fiber passings of 1.3 million and cash capital investment of $3.00 - $3.20 billion.

Tailwinds

  • Adjusted EBITDA of $2.20 - $2.25 billion
  • New fiber passings of 1.3 million
  • Cash capital investment of $3.00 - $3.20 billion
  • Cash taxes of approximately $20 million
  • Net cash interest payments of approximately $750 million

Headwinds

  • Significant indebtedness
  • Economic uncertainty and rising interest rates
  • Inflationary pressures on costs
  • Potential information technology or data security breaches
  • Competition from other providers

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 8 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

+0.1%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+2.5%

Avg return

30 days after

50%

9 / 18 earnings

Positive

+12.1%

Q4 2023

Best reaction

-12.8%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q3 2025+0.3%+0.2%+0.4%
Q2 2025+0.3%+0.2%+1.6%
Q1 2025+0.1%-0.5%+1.5%
Q4 2025+0.0%+0.5%+0.0%
Q3 2024-1.0%-2.6%-2.6%
Q2 2024-9.8%-5.0%-0.1%
Q1 2024+9.5%+5.6%+11.1%
Q4 2023+12.1%+10.2%+8.3%
Q3 2023+6.8%
Q2 2023-0.6%
Q1 2023-12.8%
Q4 2022-1.4%
Q3 2022-8.3%
Q2 2022+3.6%
Q1 2022-4.0%
Q4 2021+3.1%
Q3 2021+3.9%
Q2 2021-0.5%
Q1 2021
Q4 2020
Q3 2020
Q2 2020
Q4 2019
Q1 2020
Q3 2019
Q2 2019
Q1 2019
Q4 2018
Q3 2018
Q2 2018
Q1 2018
Q4 2017
Q3 2017
Q2 2017
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Q4 2016
Q3 2016
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Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q3 2012
Q2 2012
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Q4 2011
Q3 2011
Q2 2011
Q1 2011
Q4 2010
Q3 2010

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