NYSE$OPTU

Optimum Communications Inc A · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Altice USA reported improved broadband net adds, mobile line net adds, and fiber customer growth.

Altice USA reported a decrease in total revenue by 3.2% year-over-year. However, the company saw improvements in broadband subscriber trends, mobile net additions, fiber customer growth, and customer satisfaction. The company is focused on operational and financial discipline to return to sustainable broadband and cash flow growth.

  • Improved broadband net adds year-over-year for the second consecutive quarter.
  • Optimum Mobile net additions grew by 5x year-over-year.
  • Best quarter for Fiber net adds, reaching 295k Fiber customers.
  • Customer Experience (CX) leading to higher satisfaction scores.

Headline financials

Total Revenue

$2.32B

Previous: $2.39B-3.2%
EPS (adj)

$0.15

Previous: $0.19-21.1%
Adjusted EBITDA Margin

39.5%

No prior period
Capital Expenditures

-$353M

Previous: $494M-171.6%
Free Cash Flow

$121M

Previous: $136M-10.6%
Net Income

$75.5M

Previous: $85M-11.2%
Operating Income

$493M

Previous: $467M+5.4%
Gross Profit

$1.57B

Previous: $1.52B+2.9%
Cash & Equivalents

$269M

Previous: $251M+7.1%
Total Assets

$32.2B

Previous: $33.3B-3.2%
Stock-Based Comp

$16.1M

Previous: $37.3M-56.9%

Revenue & EPS history

Altice USA · Revenue · Quarterly

$2.32B

Q3 2023-3.2%vs Q3 2022
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Altice USA · $2.37B total across 7 segments · Q4 2022

  • Broadband
    $961M
  • Video
    $782M
  • Business Services & Wholesale
    $368M
  • News and Advertising
    $152M
  • Telephony
    $79.5M
  • Mobile
    $24.4M+2.2%
  • Other
    $2.77M-15.3%

Forward guidance

Altice USA is optimistic about its ability to return to sustainable broadband and cash flow growth with a continued focus on operational and financial discipline.

Tailwinds

  • Continued progress in building and delivering best-in-class network experiences.
  • Fiber rollout continues with +61k new FTTH passings in the quarter.
  • Optimum 8 Gig Internet launched to entire East Fiber Footprint.
  • Optimum Multi-Gig Offerings Pick Up Steam.
  • Continued Demand for Speed and Data Usage from Optimum Customers.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-1.7%

Avg return

Earnings day

-2.6%

Avg return

5 days after

-4.8%

Avg return

30 days after

53%

19 / 36 earnings

Positive

+27.7%

Q2 2022

Best reaction

-33.7%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-13.0%-31.4%-21.0%
Q4 2025+3.7%+0.0%-13.0%
Q3 2025-4.7%-8.4%-14.4%
Q2 2025-8.5%-6.7%-6.3%
Q1 2025+4.6%+3.0%-15.1%
Q4 2024+0.7%+5.9%-7.0%
Q3 2024-4.2%-2.3%-5.7%
Q1 2024-2.5%-1.5%+22.2%
Q4 2023+6.9%-2.0%+30.9%
Q3 2023+0.7%-15.2%-20.8%
Q2 2023+13.1%+8.1%-4.4%
Q1 2023-12.9%-5.7%-17.3%
Q4 2022+1.0%-10.1%-25.4%
Q3 2022-33.7%-30.0%-36.1%
Q2 2022+27.7%+27.4%+7.2%
Q1 2022-10.4%-5.5%+12.2%
Q4 2021-19.2%-21.4%-20.3%
Q3 2021+4.4%+1.4%-2.1%
Q2 2021-9.3%-9.4%-18.2%
Q1 2021+3.1%+3.0%+2.2%
Q4 2020-7.0%-7.1%-7.6%
Q3 2020+3.3%+4.4%+31.5%
Q2 2020+7.1%+11.1%+8.7%
Q1 2020-5.2%-10.7%-2.4%
Q4 2019-5.1%-2.5%-24.6%
Q3 2019-17.8%-17.0%-19.9%
Q2 2019+3.9%+0.4%+10.6%
Q1 2019+5.6%+3.3%+1.3%
Q4 2018+1.8%+0.6%+0.8%
Q3 2018+9.3%+12.8%+8.1%
Q2 2018+1.3%+2.0%+5.2%
Q1 2018+10.2%+14.7%+8.0%
Q4 2017-5.2%+0.5%-3.7%
Q3 2017-9.4%-7.5%-26.1%
Q4 2016-3.9%-3.9%-5.7%
Q2 2017+3.1%+7.0%-2.9%
Q1 2017
Q3 2016
Q2 2016
Q1 2016
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2012
Q1 2012

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