Liberty TripAdvisor (LTRPA) 8 May 242024 Q1 Earnings call transcript

Welcome to Liberty Broadband 2024 Q1 Earnings Call. [Operator Instructions] As a reminder, this conference will be recorded, May 8. I would now like to turn the call over to Clare Adams, Senior Manager, Investor Relations. Please go ahead.

Good morning.

Before we begin, we'd like to remind everyone that this call includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. filed could uncertainties, due the SEC. including Forms and results of a most or and XX-K and Broadband risks those XX-Q events differ with to materially number recent Liberty Actual TripAdvisor Liberty the by mentioned in forward-looking or of date any undertaking to any or call, only to of TripAdvisor expressly any as and revisions contained reflect Liberty disseminate change Broadband Liberty speak herein forward-looking disclaim statements this These the and Liberty events, on with based. On change any such in to statements Broadband, discuss Liberty obligation thereto regard Liberty adjusted expectations is for will including Broadband TripAdvisor's conditions or OIBDA. certain or any measures non-GAAP today's statement which in call, we circumstances financial updates or any comparable issued the found Information as as including and GAAP and reconciliations, Schedules with website. Broadband's release notes be earnings X, available for can periods, metrics, press definitions today along preliminary earnings which required in are X prior on well Liberty releases the regarding in the

like Now and President CEO. Greg Liberty's Maffei, introduce to I'd

to and Clare, of will and Today answer Brian Also questions. good also will available Ron related Officer, we available Principal be morning of Chief we all. Liberty to CFO questions you, Thank call, Financial speaking on Liberty Accounting CEO Duncan, to answer Wendling; Pete will have Pounds, and GCI; the Broadband's be TripAdvisor. GCI, during Q&A, to

going I greater reduction. will future historically LBRD expect purchases a in we But in evaluate proceeds. that near resume uses due early we Charter's focus sales last which to this gone the will will do Similar on majority diluted we Broadband. year, So year, We largely to Liberty XX% also have continue and the we buyback grants. proceeds, best have Charter's do the annual the under to beginning fully expect summer, the term, we with in ownership of into receive cap, and compensation to expect remain somewhere the debt

near So reduced us some the have term. you in buyback see a might of pace of

itself, expiration Internet headwinds in the at first early a lower subscriber elevated continued across competition, the Looking have board from activity things, experienced quarter. upcoming the rates. experience XX,XXX did EBITDA growth largely Charter from rates, at adds net challenged The given, the ACP been at move first company reduce loss, high with Charter industry across the historically growth and interest other does levels historically the among X.X% churn and mortgage quarter. in low remain solid

Internet performance, Spectrum see quite roll We're the investing versus despite comfortable One upgrade business to XX% million continues pleased the achieve spot is year. are continue total service to opportunity, year. as prior nicely. while lines facing the improving We business achieves the quite working throughout seeing they'll mobile Charter accelerated do surpassed mobile our we market that perform achieve and to year can customers, which industry and off the anytime management pressures, down to revenue expense of and stickiness bright the scale. in churn we're mobile and economies promotional and expand is increased well. Mobile, due going EBITDA growth program with The EBITDA with the is and lines, management, X largely prior versus

the options year. and mobile that, the product XXX program, customers, of the is Charter light not including many was As In ACP program X retention Spectrum offer a to of you Assist for retain know, Internet unfortunately, of of renewed. offering ACP a range free Internet

buyback target year. while balance maintaining this sheet we at do X.X briefly toward move will expect the the at X to Charter, leverage the of the Looking midpoint leverage

strategic parties. seen of this ceased morning, alternatives to discussions XXD which Special outlined with with Many L-TRIP. briefly third discuss TripAdvisor Turning may transaction we the do a at that have you filed Committee. continue We

We executed are or to not terminate. discussions able on will documents further definitive comment unless this be

experiences the Trip's morning. app it conversion by and generating for start driven despite TripAdvisor remain good by had user. Viator itineraries and first saw and quarter, lower bookings. inflationary click a record offset addition high was its brand strength but pricing call Hotel this Travel Looking activity did sustained consumers to TripAdvisor muted of experiences pressures. is geopolitical also tool well itself. revenue the average per higher priorities scale app TripAdvisor, growth Meta at XX% downloads, to At guidance volumes. and is continuing AI offer very in itself bookable embedded on performance more

with over to financials. to I'll So Brian turn the discuss that, it

excludes had Greg. and At price includes of as billion. of share you, at Broadband Liberty the $XXX a stock. our May of had $XX.X amount our X $XX Thank million yesterday's based end, of close shares equivalents was value quarter this billion. Charter The cash debt cash at of consolidated quarter of which investment preferred Broadband and end, held $X.X GCI. cash charter principal At Note, on Liberty million, total

the free decline in generate -- impact other meaningfully cash quarter. though not was side, declines the GCI. or revenue by revenue at was quickly flow. Growth flat video margins what OIBDA by adjusted and video Looking business in in does offset GCI's revenue. driven We'd declines does other in both data first The in the business were primarily revenue. revenue in that and note not consumer

with defined Over payment, customers. wireless of of under to credit by the under had capacity, net agreement debt capacity from adjusted net Broadband. was of were a revolver call revolver hand undrawn last GCI of million decline Greg. by saw Broadband the consumers Pro reclassification to end, undrawn million were to $XXX quarter the credit $XX the small year, the dividend paid for And subs loan I'll on $XXX facility revolver. down net under that, quarter Liberty credit. with drawing down modem forma of using Subsequent GCI to distributed of letters GCI's during of strong credit. And added therefore leverage million operations. GCI's back quarter proceeds revenue-generating cable and cash business, was its for X.Xx million with XXX GCI X,XXX X.Xx. its GCI neutral from the letters as funded $XXX its its margin just to leverage These Liberty over end, turn cash pay used Charter and and At

like and to we Thanks, for in your Broadband appreciate listening Brian. And open call the with Liberty that, TripAdvisor. audience, the operator, to continued questions. And interest Liberty I'd

today question from first Swinburne of Morgan Our Ben Instructions] [Operator Stanley. comes

last you right -- curious in your of is position like a the know to was a about Charter. what ACP interest you mention Extension there for bipartisan on I'm introduced on if of back an don't questions any Greg, free ACP. cash know if the given generation. Senate, what agree, price didn't than in Liberty just be of equity here argument. anything on remarks kind make that value the maybe senators that probably couple not, I then could flow stock company's markets stock your don't I on rates but and if similarly, here. some be have look if kick the when credit curious minute hope the relative think I'm the ray front, buying you that would lens an Charter, prepared would probably better now of you a Act you might deleveraging -- this Yesterday, there's save on group obviously. And any there and

heard say have the bit I the to ACP it. to I Don't a on beyond extension. little only comment [indiscernible] just much about know

issues Republicans while among is and Democrats tied and I a it, think some are consensus that extending it certainly there's up both many seems it. why can't -- certainly on always procedural hope, might there therefore, but we there -- also there count be is for get to

I debt to may to from have Liberty you buybacks that middle X, our Broadband. term, that think, comments we take of the more that On have may X.X to flow to reduce And to we heard of noticed get the the leverage expect also our expect in near closer Charter level both you Charter down X.X question, its that from to at cash use I Ben, leverage X the through the range. think

So heard marketplace the feel the just cost we're levels sites that the we're to at both higher to company companies, debt, support interest, the I I of think reduce least that the overall and you, of think to do at some show to going we while they both responsive have leverage. can degree these work

The Wlodarczak next from of question Jeff comes Pivotal Group. Research

of I'll It's telcos is ever also valuation about to or focus telcos. Charter. the the EBITDA as on it's Charter's most a as cheap discount been.

share not thoughts, ACP down footprint its wondering and should do does about Greg, freeing cash to then the how on slowing repurchases? think Charter maybe your And if that in up idea expansion assuming happen, the third larger Just sort keeping those seeing think it be most you with ARPU to do that and Charter hit successful second tools has the going subs. of is and quarter of in some

extension. Jeff. think wishing them the being cash these question, move given Thanks towards line general alternatives The they I look, thoughtful beat question of flow programs, are are about opportunities the given market more and under free they that for other have versus attractive and slowdown, the the on to -- but the see

have per attractive I and things be a -- customer big think to I declines ACP, programs bunch do to Chris and what likely -- we given how On very mitigate programs should which had customers there have the revenue think we in loss. team balanced ASP are many and not we are think are rightly I approach. there of average a are anticipate So achieve. able and or to what those do have they thoughtful,

Barton Crockett The of next Securities. Rosenblatt from comes question

now broadband that. moment. the buy also mobile success on get spot Charter the a X is great of be wanted question, And growth I conversion to certainly thoughts up some and been put the cable right and the Greg, in for of of of there's to headwinds bright kind pay industry the which at about the free by Okay. ask arguments you, X seems with on programs some TV on the

years that your So terms to Greg, needle story, more past. you mobile moving that companies the are fashion providers telephone wondering investor it's thoughts invest given your dominant opportunity mobile quicker material your a Do be Just think there's you there an sentiment. that there's growth pursue of still old Do more that? cable material, from scope plain but in in is pretty not where with not really would move of kind to great to just I'm were the perspective, to like small, think in they to do interesting. future make mobile it

Thanks think mobile companies. cable the note pursuer question, has spot. Charter Barton. been that that most for really space the you're has to a among And right aggressive been bright Look, the the I in

there's general, reduced they not gas. coming the I'm much can The sure into on how stores. -- activity foot in So their think I more put just

that of process. been just slower All -- a it's there's

quite So see and long can as success. as out much And continuing to mobile they're on growth and I getting they take product, future probably mobile I share. push able do remain of to bullish are how continue they right Charter, be to that their they'll in now.

if and Broadband moment? the on could then Broadband, on there this cable given other door the switch there? at all And closed for assets I rolling companies some generally, place, for depressed Liberty really is thought at of opportunity valuations the there is gears that Is over Okay. ask to kind look cable up just Liberty opportunity an

be pursue be door better Barton, be than I it I you general, closed, synergies given but reason But I one with likely. there one for But enormous number general, has an sense directly. available the us Charter's that Charter think we'd to another aligned makes synergies. through say never. I more in an given less or don't the most Charter's that in even that is Charter that that opportunity, now off would -- but or trying or can't it's think are Charter could appetite we're in doing attractive think cases, quite it are There for is appealing

Rollins of next Citi. is The from question Michael

that to broader way Board Broadband, are that want driving the discount the the is do think the Liberty that. And NAV possibility that you're the currently discount? factors just assessing. discuss to that you you the another are and can question prioritizing you of on use do shrinking Just regarding methods discount What that

Yes.

talked we repurchase we spin buyback if spun, past. there fewer talked to on for we not doing participants those little mitigation judge, number with that's opportunity. pace the fewer find share we've The DIRECTV, with done Liberty or generally, with more and or that we're and advantage with free with these market we There's key though in itself. that up here. at are get that. slow end of what what On by GCI discount which fully I that's somehow LSXM Elmedia or what did and incremental what And on We're but holdco fuel our with do We've the the did the already the valued do about ultimate funds think Expedia we of and also. in opco attractive. usually buyback, comes primary Charter's doing eventually the it's to is that's the risen where combine of a discounted doing, form borrow we we some and it cash what the discounts our combine stock. flow Expedia we cost a we've and SXM bit of what Obviously, higher about peers, how are all arbitrage of things. have There really

So share repurchase means the try take the resolution. of the ultimate in and it. is And primary to advantage that's interim,

resolution, there mindful other in in terms synergy a the should significant considerations of? of investors And of Broadband that is that be OpEx of amount Liberty or case

Broadband that would of purchases a kind GCI synergies can I effective ability would more transaction. any and a of Liberty elements basis. there, programming, be and GCI be on of more be more do network probably efficient suspect, has stand-alone GCI's eliminated between any Charter some overhead, than to Well, purchases which do effective in corporate would And

there there. probably yes, synergies are So some

Cove from Our last Jeff question of Capital. comes Bronchick today Street

be And and that really not to call, resistance talk taking is where buying the is I taken like do is, relevant? a going would I'm Trips. what quick that's situation my control think interest all the question negotiation you you about shareholders? have -- meeting a, to Paramount L-TRIP from Or up in for the

on there. read. I Paramount going I only or what's read on I don't know going about not what enough

I can't the special with or make analogy committee. is we as the So I say not. discussions productive can had

those there we've Trip. discussions. seen think than We versus of continue tension about have the And tension don't kind any to comment can't discussions. that. afraid, really is don't further premium I think And Liberty Trip that I I in

someone to would and offer reference. Paramount, anything Redstone have the other would buy like where, stake my I all to be obviously, shareholders

you In mean, to haven't we premium sought and try general, this I worked I make treat position, all -- hard shareholders we fairly sure that [indiscernible] one disadvantaged. last to have best thank and the and not interest think Trip. we level and big operator, next possible point, transaction to from just quarter, thought And make certainly listening try and we to some for all again, Broadband shareholders. With in not that, look you speaking forward our And once I if again for your we're done. sooner. you Liberty And thank audience with Liberty

This concludes today's conference.

you your lines disconnect this for time. may your Thank You at participation.