Cable One (CABO) 7 Nov 242024 Q3 Earnings call transcript

Hello, and welcome to the Cable One, Inc. Q3 2024 Earnings Call. [Operator Instructions] Later, we will conduct a question-and-answer session. [Operator Instructions]

As a reminder, this conference is being recorded. would Vice turn President I to conference time, Morkert, Jordan of this like the to over At Investor Relations. ahead. go Please

Good our results. One's Cable We're you welcome XXXX us and join review Call. have glad Third we as Earnings to afternoon, Quarter to

future ability and transaction, statements I and future forward-looking uncertainties, expenditures, and regarding broadband to from and we and including the discussion proceed, you of the of customer timing growth, line enterprise today's ratios levels ARPU, customer that if capabilities benefits leverage exercised program, capital revenue due our our MBI affordable to anticipated losses like statements put consummate in anticipated option would Before performance, price future new financial market remind and the to AI, put and events future future price implementation, the to purchase end wired anticipated that time wholesale our the growth contains fund is payable financing of the the competition, network capital of relating of sources risks involve in future our connectivity plans. policy, benefits MBI to dividend carrier, billing system such capital allocation, segments,

earnings You Form today's on from or new XX-K/A. and its release results events could report update and the filings, or whether alter result as future can find otherwise. our statements, except Cable our disclaims today's to information, One law, cause under materially annual in by as is factors no obligation in of required obligation, expressly actual forward-looking any to forward-looking during differ a that Cable One's call, statements including discussed SEC

our accepted are measures this directly at of measures principles our on include in certain on accounting earnings discussed financial be website the will not or call generally U.S. a can that most ir.cableone.net. comparable to remarks today's in GAAP Reconciliations release GAAP. non-GAAP conformity or Additionally, of with presented found measures financial discussion the

Laulis; Joining call turn Koetje, me today's our CFO. on is the Julia that, to me President With call over Julie. and and Todd CEO, our let

good everyone. us for In long-term plan we execute joining Jordan, continued on today's broadband We afternoon, appreciate phased our to you, quarter, third growth. for Thank and the call. you

As July. customer unchanged expected, and and residential excluding stabilized the of customer a remained the impact our affordable essentially losses ARPU of minimal after from base acquisition customer expiration in program small connectivity gains the from

demand segments. Broadband Business growth rising accelerated, by driven across enterprise also

demand. over data long are in network, and with offerings Looking which amidst tactics, of rooted the ahead, our in changes, organizational is in has our increases highly capacity we resilience insights the confidence term. additions to we've This confident double-digit recent product revenue broadband gained significant new grow ability go-to-market and maintained talent secured new

advancements milestones also ongoing quarter including guided and marked rebranding This of strategic significant and by transformation in organizational all customer-first mindset. digital expanded a a use several AI, alignment,

delivering despite broadband successfully the navigate will network for Before in remain landscape growth, deeper strategic approach help initiatives. that of enhancements competitive plan to want product phased shareholder while that Todd detail, I dive and growth, our steadfast long-term early our performance I'll into of us topics the and emphasize confident financial value. stages a evolving reviews we

quarter, more billing of than of price our system, a our adjustments which adjustments April. for accomplish to discontinuation the residential to a essentially HSD to required make in impact quarter We broadband, able were this marketing ability excluding transition XX% for flat the our subscribers has ended of ACP, were the ongoing despite to which limiting suspension new approximately with Starting the customers. HSD from

a bit marketing a of To quarters, X,XXX the we've while enhancements cost our will I to made on of customers. third affordable decrease to also ACP helped Specific to commitment team, upcoming in strategy later. after we ACP our significant detail our customers the sequential discontinuation a growth support our we support which and the quarter, basis, drive while saw services. program proactive would our us ended, call also quarterly customers took I which measures X,XXX out to maintain like that offer to

We consciously cost. customers avoided at extreme tactics any to retain

of of customer any due believe cycle. to ahead, the further life will cohort and consider churn Looking program part is we from accelerated the we the churn normal the us, behind this discontinuation as

of affordable to who service value-conscious basis allows we experience a managing through This for example commitments, a require. as customers a the for working in a This accessible pay-as-you-go it, their internet seek starting and customers offering, increments gather they they ensuring residential flexibility the company. insights provides which are extra what our how contracts expenses, program, moving for freedom in serve cohort One service deliver tailored for how long-term internet we will no just their with internet we're is this customers product evolution to cost of to customer forward. needed, as and from high-speed program adjust true customers user-friendly to a well pay to the pay-as-you-go fees lead is it lower purchase best pilot mobile inevitably speed to only app, refine to pilot as as or

remainder roll-offs competitive implementation of points refinement basis ARPU benefited responses, of plus our we selection sequentially, an higher XX%. basis or promotional high and from XXX trend all-time ARPU as continue increased Pay significantly program. the expect tiers sell-in of XXX to new speed successful our XXX sequentially, of and the higher for the ongoing this megs points year-over-year as and As reaching Notably, by stabilized anticipated, of year. of our customer this well

there We dynamics. believe stabilizing. competitive competition is to early signs Turning are that

communities, the strategies. required pricing have costs, Raw returns new a we also our economics economic from our resources of pricing even aggressive of Specifically, to reflecting to construction We wired in our competitive costs realities viable enabling us topography act some observed market local of barrier in entrants position challenging and in strong knowledge a effectively elevated the a markets our host a material us discourages long-term Most in markets. operators with more competitors competition. for maintain believe for rational from limited these gives markets. areas our deep importantly, edge as labor

Business quarter's to be our important Broadband with an strategy, revenues an growth continues driver from year-over-year, of previous X.X% rate. up long-term the growth acceleration year-over-year

earlier into or product our new all our through pricing, continue to and observing position, are progress. growth significant business improve segments, segments. demand taking and enterprise wholesale We in to of action are show across In types. whether segments consistent are These stages we expansion customer experience carrier,

few like of the would a to on minutes network. take I elaborate importance to our strong

of recently speed HSD to was reaching Our SCTE gig or makes National senior speeds at palpable. the deliver future infrastructure. capabilities around able promise XX potentially drug leadership even gathered the excitement Future to more. DOCSIS brighter the XX X.X be ever gigabits intelligent, advancements up and networks capital-efficient the than as will conference Indeed, with it future greater

story these offer of gigabit speeds across isn't all our footprint our video expand to but speed. our we we markets over IPTV, available as linear plan Today, entire to transition just about from XX% We capabilities through with markets. products multi-gig in

the of of competitors, month. to XXX the us demands Our gigabits cellphone network positioning and averaging security per meet performance Internet data data customers, of growing surpasses now our

capacity last Even terabyte to or X exceed XX% customers our substantial XX% peak limitations of year. network up from downstream this our without low rising of usage XX% month, demonstrating continued utilization at growth per intensity. and support XX% ability with in remains capital upstream Notably, increase just demand, our

times. home essential. to connectivity We also understand all That's enjoy ensure is possible Wi-Fi that experience the offer online and seamless intelligent the at we why within secure best customers designed

optimizing and more technology lives a to large is our era, to ensuring proactive secure but increasingly continuously users' of the enhances that network intuitive. of things Wi-Fi customers' for intelligent number online. and with our more connectivity a This in will our speed lie commitment part delivering smarter our adaptive needs, Our even exciting adapts devices day-to-day customers ahead become network even

analytics AI, smart this learning, data equipment machine are our and by the into We groundwork laying infrastructure. for integrating future

We're position experience. and the speed, capabilities, demand, through innovation, growth broadband, anticipates through in to market on meet that delivering our transforms reliability the customers, advancements investment only that are of customer cybersecurity of network not investing sustained our focus and shape the a our unwavering us but These but or needs Wi-Fi solutions, driving multi-gig an intelligent in future reliability, committed adaptability to are customers. we

all designed security for threats, package recently one month the and a loyalty customer aligning a from protect integrated malware for a experience our $X and of This example, growth like package online wide By it As and our attacks. to will company and create customers of enhancing others create opportunity the stakeholders. ARPU phishing we range including customers valuable meaningful for a and viruses, introduced more top-tier interest retention. can we while

Shifting initiatives. Valu-Net and plan dramatically will product to billing with operations onto our associates next CableAmerica We go and to customers week Fidelity, platform. presence. our and This live consolidating single system strengthen accelerate streamline a new brand billing strategic customers for our launches Sparklight

platforms retire As XX previously, disparate savings. annual enables million more dollars us we than yielding to this anticipated software in have noted several

Additionally, decreasing financial financial streamlining costs. our and to our our transitioned we successfully operations Hargray brand ERP,

Valu-Net and our Sparklight in customer website Hargray, our We substantial systems. and made and on have progress billing also rebranding Fidelity, CableAmerica brand to

the are company updating Sparklight brand our wearing as of badges, under by proudly all are Sparklight leverages fully the our the uniforms the and brand strength integrating across customers well, we wraps secure Associates vehicle packages consolidating across signage efficiencies operations. and and our and footprint and

positioning for opportunities drive are efforts create brand well exciting a these unified Collectively, experience, excellence ahead. growth operational designed to and us

significant module phase we're framework, a begun approach Transitioning advanced representing integrating the our our customer greater elevate of share approach an of interactions. broader customer customer the overall interactions pleased into strategy We've technological us understanding gain actionable development improve to first a This to our and allows insights to operational customer to enhancements AI system AI-powered a drive from our needs in to deeper customer customer efficiency. continuously journey. and advancements, harvest to leaders our enabling to transform experience

to continue strategy. the of team adding recognize to importance achieve our our to We talent

role. brings So XX of Residential Services. experience I the SVP industry new as would to his like to welcome years Mokry more our Tony Tony than new telecommunications in of

share AT&T, career, states, insights. through Earlier held at market Chief market based and drive AT&T served roles and and Before President Vice cross-functional Marketing brand in revenue several awareness, both he where Vice Officer of Tony leadership joining leading was President data-driven innovative growth as us on his Cable subsidiary, growth. his Wireless Cricket enhance teams at senior in instrumental to including strategies he at trends led One, marketing where identify

long-term sustainable growth announced addition enhance evolving adapt will reorganization last the our landscape. to that Tony's ability the and competitive complements foster today's expertise bringing serve to of we quarter, demands customers

are direction. fortifies in we've expertise strengthens with team our the Their our deep talent organization. pleased strategic We new brought across and the executive

Before the years season. in recognize to to affected I during U.S. want incredible to strike and the in Hurricane Georgia. the the over XX in dedication over Southeast, call hurricane including of of Helene, Carolina South the one challenging Todd, our our this deadliest turning communities associates significantly markets

our Fortunately, and was safe all of our associates and limited. their are families exposure

our swiftly Our One commitment resilience XX% to the Cable to approximately than restored a XX,XXX customers. week team within demonstrating customers services of remarkable impacted more and

And now, financial recap further outlook third discuss a and of our future. for quarter the our Todd will provide performance

off revenue. Starting with Julie. Thanks,

third to the quarter decrease line. stabilized declining residential due QX. to our of from the The and the within residential XXXX, first $XXX.X lower were the data For million of year, ARPU compared data total QX over million of After to sequentially year-over-year in attrition continued was third revenues $XXX.X primarily half product ARPU quarter our lower-margin XXXX.

was targeted generally Julie with rates. a the by and product this competitors, due year-over-year, specific to select by data customer X.X% decline which sell-in in X.X% As end to This $XX.X has decreased strategies this a valued markets noted, QX to million lower year. along ARPU. we decrease continue segment, of pricing focus address in the on revenues residential or through expect driven

Services. Business to Shifting

data million our demand contracts past and with data renewal grew Business or revenues carrier, by last strong rates. to period quarter and generate XX Third by $X.X year. high customer the per same enterprise revenues X.X% grew segments, business X,XXX long-term wholesale over which months. compared by is highest the benefit from across growth This customer PSUs the fueled

a optimizing by expenses in expense $XXX.X Operating our The as $X.X as largely million. in were within driven decrease labor programming well franchise costs decrease cost ongoing structures million was base. focus our and on

XXXX of XX.X% third expense year. decrease or The third Selling, million $XX.X implemented lower XX.X% revenues quarter to general and by implementations for second part the of the new organizational to to large other $XX.X in offset were in compared administrative and due quarter, and of expenses expenses compensation-related quarter last by costs platform the in changes partially related labor and increased driven was rebranding. during million

was $XX.X QX prior $XX.X of EBITDA quarter or of to revenues of for compared million of million XXXX the in revenues XXXX or income XX.X% quarter in compared was Net third million the million third XX.X% $XXX the $XXX.X XXXX. to in year quarter. Adjusted

Our year margin compared points were expenditures adjusted basis last sequential $XX.X Capital this million EBITDA million in XX a on improved $XX to QX basis. of year.

expenditures due million market third from million activities. third the approximately or in Sequentially, Wi-Fi invested leading the in prior quarter capital expansion by capital million to a was year. and increased investment of primarily decrease During integration in ongoing quarter technology, our $X investment new $XX.X XXXX, $XXX.X projects million less of million $X adjusted the XXXX, we EBITDA in XX.X% our intelligent $X.X

existing on commitment capital growth EBITDA debt platform infrastructure, and focused strategy acquisitions Year-to-date, period. key enhancing X.X% markets, committed to and a investments growth We earlier, adjusted Julie and return capital detailed CapEx remain prior and balanced focused disciplined will that continue been allocation to was our X both our capitalizing of as has organic comparable $XXX.X strategic through on within opportunities repayment. from less network and year the pursuing areas: be a opportunities, million, on decrease a inorganic

seen million. have well excess investments, they returns announced attractive agreements slated our transactions, our definitive These $XXX to to in annual excess that entered of targeted sell XXXX pretax which proceeds and of may provide their As Metronet in into X have recently, of Ziply businesses. in will parameters close you yield and have are

debt, million million to facility. In of QX, we dividends to of $XX in a including $XX.X shareholders repayment million distributed credit $XX revolving voluntary repay our

is to approach balance conservative emphasizing reduce and mindset, ability management capitalization demonstrated disciplined a to and sheet debt repayment Our guided by a leverage.

nearly million revolving including $XXX Since of $XXX drawn early repaid initial we credit the our have million facility. of debt, XXXX, $XXX under million

cash debt end and billion million million and we the convertible in approximately million $XXX lease of liabilities. unsecured of approximately notes, of cash the equivalents of $XXX our million million of consisting hand approximately was $X.X in had As quarter, $XXX notes, in $X.X balance on $X loans, of finance third borrowings billion, and term $XXX revolver

at Our with that borrowings, of was floating weighted of QX average debt for prevailing issuance rates. cost half XXXX fixed are synthetically of either X.XX% our rates base fixed over XX% approximately or underlying the of

capacity leverage total end loyal committed while ratio our bringing last a of approximately of secured facility we upsize leverage $XXX successfully with to long-term was on at our of by support are community, many QX, X.XXx, quarter revolving the the the ratio was annualized $X.XX net net Our the million, lenders banking to credit our in able Xx. billion. After basis

end liquidity repaid the bringing voluntarily an billion. total under $X.X to quarter additional $XX the third this facility after million available of also over We

the MBI's and current total amounts net million and exercise As put be the approximately on Please pursuant QX figures do past million in MBI remaining and previously disclosed, may exercised already is time and million. window the MBI the $XXX our will assumptions, estimates $XXX Based estimates differ. own MBI's of forecasts we estimate to million price and current and performance put were we between these represent of that put if between next actual $XXX the certain not to and note, acquire XX% at of acquisition $XXX to the occur estimated year. indebtedness

ended with passings. $XXX XX September months of network million, the for customers approximately approximately business residential revenues were XXX,XXX XXX,XXX XXXX, XX, and across total a data MBI's footprint approximately

flows believe As to and raise needing operating price our option to that sufficient the will cash cash purchase at we've the we available existing put the balances, our incremental if additional capacity time before, without under transaction be the said is anticipated our the capital. revolver exercised, fund of

executing Before approach our sustainable questions, for phased like we I'd long-term to open for it commitment a reiterate to up growth.

focused network our strong as maximizing team areas. connectivity to are to and our to an key assets Our service this on stay unique seamless customer base expanding we strategy, provide across dedicated

always making working getting are started. we progress, significant and you, for We just are we're

to stakeholders commitment ready remains all are Our that, now unwavering. With we for questions.

Instructions] [Operator first comes line Petti question from Our Sebastiano of the JPMorgan. from

question. quick system quarter? for XX% subscriber that But might financial it's clarify And Julie, you pay-as-you-go change just base. of the that be couple a seems A then it Does understand billing of broader the have pricing the still strategic maybe questions and or I on unable pilot, a -- you made you impacts with ARPU. your dilutive to in comment packaging housekeeping are -- to but any pilot, that secondarily, can it

trying to take convergent broader on you are test the of targeted we as players. takes and about seeing lastly, that. the puts kind M&A that I ecosystem, fiber mean of And thinking just you're us then that some the considering through wireless from consolidation

been of CABO's perhaps across it years. be look believe sense make strategic the has do sense you to a Does the -- the makes As several of a of current be larger for and cable to kind last positioning, larger you CABO thought rural enterprise? industry consolidator over it part be still

bet. You

effect when customers to -- the So you're billing or Sebastiano. in system, company system. changes that system not one ready existing the the customers aren't from getting have make it to questions, with an convert to allowed great did you It on exception is another,

this a for in long those as because means we ability right So brands everything those change period to family of systems don't of market, want into as that really multiples when billing to mid-summer Sparklight you bring you was from frozen In it's rates was time. now. that case, to the it have

So into so that's in if not happened. way rates. do were case, change locked we something And an differently, But or what this a and not. that's we anything you ideally, is do those advance plan when wanted with you in to We or you not react quite that literally billing could that, conversion live issue. honestly,

imagine brand-new we're we lot. is that like well. is innovative, the anything and as marketplace pretty next? would point I What's value-conscious program, again, don't think. Well, exactly cellphone competitors Pay-as-you-go. for And that see the to, really a I internet specifically this learn the it to customers. in -- place Okay. place going that this to really And

This gives and customers at the have gig ultimate just even sign that one the product. gig we not and needs meg can value-conscious XXX meg, is size day, up the does can That month, and I'm family meg, And is funds I another. might needs customer, gig whatever targeted one freedom. have They change a their day for my sign or up get, for, service. they can you can of and a XXX XXX funds they this speeds megs my for they for a what X of say to decide because to have X XXX because if spend a

dilutive. will question. But ARPU your so far tell is it not can so I tell And you is about time what

the ARPU, customers group And because that ARPU I know from already the the is of entry-level higher signed price. our up than have that average

but we we're and we're to going go, as about this to more, going evolve we're learn product. excited So

Let's see.

part forward question, CABO of being something part, In larger. incredibly as versus do speculative. consolidator last that's going Your a I see

that markets in are our about that customers to average We we we it's what place XX,XXX neighbors understand where think ours. a for deeply like markets do I customers. business with are like

efficiencies how get operate to in we way how not scale-like that to focus operate. the disparate where know regions through consolidated, almost we're bring and We all

and good I be our for customers think that good we our can our communities, and do associates.

years we Boy, think That's be environment So do we to the predict I rapidly. for X would will What is forward? aggregator. a advance. exactly as those in natural reasons, incredibly shrinking been changing down are be able used going what to we I

So see. and wait let's

Our Craig of Moffett the next MoffettNathanson. question comes from from line

asked your that's how And wireless, a -- about through lot to think in wireless I'll ARPU, past. adding the expertise. your think I broadband real come with the back as question of Tony you do Julie, prospect I've particularly

players a competitive not marketplace? increasingly Do really offering against that's you're converged that are set think who wireline Or you a you You're the still hurting is the competing facing? in part that bundle. of

we range That's specifically into we think us examined shareholders. taking a in quite see the the of we We that doing to think well, thoroughly at back a also what We I our financial on jump bit a bring that question about away products we're value when has things. to study at and like and of our it, a mobile customers in wants pretty least as embarking our at and needs basis, that. whole us right And a took impacts projects express Craig. didn't on launch specifically and some them mentality customers biannual our time well. past where And served can ultimately, product account good on to I market least. that look and

examples we going shareholder, more quick have And mean that demand did we to do into we're be looking home where even the articulate do have we for but studying it video -- are not didn't before with did What's intensely, not for I the mean jump at to done, it mobile. the them. our company, are Two peers X doesn't products. in not just we and do those we that. for security, to well, Tony, them. We not or the me what it customer able but on

something off is to possibly we to to product, I pull say, the explore, to continue very think or just easily to mobile but of products don't is going that open together that items would bundling that whether sorts, to to all our chair we're bring even I putting video. that wireless, value HSD are your And customers Craig, attached

open. we're So

are something for ACA wholesale rates directly to that Or that you or attractive you? mean, wholesale follow-up. think ask particularly whether point? just it a out the aren't it's enough that is available or you wireless quick this it rates I could to attractive through there I you at If -- make that make there offer it particularly rates, to to simply compelling compelling for Do

it as benefits It's in I well generating to holistic. cost it's there as what about whole operating of are do picture. think can related at capital it's revenue churn, what the terms and

Craig, the we have access.

As Julie said, that be evaluated other as it's could all lens through I well. cost of compelling. potentially say to the is that got the won't is of extremely the But there. assumptions access time, also But change. over

Our from Sam McHugh line from of next BNP Paribas. question the comes

like can now place nice get delivering first you stable getting question. growth you in to the First up at year where the to consensus ARPU QX, and but right one, I just same Do pretty a know implied feel net time kind growing the also staying on tick to for ARPU. next as additions. residential back has has relative ARPU? what's of subscriber stable you're That's in then big QX maybe

overlap And given just footprint some overlap. last then don't update any quarter. have how secondly, you've numbers if in know fiber on much there's us know your on now? fiber you I I

Julie. Okay. Sam, it's

yes, If several had things as So affected that we will stabilized we QX. through it. and it say, way we stay that ARPU believe

Our we high and roll articulated. sell-in AutoPayPlus off program, promotional as

quite lot honestly, a I've both time. beautiful one, same in about. thinking Your question down a a that Can the levers a that the walk good at move one was, And path. past, you been is certainly,

LTV shifting other. will at which peers, have them about talked strategy. note high that was growth now the or year-to-date, losses, ago a Recall, were if we in our about quarters you absent to I broadband, doing 'XX, we noticed one grown several what you from we all Recently, and we're ARPU. ACP stabilizing strategy look

is in a attacking -- midst specific be would fully excuse the competitors and a That which ARPU, that, pull we've expect we that in that would imperative. stabilized. or revenue. down, rerating problem and And that, in me, knew we broadband now be We have to growing markets our of some very

it's Todd. Sam,

reported of we very overlap, network, fiber XX% below last and the overall that On quarter consistent. the remains

Gregory Cowen. Our next TD the Williams of question from comes line from

one Is to I in your one peakish. the sort Charters are mentioned saw that fixed wireless? wireless, answer. Because Altice first in subtargets. of The And carriers alluded that fiber-to-the-home peers, fixed Julia, competition of their some seeing is of of fixed saying expansion the it's that increasing you stabilizing. they're Todd and think wireless, we And world last is, in said but

So I'm stabilizing both are then doing. just OpEx is the question for you technologies. curious, the investments that competition on second And is the

I to you that's think if last just case? time the expect we them I'm mid-XXXX mitigate and wondering still in talked,

and and and it's one, first overlap Well, the take pretty and internet, we've we now. phone, so fiber realm. competitive I'll whole specifically, are fiber the learning about bizarre. watching It's us the starting cell talked what seeing? Todd in been trialing feel to to normal

past the cumulative adjustments we've over quarters. that the some taken seeing effects we're think of I

back mean competitive that watching positive competition markets with of highest markets. of is we're levels seeing have less actually in positive the even some what outperforming growth And how actually how quickly to, the through markets pretty quarter, and been do they levels. of go normalize, -- that we have to that by into it's And I the we've done rerating growth pull And peak being they them their down see one quickly different fascinating. tactics normal

fast means level of in some through within we after X and penetration marketplace, months. to down levels back them segment getting dropping as the as X normal of get months. some going Some That then

we've the spike can along blunted feel long recent months. definitely being of Some with come new entrants that some we with like But XX as rerates. as our seen

We've also seen competitive disconnects go down XX% XXX. to XXX to

to which do. moves, we're rates, heartened we to increasing that's their see When we the We returns. make what But of are see them for need watching their dynamic. competitors to think many goes

And We're it. not just so follow We're we tracking suit. that. to endeavoring track

being end, better. has the made on focused In competition us the

this cell phone can I'd product newer Internet on competitor. We is ringing my in really our and of competitors, versus about though even some marketing put disturb. talk customers our we I me, thought tactics assist excuse pay-as-you-go phone when So development think or us it do not

was gigs terabyte using you and think months X reliable they're being an customers wireline it XX% largest or we years traffic had the released. recent think of have average quarter our our Call I most I when largest provider. XXX And really at of Duty out last in And a the and traffic data our XX and -- about related more, incidents that gaming to when a of spikes had usage mean X in in actually, that to of sports. speaks the

grow. And that's going to only

to points the our that So stability of network.

than churn, levels. lower And which at is so I look pre-pandemic our also

we So I existing is that do losses not that fish internet that those in to of same with do those. puzzle phone sorts have Clearly, and and all they of effect pay-as-you-go ACP are And of a our the on exception to we've are had. one customers the trying going think is solve, potentially that cell an tactics our and pond we Connect. have providers

churn. we're made for it's Greg, just the losses, at or Even comment on retention. lows We the and would the Todd. X-year customer quarter, I reiterate add quarter. this again with churn last it I'd ACP

our believe that, the the and increasing competitive wired the we long-term which we So cell and customer increasing, the strong when that's you is them. environment, a with relationships very think testimonial phone of about internet, have both satisfaction on

relative away extract you ACP, everything feature. churn if the that level to number blew Less that where AC is out

the You and investments about the timetable. asked OpEx

'XX that, frame. into and has consistently that time the mid-XXXX frame is of So been still just in late that what to address time

comes Our from Wells Cahall Steven next the Fargo. of question line from

term quarter all, trends revenue ARPU the consumption. the and that to of positive around first into maybe I that growth sell-in and on Is the stabilization ability focus data guess the you towards of on you horizon? the majority you and pricing driving price over your a long gig of think broadband some be something on cadence power back or increases the do could the on think base. about get saw that of How

benchmarked something to competitively to some I how Or think is you wonder And this other issues? yourselves. time going due take you've is

the of their X% this competitive your footprint maybe I'm yours think of what One ARPU wondering growth peers constructive. differential. ARPU that's to seems you different is X% stabilization about annually. then contributed to targets customer just than And some

you wondering sense the pricing. some slowed well. what on down front. of what's think said more I as rational Any build seen that that happening if you've I'm is

rate pricing, also elasticity So can absolutely the upper and you in end ARPU there's value there. room perks, price I "naked" adjustment, think added related that a just if is do there add at to but maybe

that if adjustment. I rate base, think there absolutely the you customer could segments segment a out that bear are

AutoPay did only our customers. the of but also portion a but only to AutoPayPlus program, We

for being to And they those be choose that some did a automatic. adjustment, because sign ACH up ended not paperless, cetera, and of and et people, rate up do to billing right, so for

them. So that for an effective was rate adjustment

We brands customers have had family not our of in Sparklight XXX,XXX have in that yet. about that

penetration, show up When adjustment we leading neutralize the ARPU to had doesn't a a LTV easy. that's mean, went again, after premium lower that rate ARPUs. And We with comes product, high as it it. it so differential, a I end high if can obviously -- one's to choose customer strategy. We the we had

longer and you're give into much what And so base harbor coming no going used whereas grow you're compete, an to and environment where a go cases, likely you up going you're to of lower when ARPU to from up. go course, to have in those some room term safe are we others in

by very very or So by different we we design are were different design.

customer the to only continue economics, to think that to serve, able perspective. the an cost very about contribution only of unit it that measure really we to relative that be to also I the penetrate it's accretive we really value the from we've And way to that segment, that over and had to cost but targeted closely would in evaluate And a customer want acquisition more retention in not monitor segment. time, recall, to been where year the really we install,

as some And our the base, past, over as elasticity also price for or well that correlation more time, I've be is to. which customer And mentioned an potential high to as very encouraging. was retention very, then in that is has organic very base Julie opportunity it alluding whether upgrades premium of

the But tried the past learned from lot things XX not things to and of tried be we X clear, them. and months, months, that in worked, a all we we

So...

on access We've talked competitive the to on asking front the about capital. cost about front, then were the stabilization. of the build build And the capital, you

M&A scale super for of obviously, to in going right some large of seeing regional capital them of what issue environment of large investment-grade to and be And think platforms. those an cost the is many you're I these now consolidation capital access with is less -- issuers.

on But small is for communities. needle to going large less our impact moving companies at the same be the time, focused those probably

move into opinion. or to larger going and upgrading be and markets Verizons in Temos BCE build it's the to the markets either larger the the to needle, building For our

that for questions time today. is All all the right. we And have

Julie team So I'd turn it over like back to for Cable the to closing and remarks. One

you, Thank Jeremy.

to my our want relentless gratitude throughout their billing recent conclude, efforts we associates to Before our I conversion. sincere for extend

and None unwavering has be we opportunities milestone you without all dedication to making of Your speaking next is it you, commitment. this been Thank this would for with company's and unlocking achievable around-the-clock your future. around-the-clock quarter. literally significant possible, look the forward again

That presentation. evening. does today's pleasant a conclude Have