Frontier Communications Parent (FYBR) 30 Apr 212021 Q1 Earnings call transcript

Good day and thank you for standing by, and welcome to the Frontier Communications' Investor Presentation. I would now like to hand the conference over to your speaker today, Mr. Sheldon Bruha. Please go ahead.

Good morning, everyone, and thank you for joining us on the Frontier Communications' First Quarter 2021 Earnings and Restructuring Merchants Investor Presentation. Chief of the company. Bruha, Sheldon Financial the Officer I'm

to Executive John Nick website. the Joining the this webcast like the followed is Relations available and found Incoming can outset, you Chairman; be presentation would and At me today Investor within CEO. Events Stratton, section and and our that and Jeffery, I on is inform Webcast President of

certain forward-looking During statements. be this call, we making will

these which could Forward-looking in uncertain this in risks presentation certain today's Page financial call hand I statements On review call, presentation. by non-GAAP the off Please measures and the materially presentation. refer regarding for be on matters and Executive Chairman lead nature such language of statements with measures. Reconciliations forward-looking non-GAAP measures Please expressed defines Board, measures. actual GAAP are that the John over cause we found different their address closest of statements. who the those will to to management how can of cautionary will measures the these certain the be X found presentation. to these results Stratton, involve associated from forward-looking Incoming shortcomings now discuss to will the

and you today. Okay. thanks all Thank for you, Sheldon, of joining us

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which end, with review. strategic our that of completed by we'll We his conjunction an currently next share team XXX fast. in this days. of how will work with outputs We and held a the ambition management team absolutely success an will builds critical shape to far be our market our next whole is are plan and the the in Board how in of new and of over in to the X that being to evaluated leadership questions, critical opportunity time accomplish The Investor that speed August. and Day Nick sphere process recognize driving factor the the is and be This

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for gigabit is building future desirable, a Frontier America. believe in us fiber-centric our and win. Frontier's dynamic economically market to to Our make unique well be we is leader positioned operationally deliverable, purpose

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Slide to on Moving XX.

fiber the our superiority continue share industry and faster believe speeds, several lower alternatives rising to our large to we number applications dynamics like upload our industry a home capitalize data, will the but cloud, upload faster technology perfect operators not expected the at the means video double-digit will to continuing because only meet demand faster latency inside to cable. than its for years speed over the cable at to XX.Xx home business. mobile in demand XX% faster speeds and As We to opportunity attractive it files provide due XX% download pace. for we high-speed the on devices support we rates are its superiority seen the and this fiber is like also fiber favorable to conferencing, for and come. Today for devices need of demand today the Not look video we've ourselves to application, data is levels to years. low-latency next XX, network Slide like maintain present tailwinds to rising This to gaming. to are to perfect believe has over-the-top consume downloads best growth these product believe together grow fiber for profitably fiber are the on to increase business. On only assets, dynamics The connected continuing get data but customers

will to clear fiber a forward, outpace XX-gigabit path download symmetrical Looking upload services. to alternatives, continue featuring and speeds and

more market primed XX% fiber. that In laying believe contrast, XXX shareholders. fiber Our passed With their are to now which today should of U.S. rollout the will assets Europe's U.S. many than to last only U.S. inside the this create passing States the the in U.S. and can million significant on next by XX execute value the homes. is fiber fiber-to-the-home cost have the XX longevity. today, countries XX% There companies deployment is are be The homes growth. We fiber are in Slide about broadband less approximately will digital fiber uniquely than illustrates we United explosive currently with backdrop, up the maintain the over alternatives. And for will advanced years important for decade. for most truly infrastructure of

clear those the reflected the to valuations that as overbuilders that on in acknowledged Moving robust attracted. opportunity slide, the had this market already it's next have the

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these least positioned covered, in footprint, passings as with of are footprint we Within total higher copper over a penetration demand demographics should usage. a our could markets to exhibit X.X fiber incumbent in continue or these average The had this coming are double broadband million these improve footprint or with and one has at no as one are also the our younger growing home bandwidth potential of fiber as household that have and, higher from market competitively. competitors. favorable income correlating over We well buildout population, majority XX% footprint than in XX% markets significant. John suggesting Similarly, Today significantly the our partly fiber has consumer no be the years. for today accelerate. to plans Penetration of wireline competitors

points cover want in shown on is our to advantage most One I Slide of the fiber as important XX. deploying

As procurement including and of network an our network incumbent, Frontier fiber course of advantages existing has rights-of-way, scale. in fiber and modern building infrastructure, conduit economies several

We are planning more deployments, build network more processes. yield and able lower effective cost, efficient to use these to advantage penetration faster

terrific easily a new rapidly, cannot players We have thousands of of this to which employees fiber work entrants smaller or build replicate. force

build to Taken together, advantage at the network to competitive players. resources clear that scale, it's a Frontier established has and other

Turning seeing today. out X business net We've seen our of XX, the evidence already quarters consecutive to advantages fiber positive playing adds. in Page we're of consumer

the of We is are and penetration we significant construction shareholders. believe accelerating value plus with clear path new towards penetration into will which increasing fiber our our a again for creation translate XX%

On focus in the see XXXX share third been right, we churn experience our to X.X% the begun customer from decreased today. can residential the has with has X.X% quarter fiber on to result of

operational expect efficiencies implemented. to We improve are improvements to and further as continue churn

Moving Slide. to the next

are penetration, We course on our been the The performance place and and accelerate has for and We're ARPU, accelerating exceeding churn right-sizing of calls fiber. going of quarters evident over in of focused to in already we prior the positive maintaining every the business several initiatives momentum XXXX. intent on the have fiber.

then for are reflecting hold equally remain growing to onto our on and the network video adds, aggressively will habit, cost, are build both and new subscribers being to move over-the-top also in fiber, focused expenses. as gross in changing television. as but due reduce all ground to we We made, we welcome Investments on opportunities looking

pricing opportunity. This key resetting in share revenue overall said, offset XXXX, Looking result for while customers trends have and relationships and more in contracts improve we've creation per positive. in improve be we does were higher will NPV revenues with secular And decline market. the reviewed That to our exchange partners by of in this a continuing revenue our carrier will gains volume for significantly, A already land always value win net a Most change on. it Frontier. the sustainable forward, copper taken of current have future proactive business. we business competitiveness steps

our that will early We further ultimately penetration investment fiber are our our be gross adds conversion of tenure gains target driving and a copper commensurate objectives XXXX it future at a the outlook in both the have or Secular a in can by it's new are business, response. we decline have and in our guidance relatively in opportunities business. aggressively me And Frontier, for elements fiber all to with stakeholder decline the targeting whether in we on headwinds data and business customer my and XXXX provider. Whilst decline. we're and a investment as generate in rise [indiscernible]. the we course globe adoption team set realities alignment clear to set ignored to not Notably, deliver further, products in data driven that substantial is the our revenue as on modern focus to the full and being drives value. This providing expect voice EBITDA the in of leverage long-term return and

fiber is We track topline EBITDA XXX,XXX compelling established the you'll to this already Investor expenses, our level XXXX builds This baseline. fiber mostly expansion year-over-year, and by new adjusted this note our has mostly the the headlined review by here we a of as record We have managing John driven target initiatives. over business to growth. fiber capital provide of build year during updates our locations is plan an mentioned, August operating is our business. The strategic our full increased so expenditures undertaking of part Day. are of is And these so most to

to Frontier's in is America. purpose a earlier, be mentioned I gigabit leader building As

We lower speeds areas, network more accessible. upgrade will Internet connect more rural quality our make

our on more and will August Day much Frontier. back this share with of looking Investor vision about at coming points you in the very I'm further have and We to to forward to plans our on details

a on you. over by over ahead. into the it's excited to I'll to detail to be Sheldon, I do, have to forward, we but not Sheldon hand clear now opportunity could more lot financial Looking our more go performance.

you, Nick. Thank

and areas, the progress the to the additions a net to lot outlined Nick do potential line quarter in but Our fiber in several still key seventh service. realize positive of John first business results and broadband a our quarter transform with our results consecutive included expectations that work of with were to

During the the on began XX,XXX had fiber existing our to of network we broadband upgraded quarter customers footprint, last fiber year. addition adding growing in customers consumer deploying we net penetration

significant churn prior Our with in versus was strong churn. periods. Consumer-customer churn a copper net debt X.XX% improvements improvement both improvement is aided fiber in and by broadband

Our of churn had to initiatives profile longer lifetime acquisitions value. of by initiatives our to X-X aided offerings including rates of our sell performance was improve megabits customer low-speed several of the no customer recent copper challenging historically and high broadband, churn but

turning and reviewing another a we be month markets again the capital Before further in highlight, as improve April for of in the to in to expense I'll capital moment. access financial company margins, advance further performance, had our active a the we liquidity which structure interest on

West exactly a Turning operations, financial for were the year the exclude contribution which North year few on the to from been sold periods comments I'll slide to adjusted quarter. make XX, X performance the prior have The ago.

revenue basis. $X.XXX a apples-to-apples all billion, a year comparisons an So on here from Total decline ago. was X%

revenue at performance product, and data declined year. modestly services prior total revenue Looking against Internet by

that of this category, million business. and over X% grew focus upside So the within revenues fiber our $XX by operational reflecting or potential broadband

we $XX management, doing quarter and reflecting implemented materially reflecting price channels. content expenses prior existing broadband cost new year, As I versus both on is and both have improvements as which declined million including recent renegotiated this churn for reduction copper improved customers. Operating churn cost content products growth premium we initiatives continued fiber in mentioned, increases broadband performance and

Our year versus X EBITDA to margin improved adjusted XX.X% ago. XX%

the and We our our network as incurred resulting term remainder impact on business. repositioning wholesale expect strategic activity ramp of XXXX operating near of to the as in fiber decline pricing up increased margin during gross our expenses we add in we

ramp in capital fiber than demonstrates the built Moving This total spending XXX,XXX more is the in we pace deliver our of approximately XXX,XXX new in XXXX locations. onto earlier. we to to fiber all program as of new on number fiber the This Nick first locations, our upgrade the built of XXXX. XX, activities locations mentioned Slide that quarter we

of intend results be the we'll of are this we of more be to penetration both provide later our important we in early on Day, and Investor the during cost the to We continue pleased planning the with transformation build footprint and seeing aspect this our summer. the details

on that XX, part to just Chapter done XX Slide transactions amount extremely capital our as capital we we've were a the markets to but This not work the opportunistic was also cases, approved reorganization as confined of structure. in our considerable Turning of work were well.

per refinanced cases, we that During the parent result only time within plus in our interest over all savings issued some finance second of In extended X just months, $X debt million significant debt of billion does secured this a by company. it last but time we year, this $XX also period. Not expense our maturities.

we sales of and of focus to putting are the couple being ensure unencumbered finalized as as plans expansion there want fiber at as of emergence. our As last funded of that debt maturities you until we've any are a that our we see here note on to also possible worked remain Slide, structure piece capital the XXXX. I build

Loan Term add-on earlier raised of we close today this additional part billion $XXX that to an That repricing via us providing an will add-on month, our As additional facility. liquidity.

improvement of million secondly debt issued $XXX will the November. notes take kickback over today. the in Secondly, significant will coupon of rate coupon debt a X.XXX%, second X.XX% lien pursues carrier we be the be The the that on issued interest back

have liquidity $XXX approximately our flexibility only of we includes emerging of with and to to cash the add-on, turn my levels expansion also on million approximately are the execute industry-low leverage which million liquidity, expect post-emergence million at we financial us $XXX our a on Slide, are capital in structure last provides billion not With done strong X.Xx. plans. largely emergence. net from on the to emerging we've on work revolving But in the unutilized $XXX Moving credit $X.X facility

we're it So back well in for over that, become the the closing positioned John I'll future. With frontier comments. to financially to turn

Okay.

an rebuild to in host today we tailwinds great summary, to Frontier business, this and opportunity experience. much such with a fiber-rich a homes further. all assets industry provides opportunity enjoy later strong million commitment fundamentals in this So us infrastructure plus foundation to grow our passed comes as of and already of improve a telecommunications customer grow to critical X of with business emerges seek We further. Perhaps strong advantages the most solid the including as place, importantly, the

value have the opportunity restructured customers rebuild ambitions and pursue well that's We to as it provides ability service optimism. with great balance our at the to our great large. And both our industry finally, flexibility we as customer, starts the to our with that deliver the provide, sheet an brand the us recognized by

So that the remarks. questions. call concludes now for We'll your Operator? prepared our open

is [Operator Instructions] Williams Our Cowen. from first question from Greg

today. the the quick appreciate capital you space. the could the just I one, amount getting as you time on presentation, If funds I X and lot and XX, are to the together And up a to possible John, are and of mentioning markets entering mentioned speed points far essence, is put Great. as of that on slide I then infrastructure think on data build-out. the color how fast PE

second the copper AT&T conversation to due as delays you out any the build? sell about a said consolidate delays, as So essence its seeing to you resin and shortages, in delays, constraints is, are fiber call that to possible. some Would fast your equipment and there the in network mentioned and an assets possible be accelerate some we're build you conduits of capacitors to the for the skittish little And chip these timing of constraints? workforce willing yesterday resource is want hearing and rollout bit about question even the are

them and questions for Thanks, reverse your hit order. in Yes. I'll Craig,

First was the and in had to build stepping off go pace on year to would commentary continue evidenced is this the chain, we've in with we'll that allow Nick our that as supply us even velocity been it XXXX. to expectation exit further substantially that through the ramp

our of Veronica's a build. then crimp a build we've our the around yet, an able would us issues So our the on smoother as and of but supply both Obviously, from is partners. indication makes those elements, got with level they perspective material benefit and partners, labor size and of with pace eye the of to visibility commitments, chain after our be to no what provide to of plan much both that all of this, keep our expectation which should here leadership, longer-term to of

to question Regarding build, about are that assets our at the for I'd selling we'll get the looks with that of you what review review. resourcing our think that it push possibility means strategic and And which to the the build go size now speed us done. August like then like, of as Nick is a best Greg leading the both forward. to

effect to may question recognizing positive to terms that but to a see spoke builders ability markets that cost August that market. push for we on of advantages we'll competitive quickly may be as have So our in Nick less the fact and to move leverage that over time very we that about the them pointing to the

JPMorgan. question is Your Cusick from from Phil next

have build of you review additional looking preview if strategic the you're if you the a of million lines, what I least? criteria you're cash, us the give and on $X lines can. Nick, how you quickly X working are could can guess the that I at

Yes, prioritizing experience take Veronica and of about through perhaps pass been to X on heard value at fiber build Why Veronica's constraints at being she year. have on tenure in to to we find on Veronica very the ask we right through. fortunate came think and in company into lead next Phil. team the about maximize what up just hire and done how course the her rate million of We've I'd to the focused shelving, homes we're physical we work of the indeed quickly, capital you quickly Bloodworth networks one take AT&T throughout build to per don't from optimal was is presentation, how what that's build. organization able the also short and building brings rate thanks, our and operational where made could a how shareholder of us you how are I in this though, at ramping already substantial can least I've practicalities of the the year double

later those. we talk of the will flight, a prioritize in you how to do you work material the that's assuming acceleration. in about going we're details in can safe that year. to already to back just So But exact come see that's Sheldon, be we want

historically been would those high Connecticut clearly, ones, Florida, priority focusing of builds of IRR locations states are and sort is within about on we're on this the CTFC other part in Sure, potential after as trying of and scales some that footprints. where the prioritization sort as the builds from the standpoint, constraints, much of plus of mean our on possible markets we've some focused California, talking those we of the sort the markets build going in identify I highest that these prioritization even early sort really of to we within kind certainly within first fall of to as to Texas, in with

fiber are we states, sort within further the building. of within will,-- we're the we So the within sort densification Thanks. concentrating territories, of

Jonathan from Chaplin from is Research. question next Your New Street

Nick for question actually. A

investors I at the sort in strike year, compelling. that you is laid turning vision for started of you the you those course engineered can so out and there taking And Frontier the the challenges after the of track add it old the how U.K. match It's challenge, you, ahead next with and is biggest on where if that much execution. you of that touch the outline doesn't you've the in being business sort going aren't your here. wondering see will Frontier. familiar in the to imagine, it who task of turnaround the new into of I think Frontier record Vodafone. The as I'm very opportunity big over

the focus Jonathan. keep to Great I'll and just recap Yes, but on you. quickly. Frontier, Thank question, try

in last U.K. offering Vodafone's X-X For It a market but size and and infrastructure turnaround of wireless the with highly competitive more the market much I years, in both much, the head negative, huge share service was brand The market was was the and that a competitors retail years, single company in every services revenues been same as XX company has U.S. a employee. with complicated revenue X market problems wireline IT space declining of the led much the for significantly engagement. problems, in were extremely about product declining, and smaller Frontier in terms a at detracted, NPS was competitors and That neglected huge low many than customer least segment, a

all thing we both right services through And competition employee intensity for of set was and in process, in as digital Vodafone in when that on in John know inch-by-inch, lots of Vodafone final in to to in customer and from questions. convinced that operational so day course, able hope making turning absolutely days rights there, see actually highest the because a bell consecutive offer. basics, in to taking and hey, in same and straight sure throughout and John the me years have recipe competitive I absolute completely is put systems with less service, really of is obsession portfolio. Jon, second the I model-by-model, the X that know the a am much is to metric an reduce similar with I produce all to accelerating and a it what segments. delivered every I'm and It me, seen I've of for ways later that every market. but product all then really same bigger in in to best and build first the NPS to winning way share on. build get small top your improving albeit the the the many Group every exactly customer on trends application the my here and simpler operational anticipate market, significant history answered our rang them thing the on it, automate over it's you is making much did exactly To focus of but around is then really of to together improvements is much that beating be XX-year with that loved indeed you our really quarters, that growing and competitor It company's the I makes, X you customer as IT Frontier and which and be XX a every engagement to. to competitor company reliability every you increase move, better sure very excellence them about I really Frontier, on spoke segments first the Frontier said market what

outstanding. was That

Your from next from question Nick Del MoffettNathanson. is Deo

presentation up I your service, in I guess, how and should the XX% tied the fiber we times happen for emergence on listing. to to to needs that, brand, into back your appreciate penetration getting congrats of what et framework. in P kind and the terms in cetera XX% get penetration marketing think of you to about Q

are are that price think do How Some opposite. more some you the about volume, balance? operators aggressive drive to on

more on ARPU the Yes. Nick new offering. your for and to importance, proper particularly And that share. about centric balance of restore pace the one. gains building we just penetration I'll transition the as how Jeffery, take for of the that Nick Nick, thanks ask broadband maybe about But question, on a Yes, value, we and you the a piece question. maybe broader We've lot example, thoughts market to a talked

thing first with Thanks, is to already just files on think we points network John. of look is Thanks, to the Nick. share market a I close if begin at came which couple across it if But penetration. first when the was that at data XX% of the

a XX% penetration. close Operations number of at to have our are today State already we Secondly,

going is and question in why not fact. what to is do in up share as to sense, should we do, there back this So got do a again. The been it is is growing proven possible, already get

we as what much fiber in we build think put fiber. provides. businesses to well. and way really offer question market how and buy compelling to the that's services sell is very homes thinking does And them and much that about Frontier a brands. their need People They first we to start and thing I way buy the have key don't customer on think I the more for

in have that Customer could accelerant the then break that flight we pay and probably all probably why X we has we're about started on we already to gigabit services people already work in that our we to people deliver, to brand pre-thought than together already be up and as customers fiber buy. for but Dynamics already rather not, our have are more those got to extra trading faster to do data Needs, and that we Market the more we and use people a also things will is that's that are need work seeing we to as seeing think lives, As being services put optimize willing beginning accurately willing not

started already to those using optimize I in to begin digital then up So think speed it's value-added do a so of it's really to household marketing level services, and the want much well, put want mesh sophisticated see Wi-Fi just SIC, security, price things they household ladder, moving we that on. techniques Wi-Fi and also place moving a in people but mix down up we'll do And begin then more not to as want individual as we've ladder management. active as to, do they

ARPU of Firstly, well. penetration of hopefully as up and up

next from Your Goldman is Brett question Sachs. Feldman from

I'm what on follow through reorganization process. were actually the going up you on to just discussing. Congratulations getting

In terms services. of additional

Bundling a very broadband well. You I proposition, and very done in to and did Charter which make very not have mention think makes that sticky. mobile and customers the they compelling continue mobile Comcast offer in value a particular

you curious, relatively could to I'm fiber budget reallocate that is the cost whether it see, the more you are if of be budget. data accelerated and you what's curious seems wrapping capital actually the CapEx the separate fiber, and I projects, if gave the you a fiber up I'm that you allow So you at a point year point gave the look there in you the therefore question, need component of when fitting in partner small mobile any like a guidance And think some comprising fund capital expansion around the and potentially you're rest. legacy mobile seeking of then the may rollout?

the running never of on not we initial take question what topic I we rapidly build never our mobile to between make want in Sheldon, to Yes. the you that years that the as That markets could those But informative pretty the question Thanks, your only Charter I to offerings. about pump an sales for talk there of of bidding like, Sheldon, and XX opportunity think an question you fiber on I idea we capital eye it about about of have Look, first that we like now and to and term, exceptional. build, said, mobile the and them. company, ahead us this just focus us of and up base keep it's right say right the the it's with fiber, building interesting businesses. start said, distract capabilities been and the I'm to would business curious a a to Brad I regarding Comcast to it's have obviously penetrate which opportunity been an is going But be careful think expanding as has primary we're has not but we marketing moment. as capital? experience progress a going ton mobile, but near the our in

our the per acquire expenditures we're to increase of and to rest not are Sure. capital the the Thanks, what have doing related but customers fiber capital customers, business. our customers mix just of sort the across to of be real Within new additions our program. fiber gross we're cost around mean going the year-over-year investments Brett. is you expansion the I driver the on doing of

in initiatives. to will And investing program to this of are related maybe one, Our know to which various we ends people the other your subsidy the CapEx get sort still XXXX. think as CAF network on here I investment point, program

XXXX We no have in beyond XXXX that XXXX are doing some here we remaining longer will continue period. -- I'm that builds in sorry,

some dedicated will of a a as the little some and longer available as of through that this investment looking leadership as There more the emergence coming around new technology of of sort there at stepped well spend will is we're spend of our So portfolio bit well. other a bit be the year year they be of maintenance of that in essentially no opportunities. has some that sizable for is terms platforms the portion as little CAF, well other to this up the introduction CapEx as

Morgan question Next is from from Stanley. Simon Flannery

done think results. a year? Can insight do ramp bit you've passings, had into XX,XXX some last you You've you when initial of good give us little rate of penetration the I

and trajectory significant of starting where does and the see you're think to what's inflect the when the kind revenue start kind how year to trend you of in year-over-year it declines. seeing from there higher we'll improvement it ramp that do So first

I to Simon, want earlier, you, part before you. to the your in one to is going do, forward think that move I critical of prepared and just here. we're remarks something it moment, Simon mentioned of more pass to need question of I and restate is Nick Thank I'm I Yes. But question that in a the really the demonstrate as we important going drivers success to

the a put run I from that network to a want going X.X fiber of around million from earlier end, the which our in are referenced already reporting. to that and standpoint effectively we the is that so those with And to that a place, business, disclosures subs wall the standpoint transparency base of we're

we've change cetera. you also of ARPU, raising marketplace cost broadly inform drivers percent efficiency, how in the margins, its all be take sort and et current expanding as the beyond XX success able other So and of and to gains we to had about penetration

or consider that notion for we to the then you the With build. then of fiber the that is to point input models, your reference a baseline new you a and value go as

I'll drive able to by new still pretty again how in more, As do cohort communicating I the for early on this your be we're and also a ask, Simon, of terms basis, you it's build to Nick expect to fiber, on comment build. penetration the cohort we the our of our should marketplace, And us rates, to but us think point, pace it relates important very communicate the the to pace to of new go obviously be you, inside then the look sides months, forward mix as of but the business months success the with we the XX and gearing further XX inside up conversations engine on our cetera early only by company. the at focus we the and be on measure stage our for our operational This et which initiatives both reporting well. months, Nick, thoughts purpose as will not means external and penetration his that of XX in

base Yes, I this a time. potential John. we as our Thanks. results. we in over and Great XX% XX% over course, penetration quarterly over XX% penetration say to the already estimate question. new then to the It's just the have points mature plus move to reminder, mean just we In XX% a cycle of that about key really plus on and future X-year for and ramp areas, will beyond already

so build new changing different is agents, at for clear the cost As very well. cohort debt you the of clearly the us John we analysis, can said, mature show it's and the as on base course, to how that developing is and of between penetration how with also be

see you'll So basis. quarterly in that upcoming our

this the you you cap. business I revenue color corporate kind on the know got any trajectory I Could the have to on trajectory when improves. really effect you revenue starts of get become the crossover

Yes.

deals. wholesale re-pricings We the these on work through some of

Yes, There's the really here. referenced. just I is factors should business think you of you trajectories the couple expect what begin a 'XX to I that as mean yes. after of improve Thanks.

contribution waiting versus a have fiber. We between its copper,

and So new There CAFX the those right build point a is effect. when the crossover markets? is as we do also penetrate

bit should further it just lever work behind of to up expectations. effect calibrating right Nick the EBITDA the the we So comes last see that is and and doing then falls will is This build. build we we'll back then and have the expectation next that you'll begin year we in revenue to first be that or our then that, now, that the of be new subsidies of whole as trajectory subject and off clear is you evaluation

million last, updated and pace our whatever, the It unit talked trajectories EBITDA to plan the to and will X in that reflect build X and be into we're of increase result going we as X, revenue build we've historically is So also significantly that the a so to expectation new that that months. go.

into as August. that more level pretty of together ahead, detailed work to the we on that's down already and that month we're information in get the release So back expect a in

So hopefully helpful, that's Simon.

very Yes, helpful. it’s

today's concludes you for This conference participating. Thank call.

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