Overview
Cable One Q3 revenue declines 4.5% yr/yr, slightly missing analyst expectations
Net income for Q3 rises 95.7% yr/yr, driven by gains on equity sales
Adjusted EBITDA slightly beats estimates despite a 5.5% yr/yr decline
Outlook
Company did not provide specific guidance for future quarters or full year in its press release
Result Drivers
RESIDENTIAL VIDEO DECLINE - Co attributes $8.7 mln revenue decrease to decline in residential video subscribers, partially offset by rate adjustment
RESIDENTIAL DATA CHURN - Higher than expected churn in residential data customers, despite modest growth in connects, per CEO Julie Laulis
EQUITY SALES GAINS - $67.4 mln gains on sales of equity investments primarily drove net income increase
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Slight Miss* | $376.01 mln | $379.11 mln (6 Analysts) |
Q3 Net Income | $86.53 mln | ||
Q3 Adjusted EBITDA | Slight Beat* | $201.86 mln | $201.48 mln (6 Analysts) |
Q3 Operating Income | $94.73 mln | ||
Q3 Pretax Profit | $134.52 mln |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the integrated telecommunications services peer group is "buy."
Wall Street's median 12-month price target for Cable One Inc is $345.00, about 58.4% above its November 5 closing price of $143.42
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 5 three months ago
Press Release: ID:nBw8q2tDba
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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