Cable One Q3 revenue slightly misses estimates

Reuters11-07
Cable One Q3 revenue slightly misses estimates

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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