Skip to main content

ATN Reports Third Quarter 2022 Results and Reiterates Financial Outlook

Third Quarter 2022 Results

  • Revenues increased by 9% year over year to $182.2 million from $166.8 million a year ago.
  • Net loss was $2.8 million versus $2.6 million a year ago.
  • EBITDA1 increased to $38.0 million from $31.4 million a year ago.
  • Adjusted EBITDA2 increased to $41.9 million from $36.8 million a year ago.
  • Capital expenditures were $38.9 million.
  • Total cash, cash equivalents and restricted cash was $77.8 million as of September 30, 2022.
  • Total connectivity grant funding jointly awarded since July 2022 was approximately $144 million.

BEVERLY, Mass., Oct. 26, 2022 (GLOBE NEWSWIRE) -- ATN International, Inc. (“ATN” or the “Company”) (Nasdaq: ATNI), a leading provider of digital infrastructure and communications services, today reported results for the three and nine months ended September 30, 2022.

“We executed well on our strategic growth priorities and achieved a solid financial performance in the third quarter,” said Michael Prior, Chief Executive Officer of ATN. “Consistent with our ‘First-to-Fiber’ and ‘Glass and Steel’ strategies, we remained focused on being first to build and own modern, core digital infrastructure in the markets we serve. As a result, we continued to make steady progress across our key operational metrics, including the numbers of customers connected to and premises passed by our high-speed networks, which were up 13% and 15%, respectively, since the beginning of the year. Additionally, in the quarter we grew our international mobility subscriber base and mobility revenues by 9% and 11%, respectively, year over year.  These efforts continue to demonstrate our leadership across our operating areas and lay the foundation for our ongoing expansion in growing markets. 

“With steady demand for our enterprise and wholesale solutions, Alaska Communications has continued to perform well and add to our topline and adjusted EBITDA2 while furthering our overall network expansion. In addition to the benefit of a full current quarter of Alaska results, both revenue and Adjusted EBITDA2 also demonstrated strong organic growth year over year. In recent months, we collaborated with two native Alaskan corporations to secure federal grants totaling approximately $103 million to connect 25 communities in Alaska’s rural Yukon Delta region, one of the most underserved regions in the U.S. We also received a series of federal grants for roughly $41 million to bring fiber, broadband, and fixed wireless services to communities in the rural Southwest U.S., inclusive of the $10 million grant we highlighted last quarter. These grants will enable us to expand the number of homes, schools, health care facilities, and business premises covered by our fiber networks.

“With more than 30 years of experience specializing in bringing connectivity to rural, remote, and other traditionally underserved market segments, we are well-positioned to provide advanced data services to these communities for positive socioeconomic benefits and lasting business success. Looking ahead, while we recognize the current macroeconomic headwinds, we also remain confident in the critical need for our essential connectivity services, the durability of our operations, and the flexibility of our financial strategy. We plan to continue executing our growth strategies going forward while also managing our investments and operations prudently to ensure long-term success.”

Third Quarter 2022 Financial Results

Third quarter 2022 consolidated revenues were $182.2 million, up 9% compared with $166.8 million in the same period a year ago. The Company reported operating income of $1.4 million and Adjusted EBITDA2 of $41.9 million, improving from an operating loss of $1.0 million and Adjusted EBITDA2 of $36.8 million in the same period a year ago. These increases were due to the improved operating performance of Alaska Communications as well as the inclusion of a full quarter, or thirteen weeks, of Alaska Communications’ results versus the addition of ten weeks of Alaska Communications results in the same period a year ago3. Net loss attributable to ATN stockholders for the third quarter was $2.8 million, or $0.25 loss per share, compared with net loss attributable to ATN stockholders of $2.6 million, or $0.22 loss per share, in the same period a year ago. 

Third Quarter 2022 Operating Segment Results

The Company recorded financial results during the third quarter of 2022 in three categories: (i) International Telecom; (ii) US Telecom; and (iii) All Other. For the purposes of the below presentation, the Company’s Renewable Energy segment has been combined with the Company’s Corporate and Other segment as “All Other.”

Operating Results (in Thousands)

           
For Three Months Ended September 30, 2022 and 2021 
           
  2022 2021 2022  2021  2022  2021  2022 2021   
 InternationalInternationalUSUS  TotalTotal  
 TelecomTelecomTelecomTelecomAll Other*All Other*ATNATN  
Revenue$90,007$85,306$92,206 $81,454 $- $- $182,213$166,760   
Operating Income (Loss)$13,360$13,213$716 $(9,830)$(12,637)$(4,365)$1,439$(982)  
EBITDA1$27,866$26,939$21,913 $7,559 $(11,791)$(3,125)$37,988$31,373   
Adjusted EBITDA2$27,863$26,872$21,912 $16,404 $(7,888)$(6,463)$41,887$36,813   
Capital Expenditures**$19,400$10,642$19,252 $17,364 $209 $983 $38,861$28,989   
           
           
           
For Nine Months Ended September 30, 2022 and 2021 
           
  2022 2021 2022  2021  2022  2021  2022 2021   
 InternationalInternationalUSUS  TotalTotal  
 TelecomTelecomTelecomTelecomAll Other*All Other*ATNATN  
Revenue$265,197$255,342$268,533 $159,375 $- $418 $533,730$415,135   
Operating Income (Loss)$36,889$40,999$(4,199)$(10,920)$(29,418)$(24,808)$3,272$5,271   
EBITDA1$81,190$82,341$58,899 $16,740 $(26,652)$(20,793)$113,437$78,288   
Adjusted EBITDA2$82,219$82,276$62,140 $23,820 $(22,665)$(19,380)$121,694$86,716   
Capital Expenditures**$53,270$32,485$60,055 $36,157 $633 $2,280 $113,958$70,922   
           

*For this table presentation, the Renewable Energy segment results and Corporate and Other segment results were combined. See table 4 for the separate presentation of the financial performance of these segments.

**Includes reimbursable capital expenditures of $0.1 million and $4.0 million for the three and nine months ended September 30, 2022, respectively, and $2.2 million and $8.7 million for the three and nine months ended September 30, 2021, respectively.

International Telecom

International Telecom revenues4 were $90.0 million for the quarter, up 6% year over year. This increase was the result of mobile and broadband subscriber growth in the segment. The growth in fixed revenues was partially offset by a scheduled step down in federal high-cost support subsidies for the U.S. Virgin Islands. Operating expenses for the quarter increased incrementally year over year as the Company invested in growing its market share in mobile as well as expanding and enhancing its networks and sales and marketing capabilities. Operating income was $13.4 million and Adjusted EBITDA2 was $27.9 million in the quarter, compared with operating income of $13.2 million and Adjusted EBITDA2 of $26.9 million in the prior year period. The year over year increases in operating income and Adjusted EBITDA2 were mainly due to the same factors that drove higher segment revenue, partially offset by higher operating expenditures in the third quarter.

US Telecom

US Telecom revenues5 were $92.2 million in the quarter, up 13% year over year. Business and carrier services revenues accounted for approximately 70% of the segment’s services revenues in the third quarter of 2022. The increase in segment revenues was mainly due to the improved revenue performance of Alaska Communications as well as the addition of three weeks of Alaska Communications results in the third quarter of 2022, versus a partial quarter of Alaska Communications results in the same period a year ago3. The year over year increase in segment revenues was partially offset by reduced legacy wholesale wireless revenues and lower FirstNet construction revenues due to the timing of completed sites. Operating income was $0.7 million in the quarter improving from an operating loss of $9.8 million in the same period a year ago. The year over year improvement in operating income was mainly due to a reduction in transaction fees which offset an increase in depreciation in the current quarter. Adjusted EBITDA2 was $21.9 million in the quarter, increasing by 34% from $16.4 million in the same period a year ago, mainly due to the same factors which led to higher revenues in the third quarter of 2022.   

By the end of the third quarter of 2022, the Company had completed and activated approximately 70% of the total sites related to the network build portion of its long-term FirstNet Agreement. The Company now expects to complete an additional 5% of the total build by the end of 2022 and the remainder of the sites in 2023. Revenues from the build will be largely offset by construction costs incurred in the same period. 

Balance Sheet and Cash Flow Highlights

As of September 30, 2022, the Company had total cash, cash equivalents and restricted cash of $77.8 million and total debt of $355.7 million, compared with $80.7 million of cash, cash equivalents and restricted cash and $331.8 million of total debt as of December 31, 2021.

Net cash provided by operating activities was $79.0 million for the nine months ended September 30, 2022, compared with $47.7 million for the nine months ended September 30, 2021. The year over year increase in operating cash flow was due to an increase of $35.1 million in EBITDA for the first nine months of 2022, which more than offset the net cash used from changes in working capital. For the nine months ended September 30, 2022, the Company used net cash of $81.8 million for investing and financing activities, compared to $50.3 million for the nine months ended September 30, 2021. The increase was principally due to capital expenditures, which were $114.0 million in the current year. For the nine months ended September 30, 2022, additional uses of cash were from $4.6 million of purchases of minority equity interests in the Company’s subsidiaries, and an aggregate of $9.0 million in dividends to Company stockholders and repurchases of the Company’s common stock. These uses of cash were partially offset by net borrowings of $23.7 million under revolving credit agreements and $15.7 million in proceeds received from the sale of investments.   

Quarterly Dividends and Stock Buybacks

On September 15, 2022, ATN announced that its Board of Directors had declared a quarterly dividend of $0.17 per share, payable on October 7, 2022, on all common shares outstanding to stockholders of record as of September 30, 2022. For the nine months ended September 30, 2022, the Company utilized cash on hand to repurchase $0.9 million of its common stock.

2022 Guidance and Outlook

The Company is reiterating its outlook for its 2022 financial performance and its targets to be achieved in the three-year period ending in 2024, originally provided on February 23, 2022, within its fourth quarter and full year 2021 earnings release. The Company’s full year 2022 capital investment plan is $150 to $160 million (net of reimbursed amounts), primarily in network expansion and upgrades, which are expected to drive subscriber and revenue growth in the following periods. The Company continues to expect its Adjusted EBITDA to be in the range of $165 to $170 million for the full year6.

Strategic Progress Highlights

The Company believes that its Glass and Steel™ and “First-to-Fiber” market strategies are important for its long-term success and sees a rapidly growing need for more bandwidth and reliable connectivity. Deploying capital for growth in fiber and fiber-fed high-speed data solutions to more homes, businesses, schools, health care facilities, cell sites, and communities, has led to increases in the Company’s fiber footprint and broadband subscriber levels.

From January 1, 2020, to September 30, 2022, the Company has:

  • Added 350,000 premises passed by broadband, with 56,000 of the total group passed by higher-speed solutions7.
  • Added approximately 65,900 broadband subscribers.
  • Increased terrestrial fiber facilities by adding over 6,730 route miles.
  • Expanded mobile data capacity in all markets and added approximately 70,000 mobile subscribers.

Conference Call Information

ATN will host a conference call on Thursday, October 27, 2022, at 10:00 a.m. Eastern Time (ET) to discuss its third quarter results and business outlook. The call will be hosted by Michael Prior, Chairman and Chief Executive Officer, and Justin Benincasa, Chief Financial Officer. Key details regarding the call are as follows:

Call Date: Thursday, October 27, 2022
Call Time: 10:00 a.m. ET
Webcast Link: https://edge.media-server.com/mmc/p/g5pr763r
Audio Conference: https://register.vevent.com/register/BIa8f47e6dccb543a1a66884ce69a9e02b

Live Call Participant Link: https://edge.media-server.com/mmc/console/client/

Webcast Link Instructions
You can listen to a live audio webcast of the conference call by visiting the “Webcast Link” above or the "Events & Presentations" section of the Company's Investor Relations website at https://ir.atni.com/events-and-presentations. A replay of the conference call will be available at the same locations beginning at approximately 1:00 pm ET on the same day. The Company also will provide an investor presentation as a supplement to the call on the “Events & Presentations” section of its Investor Relations website.

Live Call Participant Instructions
To participate in the live call, you must register using the “Live Call Participant Link” above. Once registered, you will receive dial-in numbers and a unique PIN number. When you dial in, you will input your PIN and be routed into the call. If you register and forget your PIN, or lose the registration confirmation email, simply re-register to receive a new PIN.

About ATN

ATN International, Inc. (Nasdaq: ATNI), headquartered in Beverly, Massachusetts, is a provider of digital infrastructure and communications services in the United States and internationally, including the Caribbean region, with a focus on rural and remote markets with a growing demand for infrastructure investments. The Company’s operating subsidiaries today primarily provide: (i) advanced wireless and wireline connectivity to residential, business and government customers, including a range of high-speed Internet and data services, fixed and mobile wireless solutions, and video and voice services; and (ii) carrier and enterprise communications services, such as terrestrial and submarine fiber optic transport, and communications tower facilities. For more information, please visit www.atni.com.

Cautionary Language Concerning Forward Looking Statements

This press release contains forward-looking statements relating to, among other matters, the Company’s future financial performance, business goals and objectives, and results of operations, expectations regarding the transition of its US Telecom business, its future revenues, operating income, EBITDA, Adjusted EBITDA, and capital investments;   demand for the Company’s services and industry trends; construction progress under the Company’s FirstNet agreement and the effect such progress will have on the Company’s financial results; the Company’s receipt of certain grant awards; expectations regarding the benefits of the Company’s acquisition of Alaska Communications; the Company’s liquidity; the organization of the Company’s business; our expansion into growing markets; and management’s plans and strategy for the future. These forward-looking statements are based on estimates, projections, beliefs, and assumptions and are not guarantees of future events or results. Actual future events and results could differ materially from the events and results indicated in these statements as a result of many factors, including, among others, (1) the Company’s ability to successfully transition its US Telecom business away from wholesale wireless to other carrier and consumer-based services; (2) the general performance of the Company’s operations, including operating margins, revenues, capital expenditures, and the retention of and future growth of the Company’s subscriber base and ARPU; (3) the Company’s ability to realize cost synergies and expansion plans for its Alaska Communications business; (4) the Company’s ability to satisfy the needs and demands of the Company’s major carrier customers; (5) the Company’s ability to efficiently and cost-effectively upgrade the Company’s networks and information technology platforms to address rapid and significant technological changes in the telecommunications industry; (6) government subsidy program availability and regulation of the Company’s businesses, which may impact the Company’s telecommunications licenses, the Company’s revenue and the Company’s operating costs; (7) the Company’s reliance on a limited number of key suppliers and vendors for timely supply of equipment and services relating to the Company’s network infrastructure; (8) economic, political and other risks and opportunities facing the Company’s operations, including those resulting from the pandemic, geopolitical tensions, including the Ukraine invasion, inflation, and other current macroeconomic headwinds including increased costs and supply chain disruptions; (9) the loss of, or an inability to recruit skilled personnel in the Company’s various jurisdictions, including key members of management; (10) the Company’s ability to find investment or acquisition or disposition opportunities that fit the strategic goals of the Company; (11) the occurrence of weather events and natural catastrophes and the Company’s ability to secure the appropriate level of insurance coverage for these assets; (12) increased competition; (13) the adequacy and expansion capabilities of the Company’s network capacity and customer service system to support the Company’s customer growth; and, (14) the Company’s continued access to capital and credit markets. These and other additional factors that may cause actual future events and results to differ materially from the events and results indicated in the forward-looking statements above are set forth more fully under Item 1A “Risk Factors” of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, filed with the SEC on March 16, 2022 and the other reports the Company files from time to time with the SEC. The Company undertakes no obligation and has no intention to update these forward-looking statements to reflect actual results, changes in assumptions or changes in other factors that may affect such forward-looking statements, except as required by law.

Use of Non-GAAP Financial Measures

In addition to financial measures prepared in accordance with generally accepted accounting principles (GAAP), this press release also contains non-GAAP financial measures. Specifically, the Company has included EBITDA, Adjusted EBITDA and Net Debt Ratio in this release and in the tables included herein. 

EBITDA is defined as operating income (loss) before depreciation and amortization expense. The Company has defined Adjusted EBITDA as operating income (loss) before depreciation and amortization expense, transaction-related charges, one-time impairment or special charges and the gain (loss) on disposition of assets. Net Debt Ratio is defined as total debt less cash and cash equivalents divided by the four quarters ended total Adjusted EBITDA at the measurement date. The Company believes that the inclusion of these non-GAAP financial measures helps investors gain a meaningful understanding of the Company's core operating results and enhances the usefulness of comparing such performance with prior periods. Management uses these non-GAAP measures, in addition to GAAP financial measures, as the basis for measuring the Company’s core operating performance and comparing such performance to that of prior periods. The non-GAAP financial measures included in this press release are not meant to be considered superior to or a substitute for results of operations prepared in accordance with GAAP. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are set forth in the text of, and the accompanying tables to, this press release. While non-GAAP financial measures are an important tool for financial and operational decision-making and for evaluating the Company’s own operating results over different periods of time, the Company urges investors to review the reconciliation of these financial measures to the comparable GAAP financial measures included below, and not to rely on any single financial measure to evaluate its business.

Contact:

Justin D. Benincasa
Chief Financial Officer
ATN International, Inc.
978-619-1300

Polly Pearson
Investor Relations ATNI@investorrelations.com

   
 Table 1 
 ATN International, Inc. 
 Unaudited Condensed Consolidated Balance Sheets 
 (in Thousands) 
      
  September 30, December 31, 
   2022 2021 
 Assets:    
 Cash and cash equivalents$76,714 $79,601 
 Restricted cash 1,095  1,096 
 Customer receivable 4,813  4,145 
 Other current assets 149,902  147,775 
      
 Total current assets 232,524  232,617 
      
 Property, plant and equipment, net 951,276  943,209 
 Operating lease right-of-use assets 109,564  118,843 
 Customer receivable - long term 43,382  39,652 
 Goodwill and other intangible assets, net 187,376  198,164 
 Other assets 72,547  76,119 
      
 Total assets$1,596,669 $1,608,604 
      
 Liabilities, Redeemable Non-controlling interests and Stockholders’ Equity:    
 Current portion of long-term debt$3,786 $4,665 
 Current portion of customer receivable credit facility 5,696  4,620 
 Taxes payable 6,309  5,681 
 Current portion of lease liabilities 17,399  16,201 
 Other current liabilities 181,135  189,777 
      
 Total current liabilities 214,325  220,944 
      
 Long-term debt, net of current portion$351,866 $327,111 
 Customer receivable credit facility, net of current portion 37,841  30,148 
 Deferred income taxes 15,653  21,460 
 Lease liabilities 83,489  91,719 
 Other long-term liabilities 134,707  142,033 
      
 Total liabilities 837,881  833,415 
      
 Redeemable Non-controlling interests 76,398  72,936 
      
 Stockholders' Equity    
 Total ATN International, Inc.’s stockholders’ equity 584,467  601,250 
 Non-controlling interests 97,923  101,003 
      
 Total stockholders' equity 682,390  702,253 
      
 Total liabilities, Redeemable Non-controlling interests and stockholders’ equity$1,596,669 $1,608,604 
      


            Table 2 
 ATN International, Inc. 
 Unaudited Condensed Consolidated Statements of Operations 
 (in Thousands, Except per Share Data) 
              
      Three Months Ended Nine Months Ended 
      September 30, September 30, 
       2022   2021   2022   2021  
 Revenues:            
 Communications services    $173,977  $155,298  $512,315  $378,897  
 Construction     3,332   6,417   8,615   28,049  
 Other     4,904   5,045   12,800   8,189  
 Total revenue     182,213   166,760   533,730   415,135  
              
 Operating expenses (excluding depreciation and amortization unless otherwise indicated):            
 Cost of services and other     78,949   70,732   229,821   168,717  
 Cost of construction revenue     3,321   5,855   8,640   27,997  
 Selling, general and administrative     58,056   53,360   173,575   131,705  
 Transaction-related charges     3,416   5,696   4,381   7,823  
 Depreciation     33,312   28,875   100,421   68,693  
 Amortization of intangibles from acquisitions     3,236   3,480   9,744   4,324  
 (Gain) loss on disposition of assets     484   (256)  3,876   605  
 Total operating expenses     180,774   167,742   530,458   409,864  
              
 Operating income    1,439   (982)  3,272   5,271  
              
 Other income (expense):            
 Interest expense, net     (5,475)  (3,396)  (13,066)  (5,640) 
 Other income (expense)     1,904   (385)  3,379   1,923  
 Other income, net    (3,571)  (3,781)  (9,687)  (3,717) 
              
 Income before income taxes    (2,132)  (4,763)  (6,415)  1,554  
 Income tax expense (benefit)     (360)  (288)  (1,378)  (1,535) 
              
 Net income (loss)     (1,772)  (4,475)  (5,037)  3,089  
              
 Net income (loss) attributable to non-controlling interests, net     (1,011)  1,856   782   (986) 
              
 Net income (loss) attributable to ATN International, Inc. stockholders    $(2,783) $(2,619) $(4,255) $2,103  
              
 Net income (loss) per weighted average share attributable to ATN International, Inc. stockholders:            
              
 Basic Net Income (loss)    $(0.25) $(0.22) $(0.49) $0.08  
              
              
 Diluted Net Income (loss)    $(0.25) $(0.22) $(0.49) $0.08  
              
 Weighted average common shares outstanding:            
 Basic     15,763   15,860   15,746   15,891  
 Diluted     15,763   15,860   15,746   15,901  
              


Table 3 
ATN International, Inc. 
Unaudited Condensed Consolidated Cash Flow Statement 
(in Thousands) 
   
 Nine Months Ended September 30, 
  2022   2021  
     
Net income (loss)$(5,037) $3,089  
Depreciation 100,421   68,693  
Amortization of intangibles from acquisitions 9,744   4,324  
Provision for doubtful accounts 4,969   3,303  
Amortization of debt discount and debt issuance costs 1,512   767  
Loss on disposition of long-lived assets 3,876   605  
Stock-based compensation 5,697   5,116  
Deferred income taxes (6,619)  (5,939) 
Gain on equity investments (5,617)  (647) 
Loss on pension settlement 1,725   -  
Unrealized (gain) loss on foreign currency -   (81) 
Increase in customer receivable (4,399)  (25,684) 
Change in prepaid and accrued income taxes 8,369   (2,106) 
Change in other operating assets and liabilities (35,666)  (3,724) 
     
Net cash provided by operating activities 78,975   47,716  
     
Capital expenditures (109,944)  (62,222) 
Reimbursable capital expenditures (4,015)  (8,700) 
Proceeds from sale of investments 15,745   -  
Spectrum deposit refund 1,136   -  
Purchase of businesses, net of $11.9 of acquired cash -   (340,152) 
Purchases of strategic investments (2,750)  (6,399) 
Receipt of government grants 2,668   7,094  
Proceeds from the disposition of long-lived assets 683   -  
Sale of business, net of transferred cash of $0 and $0.9 million, respectively 1,835   18,597  
     
Net cash used in investing activities (94,642)  (391,782) 
     
Dividends paid on common stock (8,028)  (8,118) 
Distributions to non-controlling interests (1,375)  (4,823) 
Business combination contingent consideration (1,718)  -  
Finance lease repayments (820)  -  
Term loan - repayments (953)  (2,821) 
New borrowings, net of repayments -   285,000  
Proceeds from mezzanine equity -   71,533  
Payment of debt issuance costs -   (6,568) 
Revolving credit facility – borrowings 68,711   -  
Revolving credit facility – repayments (45,000)  -  
Proceeds from customer receivable credit facility 12,225   27,540  
Repayment of customer receivable credit facility (3,543)  (1,005) 
Purchases of common stock - stock-based compensation (1,169)  (1,713) 
Proceeds from stock option exercises -   383  
Purchases of common stock - share repurchase plan (942)  (4,836) 
Repurchases of non-controlling interests, net (4,609)  (13,139) 
     
Net cash provided by used in financing activities 12,779   341,433  
     
Net change in total cash, cash equivalents and restricted cash (2,888)  (2,633) 
     
Total cash, cash equivalents and restricted cash, beginning of period 80,697   104,997  
     
Total cash, cash equivalents and restricted cash, end of period$77,809  $102,364  
     


     Table 4 
ATN International, Inc. 
Selected Segment Financial Information 
(In Thousands) 
       
For the three months ended September 30, 2022 is as follows: 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
       
Statement of Operations Data:      
Revenue      
Mobility      
Business$3,706 $298 $- $- $4,004  
Consumer 22,776  2,058  -  -  24,834  
Total$26,482 $2,356 $- $- $28,838  
       
Fixed      
Business$18,578 $32,509 $- $- $51,087  
Consumer 39,989  19,143  -  -  59,132  
Total$58,567 $51,652 $- $- $110,219  
       
Carrier Services$3,220 $31,360 $- $- $34,580  
Other 340  -  -  -  340  
       
Total Communications Services$88,609 $85,368 $- $- $173,977  
       
Construction$- $3,332 $- $- $3,332  
       
Managed services$1,398 $3,506 $- $- $4,904  
Total Other$1,398 $3,506 $- $- $4,904  
       
Total Revenue$90,007 $92,206 $- $- $182,213  
       
Depreciation$14,126 $18,341 $- $846 $33,313  
Amortization of intangibles from acquisitions$380 $2,856 $- $- $3,236  
Total operating expenses$76,647 $91,490 $711 $11,926 $180,774  
Operating income (loss)$13,360 $716 $(711)$(11,926)$1,439  
Stock-based compensation$54 $132 $- $1,483 $1,669  
Non-controlling interest ( net income or (loss) )$(2,391)$1,380 $- $- $(1,011) 
       
Non GAAP measures:      
EBITDA (1)$27,866 $21,913 $(711)$(11,080)$37,988  
Adjusted EBITDA (2)$27,863 $21,912 $(11)$(7,877)$41,887  
       
Balance Sheet Data (at September 30, 2022):      
Cash, cash equivalents and investments$39,413 $32,961 $- $5,735 $78,109  
Total current assets 110,610  114,960  -  6,954  232,524  
Fixed assets, net 459,553  483,817  -  7,906  951,276  
Total assets 641,307  872,650  -  82,712  1,596,669  
Total current liabilities 84,848  101,132  -  28,345  214,325  
Total debt, including current portion 63,386  221,265  -  71,000  355,651  
         
* Corporate and Other refer to corporate overhead expenses and consolidating adjustments   
       
       
ATN International, Inc. 
Selected Segment Financial Information 
(In Thousands) 
       
For the three months ended September 30, 2021 is as follows: 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
Statement of Operations Data:      
Revenue      
Mobility      
Business$1,422 $231 $- $- $1,653  
Consumer 22,423  1,909  -  -  24,332  
Total$23,845 $2,140 $- $- $25,985  
       
Fixed      
Business$16,549 $21,681 $- $- $38,230  
Consumer 40,870  15,484  -  -  56,354  
Total$57,419 $37,165 $- $- $94,584  
       
Carrier Services$2,557 $31,939 $- $- $34,496  
Other 233  -  -  -  233  
       
Total Communications Services$84,054 $71,244 $- $- $155,298  
       
Construction$- $6,417 $- $- $6,417  
       
Managed services$1,252 $3,793 $- $- $5,045  
       
Total Other$1,252 $3,793 $- $- $5,045  
       
Total Revenue$85,306 $81,454 $- $- $166,760  
       
Depreciation$13,308 $14,327 $- $1,240 $28,875  
Amortization of intangibles from acquisitions$418 $3,062 $- $- $3,480  
Total operating expenses$72,093 $91,284 $55 $4,310 $167,742  
Operating income (loss)$13,213 $(9,830)$(55)$(4,310)$(982) 
Stock-based compensation$36 $101 $- $1,468 $1,605  
Non-controlling interest ( net income or (loss) )$(2,337)$4,193 $- $- $1,856  
       
Non GAAP measures:      
EBITDA (1)$26,939 $7,559 $(55)$(3,070)$31,373  
Adjusted EBITDA (2)$26,872 $16,404 $(56)$(6,407)$36,813  
       
* Corporate and Other refer to corporate overhead expenses and consolidating adjustments   
       
       
       
       
       
       
       
ATN International, Inc. 
Selected Segment Financial Information 
(In Thousands) 
       
For the nine months ended September 30, 2022 is as follows: 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
       
Statement of Operations Data:      
Revenue      
Mobility      
Business$10,997 $973 $- $- $11,970  
Consumer 64,025  5,063  -  -  69,088  
Total$75,022 $6,036 $- $- $81,058  
       
Fixed      
Business$52,827 $91,521 $- $- $144,348  
Consumer 122,435  57,279  -  -  179,714  
Total$175,262 $148,800 $- $- $324,062  
       
Carrier Services$10,042 $96,102 $- $- $106,144  
Other 1,051  -  -  -  1,051  
       
Total Communications Services$261,377 $250,938 $- $- $512,315  
       
Construction$- $8,615 $- $- $8,615  
       
Managed services$3,820 $8,980 $- $- $12,800  
Total Other$3,820 $8,980 $- $- $12,800  
       
Total Revenue$265,197 $268,533 $- $- $533,730  
       
Depreciation$43,109 $54,546 $- $2,766 $100,421  
Amortization of intangibles from acquisitions$1,192 $8,552 $- $- $9,744  
Total operating expenses$228,308 $272,732 $755 $28,663 $530,458  
Operating income (loss)$36,889 $(4,199)$(755)$(28,663)$3,272  
Stock-based compensation$170 $301 $- $5,225 $5,696  
Non-controlling interest ( net income or (loss) )$(4,830)$5,612 $- $- $782  
       
Non GAAP measures:      
EBITDA (1)$81,190 $58,899 $(755)$(25,897)$113,437  
Adjusted EBITDA (2)$82,219 $62,140 $(55)$(22,610)$121,694  
       
* Corporate and Other refer to corporate overhead expenses and consolidating adjustments   
       
ATN International, Inc. 
Selected Segment Financial Information 
(In Thousands) 
       
For the nine months ended September 30, 2021 is as follows: 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
       
Statement of Operations Data:      
Revenue      
Mobility      
Business$3,917 $1,149 $- $- $5,066  
Consumer 64,503  6,258  -  -  70,761  
Total$68,420 $7,407 $- $- $75,827  
       
Fixed      
Business$50,037 $26,409 $- $- $76,446  
Consumer 125,255  23,004  -  -  148,259  
Total$175,292 $49,413 $- $- $224,705  
       
Carrier Services$6,963 $70,713 $- $- $77,676  
Other 689  -  -  -  689  
       
Total Communications Services$251,364 $127,533 $- $- $378,897  
       
Construction$- $28,049 $- $- $28,049  
       
Renewable Energy$- $- $418 $- $418  
Managed services 3,978  3,793  -  -  7,771  
       
Total Other$3,978 $3,793 $418 $- $8,189  
       
Total Revenue$255,342 $159,375 $418 $- $415,135  
       
Depreciation$40,080 $24,598 $188 $3,827 $68,693  
Amortization of intangibles from acquisitions$1,262 $3,062 $- $- $4,324  
Total operating expenses$214,343 $170,295 $1,906 $23,320 $409,864  
Operating income (loss)$40,999 $(10,920)$(1,488)$(23,320)$5,271  
Stock-based compensation$83 $- $22 $4,911 $5,016  
Non-controlling interest ( net income or (loss) )$(5,857)$4,075 $796 $- $(986) 
       
Non GAAP measures:      
EBITDA (1)$82,341 $16,740 $(1,300)$(19,493)$78,288  
Adjusted EBITDA (2)$82,276 $23,820 $(110)$(19,270)$86,716  
       
* Corporate and Other refer to corporate overhead expenses and consolidating adjustments   
       
       
ATN International, Inc. 
Selected Segment Financial Information 
(In Thousands) 
at December 31, 2021 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
       
Balance Sheet Data (at December 31, 2021):      
Cash, cash equivalents and investments$43,128 $28,486 $659 $7,628 $79,901  
Total current assets 108,677  111,741  3,585  8,614  232,617  
Fixed assets, net 452,856  480,250  -  10,103  943,209  
Total assets 630,515  877,041  17,481  83,567  1,608,604  
Total current liabilities 91,090  108,950  356  20,548  220,944  
Total debt, including current portion 64,243  240,802  -  61,499  366,544  
       
(1) See Table 5 for reconciliation of Operating Income to EBITDA     
(2) See Table 5 for reconciliation of Operating Income to Adjusted EBITDA    
* Corporate and Other refer to corporate overhead expenses and consolidating adjustments   
       
       
       
ATN International, Inc. 
Selected Segment Operational Information 
       
  As ofAs ofAs ofAs of 
  December 31,March 31,June 30,September 30, 
   2021  2022  2022  2022  
       
Consolidated Operational Data #:      
       
Fiber Route Miles  9,058  9,127  9,399  9,756  
Fiber Connected Towers *  364  364  364  404  
Owned Towers **  404  404  404  404  
       
Broadband Homes Passed - total  565,300  565,600  569,800  613,600  
Broadband Homes Passed - by HSD ***  190,400  193,300  199,800  219,300  
% Broadband Homes Passed by HSD ***  34% 34% 35% 36% 
       
Broadband Customers  203,700  204,000  204,500  205,200  
HSD *** Capable Customers  98,100  101,800  105,600  110,700  
% HSD*** Capable Customers  48% 50% 52% 54% 
       
       
 Quarter ended 
 September 30,December 31,March 31,June 30,September 30, 
  2021  2021  2022  2022  2022  
International Telecom Operational Data:      
       
Mobile - Subscribers #      
Pre-Paid 276,400  285,800  291,900  297,000  301,800  
Post-Paid 49,200  49,800  50,200  51,900  54,200  
Total 325,600  335,600  342,100  348,900  356,000  
       
Mobile - Blended Churn 2.68% 2.73% 2.86% 2.80% 3.02% 
       
       
# Data presented may differ from prior reported quarter to reflect more accurate data and/or changes in calculation methodology and process. 
       
* All cell sites, including rooftops, that the company serves with its own fiber    
       
** All geographically distinct cell sites, including towers and other structures    
       
*** HSD is defined as download speeds >100 Mbps      


     Table 5 
ATN International, Inc. 
Reconciliation of Non-GAAP Measures 
(In Thousands) 
       
For the three months ended September 30, 2022 is as follows: 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
       
       
Operating income (loss)$13,360 $716 $(711)$(11,926)$1,439  
Depreciation expense 14,126  18,341  -  846  33,313  
Amortization of intangibles from acquisitions 380  2,856  -  -  3,236  
EBITDA$27,866 $21,913 $(711)$(11,080)$37,988  
       
Transaction-related charges -  212  -  3,203  3,415  
(Gain) Loss on disposition of assets (3) (213) 700  -  484  
ADJUSTED EBITDA$27,863 $21,912 $(11)$(7,877)$41,887  
       
Revenue$90,007 $92,206 $- $- $182,213  
ADJUSTED EBITDA MARGIN 31.0% 23.8%NANA 23.0% 
       
       
For the three months ended September 30, 2021 is as follows: 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
       
       
Operating income (loss)$13,213 $(9,830)$(55)$(4,310)$(982) 
Depreciation expense 13,308  14,327  -  1,240  28,875  
Amortization of intangibles from acquisitions 418  3,062  -  -  3,480  
EBITDA$26,939 $7,559 $(55)$(3,070)$31,373  
       
Transaction-related charges -  9,033  -  (3,337) 5,696  
(Gain) Loss on disposition of assets (67) (188) (1) -  (256) 
ADJUSTED EBITDA$26,872 $16,404 $(56)$(6,407)$36,813  
       
Revenue$85,306 $81,454 $- $- $166,760  
ADJUSTED EBITDA MARGIN 31.5% 20.1%NANA 22.1% 
       
       
       
For the nine months ended September 30, 2022 is as follows: 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
       
       
Operating income (loss)$36,889 $(4,199)$(755)$(28,663)$3,272  
Depreciation expense 43,109  54,546  -  2,766  100,421  
Amortization of intangibles from acquisitions 1,192  8,552  -  -  9,744  
EBITDA$81,190 $58,899 $(755)$(25,897)$113,437  
       
Transaction-related charges -  1,094  -  3,287  4,381  
(Gain) Loss on disposition of assets 1,029  2,147  700  -  3,876  
ADJUSTED EBITDA$82,219 $62,140 $(55)$(22,610)$121,694  
       
Revenue$265,197 $268,533 $- $- $533,730  
ADJUSTED EBITDA MARGIN 31.0% 23.1%NANA 22.8% 
       
       
For the nine months ended September 30, 2021 is as follows: 
       
 International
Telecom
US TelecomRenewable
Energy
Corporate and
Other *
Total 
       
       
Operating income (loss)$40,999 $(10,920)$(1,488)$(23,320)$5,271  
Depreciation expense 40,080  24,598  188  3,827  68,693  
Amortization of intangibles from acquisitions 1,262  3,062  -  -  4,324  
EBITDA$82,341 $16,740 $(1,300)$(19,493)$78,288  
       
Transaction-related charges -  7,257  566  -  7,823  
(Gain) Loss on disposition of assets (65) (177) 624  223  605  
ADJUSTED EBITDA$82,276 $23,820 $(110)$(19,270)$86,716  
       
Revenue$255,342 $159,375 $418 $- $415,135  
ADJUSTED EBITDA MARGIN 32.2% 14.9% -26.3%NA 20.9% 


          
        Table 6 
          
 ATN International, Inc.
 Non GAAP Measure - Net Debt Ratio
 (in Thousands, Except per Share Data)
          
          
      September 30, December 31,
       2022 2021 
          
          
 Current portion of long-term debt *    $3,786 $4,665 
 Long-term debt, net of current portion *     351,866  327,111 
          
 Total debt    $355,652 $331,776 
          
 Less: Cash and cash equivalents     76,714  79,601 
          
 Net Debt    $278,938 $252,175 
          
          
 Adjusted EBITDA - for the four quarters ended    $164,022 $129,047 
          
          
 Net Debt Ratio     1.70  1.95 
          
          
 * Excludes Customer Receivable and Credit Facility        

___________________________________________________________________________________________________________
1 See Table 5 for reconciliation of Operating Income to EBITDA, a non-GAAP measure.
2 See Table 5 for reconciliation of Operating Income to Adjusted EBITDA, a non-GAAP measure.
3 ATN completed its joint acquisition of Alaska Communications on July 22, 2021.
4 International Telecom revenues are generated by delivery of a broad range of communications and managed IT services, including data, voice and video services from the Company’s fixed and mobile network operations in Bermuda and the Caribbean, and include direct government payments as part of the FCC high-cost support program in the USVI. 
5 US Telecom revenues consist of broadband, carrier services, managed IT services, fixed enterprise, and mobile retail revenues from the Company’s networks and operations in Alaska and in the western United States, including various government programs such as CAF II, E-Rate, Lifeline and rural healthcare support programs. 
For the Company’s 2022 Guidance Adjusted EBITDA, the Company is not able to provide without unreasonable effort the most directly comparable GAAP financial measures, or reconciliations to such GAAP financial measure, on a forward-looking basis. Please see “Use of Non-GAAP Financial Measures” below for a full description of items excluded from the Company’s expected Adjusted EBITDA.
Defined as download speeds of greater than 100 MBPS.


Primary Logo

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.