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Liberty Puerto Rico reports 10% revenue drop Y-O-Y to $327.2M

Subscription revenue declined primarily due to a decrease of 61,000 pre- and post-paid mobile customers.

Liberty Puerto Rico reported $327.2 million in revenue for the first quarter of 2024, a 10% decrease from the $363.5 million recorded in the same period in 2023.

The company noted in its quarterly report that residential mobile revenue fell by 20% compared to the previous year, largely due to a $26 million decline in equipment sales, which was primarily attributed to a focus on migration activities.

Additionally, subscription revenue decreased year-over-year, driven by a loss of 61,000 pre- and post-paid mobile subscribers during the quarter ended March 31, 2024, compared to the quarter ended Dec. 31, 2023. This decline was affected by the migration from AT&T’s networks to Liberty’s, which caused service interruptions and other issues.

“In Puerto Rico, we have achieved the significant milestone of migrating all our mobile customers to our own operating platform and are now positioned to drive sequential improvement throughout the year following significant integration-related expenses during the first quarter,” said Liberty Latin America’s CEO, Balan Nair.

He explained that the process involved “increased costs related to the final stages of customer migration and transitioning to new IT systems and a wireless core network, [but] we believe we have the right strategic assets and team to be successful.”

“Looking forward, we expect synergies, operating cost improvements, and top-line sequential growth will drive adjusted operating income before depreciation and amortization [OIBDA] to more than $45 million per month at some point in the second half. We’re confident for a bright future and are well positioned for meaningful operating and financial expansion in 2025 and beyond,” he added.

Liberty Puerto Rico reported an adjusted OIBDA of $69.1 million for the quarter ended March 31, a 46% decrease from the $128 million reported in the same quarter of the previous year.

The company also reported other revenue of $4 million, as compared to the prior-year quarter, due to a reduction in revenue recognized on funds received from the Federal Communications Commission for continuing to expand and improve its fixed network in Puerto Rico.

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This story was written by our staff based on a press release.
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1 Comment

  1. Daniel Rigau May 9, 2024

    Worst internet provider in PR

    Reply

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