Liberty Capital Q2 revenue flat as consumer revenue decline
Liberty Capital Q2 revenue flat as consumer revenue decline
Overview
US Alaska telecom operator's Q2 revenue was flat yr/yr at $261 mln
Adjusted OIBDA for Q2 declined 11% due to increased operating expenses
Company to start recurring quarterly dividend in December 2026, annualized at about $60 mln
Outlook
Liberty Capital expects to close the Quintillion acquisition in 2026
Company plans to initiate a quarterly dividend in December 2026, totaling about $60 mln annually
GCI net capital expenditures for 2026 expected to be $290 mln
Result Drivers
CONSUMER REVENUE DECLINE - Co said consumer revenue fell due to fully exiting the video business in 2025, partially offset by growth in wireless revenue
HIGHER OPERATING EXPENSES - Increased operating expenses, including higher technology and distribution costs, drove declines in Adjusted OIBDA and operating income
BUSINESS DATA REVENUE GROWTH OFFSET BY COSTS - Business revenue rose slightly due to growth in data revenue from service upgrades, but higher distribution costs, including those related to the restored Quintillion network, reduced margins
Company press release: ID:nBw3RnxKba
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue |
| $261 mln |
|
Q2 Adjusted OIBDA |
| $96 mln |
|
Q2 Adjusted OIBDA Margin |
| 36.80% |
|
Q2 Operating Income |
| $29 mln |
|
Q2 Operating Income Margin |
| 11.10% |
|
Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the integrated telecommunications services peer group is "buy"
Wall Street's median 12-month price target for Liberty Capital Corp is $54.00, about 123.4% above its August 5 closing price of $24.17
The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 8 three months ago
Reuters Recommended Reads
Aug 5 - ATN International Q2 revenue, adjusted EBITDA rise
Aug 5 - SpaceX's mobile ambitions jolt US telecom market, analysts debate threat
Aug 6 - Optimum Communications Q2 revenue falls 5.8%
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@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.)