LTRPA - Earnings call 1 2022 | Liberty TripAdvisor Holdings, Inc.

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Operator

Ladies and gentlemen, thank you for standing by. Welcome to the Liberty Broadband 2022 Q1 Earnings Call. [Operator Instructions]

As a reminder, this conference is being recorded on May 6. I would now like to turn the conference over to Courtnee Chun, Chief Portfolio Officer. ahead. go Please

Courtnee Ulrich

you. Thank Good morning.

statements These events any Before Broadband only including date we any call thereto of everyone conditions this recent such or filed which this of undertaking XXXX. TripAdvisor's to Private speak due XX-K differ any any to forms of a as Liberty mentioned of we'd in reflect certain in or forward-looking change in Liberty circumstances forward-looking is any disseminate TripAdvisor on like number with to to change call, the Actual Liberty and of includes Act meaning expectations Broadband and Litigation Liberty forward-looking remind results statements the could with TripAdvisor and Securities herein, or statement any events, statements materially and uncertainties, based. that SEC. updates to risks obligation regard Liberty Reform or begin, Liberty or those revisions within expressly contained the most by the disclaim or the Broadband

on will preliminary certain X X On along releases we press earnings comparable as can as required prior found today metrics, well Liberty reconciliations, Information regarding discuss adjusted earnings schedules Broadband's for call, non-GAAP the GAAP for financial which with and in the definitions Broadband, note Liberty today's available and including including measures OIBDA. be are and release issued website. periods,

Liberty and I'd turn Now over Greg CEO, like to Maffei. call President the to

Gregory Maffei

and will to have Pounds, good GCI; Duncan, Wendling; call, on CFO Liberty and CEO Brian Pete of Chief the answer speaking Accounting of and the Financial Officer, Thank audience. will morning listening available GCI, to Principal Ron you, be questions. also Today, and Broadband's we Courtnee,

related during Q&A, to be the questions Liberty answer we'll to TripAdvisor. happy Also

we of shares So first Liberty February million. for $XXX beginning million April, through the from Broadband Broadband, X.X repurchased of with end the Liberty

Charter in not we average to sales $XXX share proceeds period, in last did months The buyback $XXX Charter sales. This Charter million noted received X from these participate of share the of share. price reflects per on we repurchases was as the Over look-through February. same because quarter

reminder, a expected sales XXXX Charter X% to and be for XXXX expected is on rate and share tax our -- the between As annual is X%.

purposes, tax received treated dividends deduction. to sales the dividend and share For else back as XX% Charter income for are

Skyhook, Our in amount specific will beyond are our we by $XXX repurchases, subsidiary not tax outside the tax Charter's It cadence received et Charter the the note, XXXX guidance the of those shares in many cetera. share Please I'd LBRD, is of proceeds because tax DRD May that gradual in million we share the rate a and our sold tax a of providing prices, share-by-share of net repurchases, timing reform, note in of basis pricing now reduced control, time. the also approximately increase our on basis. on including result over and X. variables of

to in adding in fixed mobile additional leverage approach free the first in the had cash momentum with the up as to payment. quarter. Notably, We and adding its flow revenue Turning both CBRS rollout. first features itself. and reported future. value and confident strong Charter network Charter's X%, in They the small lines cells hybrid, to drive litigation EBITDA, the X% boost continues there, results to mobile capital-efficient a XXX,XXX up to Charter customers, mobile an excluding such financial continues quarter mobile remain

Their market coming in moderation industry. by been COVID, broadband of lack exacerbated today. have We softer opportunities surely had of were the about at multiples. compressed obviously first across demand net out churn low a quarter, Broadband fears sales $XXX,XXX FWA. opportunity environment move in reflecting and and therefore, the expected of adds low, that's Fiber the market cable the

its voting buyback. active Charter pursuing with feet Our aggressively and its is

the it bullish the and are was last overdone. opportunity, has recognized market and the on of seems that similarly a at like perhaps couple days We bounce least over gotten

unveiled -- develop with generate that JV ancillary video rather think platform. on Comcast revenue path and from means a streaming Notably, to Charter compelling a provides also benefiting a to of forward a We delivery next-gen platform are this like our linear for aggregate interface and operating particularly the new will experience ways, to This allow video. enable spectrum and in transition other to additional broadband. customer be will IP user and for optimal video, streams a deployed streamline

year. XXXX levels. QX, was the a XXXX strong XXXX XXX% business the XX% QX to year-over-year XXX% the Peak. of reached reached HM&P reaching it's their segments combined March. consolidated COVID post at XX% but growing Omicron, materially had and by the start revenue in E&D improved of XXXX, January throughout levels and XX% exit revenue We and TripAdvisor. exited impacted to of of In revenue actually E&D the Turning we XXXX levels, segment quarter. XXXX HM&P segment exceeded The the levels, at XX% and of the

high good auction. drive traffic in and in returns leverage paid auction continue that We CPCs to the to are generating

strong XXXX. that experienced the booking customers travel a par value booking among America metric. North Europe as is and we positive experiences operating at gross acquired destination, the very and European seeing key in also is rates returning, also cohorts, we're repeat seeing XXXX with almost are we acquired and We a a signs at so

operator, And we at TRIP, in and travel, Goldberg thrilled is digital X. to Cooper most for history joining as media want content. agree. announce Lastly, and has to Founder July tenure Matt Desk. market seems his long CEO as recently experience a long Trade has The Steve to thank were CEO. on a He He at we as proven

to to me And with let financials. that, turn it over discuss the Brian

Brian Wendling

shares investment, at cash $XX end, Broadband close, And The had as million our and and which on $XXX Liberty of X GCI. million quarter end, We At during Greg. of timing total at based $XXX was consolidated at the held had Broadband you, amount million, of largely drawdown billion. May of quarter of cash yesterday's given LBRD quarter includes share of Liberty The margin was repurchases and Thank cash the end Charter the a at of price from Charter when value received equivalents to principal at on Charter sales. $XXX million. capacity quarter debt $X.X share loan fund available down share $XXX difference the proceeds the is and drew we billion. Charter

preferred into February above Charter As share amounts Charter Note proceeds period. we the sell only did this and in the indemnification Greg months mentioned, and X in exclude reporting received from of buyback not sales stock. obligation

parent. had to solid free on dividend as impact Leverage, quarter. The the up the cash first good to continued to $XXX to generated undrawn Broadbanding of flow Broadband its GCI using their revolver. to million a in and GCI credit GCI defined Subsequent agreement, company GCI. had end, hand. prior a its of $XX at capacity -- the end has -- dividend Liberty X.Xx was quarter quarter And good million at paid cash Looking delever. under

both Revenue and were adjusted $X OIBDA down million.

term, to to roaming negative of at of seeing periods which new quarter year-end, in the revenue prior the effects the we As some adjusted positive OIBDA comparisons the XXXX, but in fourth XXXX. long agreed is and agreement are create does noted

growth consumer our not Additionally, impact meaningfully and but our video This our shrink, which offset in wireless by was to free video significantly decline cash business in offerings. business continues impacts does broadband flow. revenue

Dutch have X the the communities of we'll some nearly the up are wireless X cable to Later gig in to country state and XX,XXX gig Catch. comes recognize deployment customers. revenue-generating XX% remote this light the attributable access our deploying speeds as even X many to has you of subscribers year, new most gains I GCI communities And GCI's probably our think in Over We bring Alaska. last gig subsea X added Harbor, speeds. any don't to which other the directly nearly we're year, of and across service home now close. gig many X,XXX Alaskans Deadliest believe modem XXX-mile nation. of fiber in to these of

it. crab virtually king speeds will digital known Harbor GCI they're the of eliminating unlimited bridging Dutch data. and is divide and to Safe Soon be say, for

the With to that, Greg. I'll turn call over back

Gregory Maffei

continued to I'd for Liberty questions. like TripAdvisor. audience, operator, with your line the And Liberty open Brian. that, in to Broadband our And listening and you, we appreciate Thank interest

Operator

Instructions] [Operator

We'll first our take Credit Suisse. from question Doug Mitchelson with

Douglas Mitchelson

I guess Greg. questions, X just

being benefit long-term the got a of investor. You've

some I'm just efficacy or current you So anything is how surprise in of team built the the is so environment far. equity the the there Obviously, has that telling curious, through either much is getting about there for you surprised Liberty. markets wireless fixed are at fiber Charter

that think I a rising thinking just surprise charter it's I'm for you equity separate about folks backdrop, Greg, rates managing macro how Liberty curious does term. whether capital you So yet who longer and Broadband. a as for influence think And lower just interest have been been

Gregory Maffei

Thanks, Doug. Yes.

FWA the net due move, just is, selling saturation in increase at lack surprised broadband adds in that I'm as of, the how or which as general least market, environment, fiber. I COVID I think is think fell all they can of of X did. and pull-forward, We increase to factors much can speculate that much of therefore, of lack

supplies harder fairly not it. build It's that of availability and to There's dramatically of quarter. up labor. one The ramped do no availability environment confident the not way terms market is in been easier. I'm of in fifth to the first getting has just actually getting

So in that that's I threat, mind of think but potential quarter don't to been there's been FWA no the a ramped in certainly. some that has that's been popped as much potentially. there Is reason my have ramped. could long-term think

really saturation, three, be terms slowing to pull-forward move On it's to and think we some to in those first factors, I do of X which the it's are think issue among in degree, but environment of has the a decline. COVID the tend caused mostly, mostly I going

mobile that broadband we a will growing So at cash increasing opportunity. have optimistic free flows, I and margins have big we remain and increasing Charter, a asset

the So I the view talking reward lot has terms attractive. in changed looks don't we're doing fundamentally think risk the of the at prices repurchase more a about our business and share on

think change. that's don't I a So big

a in as that and as we I there XX%, how not of and capital know, of environment, the in We lot usually to long far who find And deals for And have more ] takes rates as how trying through. overall environments. investors. difficult be longer-term equity of to as opportunities will with are the deals it let's of people through, at market higher and opportunities, at As many FLAN our buy we the expectations. we're try business, more. sellers lot readjust attractive capital come well cases more be [ a of markets flow the take the market do Broadband to nature suspect it Doug, you ramifications It's plays in the and down just and as Its takes sort their those SPAC, way. long play to of but a get of long-term while

So off the market going because don't up I do opportunities, think but will I there think amount. next to it's show like just they're week be is this

Operator

And we'll Swinburne Morgan go from Stanley. with Ben question next to our

Benjamin Swinburne

great. sticking you with accreting. be February because that is strategy, just your you're to remind Yes, Greg, obviously, theme -- buying with sort cap these works not at that Charter your did if and buyback not all and because of just in how factors or there? sell Charter don't any you And other you're want prices ownership the us would sell

Gregory Maffei

is Happy to and on fully try cap ownership The diluted clarify. measured shares.

have and sell. under so done the as have related, cap issued not room options we're we more and to they things required some So some

Benjamin Swinburne

because technical And anything February Or for in selling a don't is are? was in you reason where there prices there the the like quarter? not

Gregory Maffei

We're of to terms not actions like. We're were sell and share and their in being sell that, do Charter so obligated because not February the issuance to to into trying of stock. we obligated in

Operator

We'll Barton Crockett next from take our Rosenblatt question Securities. with

Barton Crockett

the subs, the wanted commentary. where curious a right. One you touch same are from? on opportunity, environment subs mean, see? think And do couple question face Just the I'm under source that does kind wireless that of a cable they coming is. million but aren't low-end T-Mobile the household market question curious, cable I is. that adding guys moving, And I maybe they a to fixed think they're you where People Greg, are those this, new of is don't

Gregory Maffei

I good have have cable among and of a we're for don't they claim going long-term pipe but just I've areas vast fill don't created nature believe I where for, to customers But relatively it's read, majority FWA is Barton, not they their is the a the how what compete relative where low new I of my clarity, they've of nature market taking think a taken opportunity and competitive the probably solution growth some taking or -- share some as absent a have of end the customers market, in terms customers what is what have in that will I believe particularly I needs. customers. -- of fills. I to the whom question, seen, our of some be in pipe mix and think It's attractiveness speeds and of they're lot available probably existing what don't

I think low. our churn is

which probably -- in the in the growth growth and new the limited. they taken been taken some I some created have think market, market of has more

Barton Crockett

would of Alaska, GCI And is helpful. price it's then gears Okay. -- be completely. any point? a kind fundamentally. wondering -- if correlated obviously switching That to of just which economy in right. might to this like GCI, that about epically you're kind All feeling I'm oil stronger rebounded. help just just Alaska, I'm curious I'm seem at of and in That's dynamics

Gregory Maffei

sure about Alaskan the I'll economy. And or Ron the I'm let Pete, probably wax case. Ron, you, eloquent that's

Ronald Duncan

federal confident hasn't But busily been the I oil tremendous months of is economy looking over the years. think and yet. employment economy population fortunately to up, back, here hit net broadband, was at definitely under a haven't in least. amount, eloquent a The the in coming here session, away outflows economy at population, they of it state, $XX revenues, still Act positive are know into but The mood revenues about but definitely of trying the negative pre-pandemic that those employment between I billion Well, months and the reflected we're than is and stimulus all at yet. levels a portion strong small for next on Infrastructure flowing still the up our how not is We're We're state yet. a we're new XX reasonably out lot revenues legislature the more ago, for put the to only several really up the and wax figure there's yet. in next XX

quite expected broadband both that at as still as frankly, So in as of something should clip. COVID. be down rest industry We're marketplace nor And respectable much performance a as much the our slowed not the tailwind. a we post has wireless the adding of and

Operator

James Ratcliffe with We'll ISI. Evercore take from our next question

James Ratcliffe

like Greg, where Broadband to things. there implications? you a it? or secondly, Charter, logical I saw of couple One, an first the cable of Charter that's you are Skyhook. flexibility a rather or all, mean buy circumstances place sense Liberty at something any it have structural impact sold Does could than asset that with on the that by And get buying or I for tax synergies make that

Gregory Maffei

No Okay. the on Thank James. first. No. you, flexibility. I'll take second structural impact

expectations and be than pretty able where that if any that achieve analyst of of kind sale people's valuation most that I determine with Skyhook about. might is number terms cash we higher to think the good. seen we Certainly very pleased were other in I've write not

plus. So that's a

in an it's kind appealing asset or own Charter. the not that, we what some a an You of structural suspect one inconceivable. road might both gave other cases could cable more we created we to unlikely things. as transactions way ultimately at Broadband us than be that Charter? company at that's in Why But could flexibility imagine for a couple to wanted Liberty it's One -- ATB do broadband that not down that we there I is, might rather There's happens. might buy and a of like

Operator

from Michael next question our to with Citi. Rollins go We'll

Michael Rollins

revisit just Charter the with on buyback hold Charter you obligated wanted shares. not negotiations shares on in discussion like the Charter would views your program? or Charter the Just to category, into the given you Charter sell And Broadband to be your on have to and to reopen to

Gregory Maffei

taxes. it's in even sense think I complain that buying like Well, at shares, Liberty Charter we the of Broadband don't discount about exactly the but back our complicated net we the a topic

more more one. not We but always current is always poor the So flexibility. yes, want certainly like a situation I optionality,

Michael Rollins

time the timing greatest given Broadband, a tax Liberty transactional investors at And where transaction, a you consider to range flexibility from should frame the of of the would opportunities? GCI think a have about perspective full

Gregory Maffei

Yes.

I We whatever achieved given already think how get. going from GCI to was whatever the done, will time. GCI, we're good, flexibility deal good change over flexibility which get is we not very will have and

Operator

We'll go next from Capital. to our Michael Bunyaner question TLF with

Michael Bunyaner

you forces adds terms thinking of the light is net power X have the of discuss losses, what in comments pricing your in your cable on can versus One, competition? the inflation your about of I questions.

Gregory Maffei

Yes.

describe I growth. add -- did First, it it slowing losses, as I a I would would net as of not describe

and be asset forward. likely a will the to believe -- continue an We we I growing entity, that's path going

if look to I that most competition. you suggest relatively compared much seen the broadband the we that of cost I've have low think of at things

taken or not the in that cable providers much way the price have other We of have. other

there's opportunity So most faster grow Charter pricing the ahead, has which pretty have industry. deferred and think flexibility for of pricing I to mostly because than actually they continued been good

Michael Bunyaner

adds. net You description. use did about right I were correct And the the not

correct. You're absolutely

Gregory Maffei

to... I problem. just No want

Michael Bunyaner

glad And to me. you're corrected I'm

Gregory Maffei

if cable We're sensitive that no, shrinking. happening. many analysts written to no. No, idea That's the have as not

I happening. foresee So don't that

Michael Bunyaner

it and the will to and inventory the fire to and address business? a have has they how What Exactly. think you Qurate about And warehouse do the the that various your Liberty point to view things block second other of thoughts to at the take them issue also fix indemnity with to tackle and Retail. Qurate do of long question from actually the are

Gregory Maffei

our Brian to -- add. -- and be we try Treasurer or to if add and wants because I'll wants I'll Well, helpful

of on quite lot they went I we had call a about how into depth the think morning. prior this this

Rawlinson Sorry, to the Jeff articulate you available. transcript topic. you on will David anything? want missed be But be it. And hear that add more But you do could and Brian,

Brian Wendling

I'll the of fund indemnity face value our smaller, the Liberty is to just add obligated -- that which favor. so how of Broadband stock that smaller indemnity and gets down, as works, over is in the in goes Charter's premium value and terms the

Gregory Maffei

Charter the Yes. In the in favor Qurate excuse Retail. me, -- favor of of

Brian Wendling

Liberty In Broadband. of favor the

Gregory Maffei

Right.

I think huge the fire a was strategy.

had continuity. to more has to ability our businesses effects. that fire strategy. Just answers. articulate less are that get including I less think caused effects, lower to terms lot But ship is efficiency have us lower knock-on finish, in of of -- It huge a There multiple customers satisfaction. look transcript, to therefore, at you you'll It's if a

more I hear than answers give. articulate You'll can

Operator

We'll take with question last Benchmark. our Harrigan from Matthew

Matthew Harrigan

something including more lot in-house. do off it way the up apart I question, just mean, just do you pricing to that, even the of value guess much ask snazz I and real at statistics, benefit, guess, and product, even just look the is the shelf. could there the to of the you probably really are you clearly voice, which tangential the a but is away. when irrespective overall product probably of bouquet, was to the some JV, increase value Comcast-Charter a going from a there's the to can the There's the like UCaaS, working usage? just usage and lot speed perceived I but just possibly I from

Gregory Maffei

obviously, provide experience the on being capacity related, capacity about, to the terms mobile the like though improved a on it's both speed divide to purely like Charter boost trying is upstream then think things things, opportunity side, inside speed the you the a if provide with customer. broadband things vendors an doing we're products of Wi-Fi in I Well, Broadband working high downstream mobile some I and able And high-quality and working Plume as our as are home, as not the issue, with also strategic talked obviously doing like market terms to wants. of of provide focused in on split side is well that

improve it's JV So I as you is video capabilities. Comcast, interface speed. us much Comcast work I video I of opportunity and quite around offering has together. for think, do with down there's our -- a think think a invested our an road lot, already and noted, on to positive. the and that's be a the the lot to going Obviously, Flex. that And It the will with

our forward to your you Thank in all Broadband you to look both earlier. next and Liberty TRIP, Liberty and you. listeners for Thank if quarter, interest of again speaking we with not

Operator

Thank call. today's participation. you concludes this your for And

now may You disconnect.

Liberty TripAdvisor (LTRPA) 6 May 222022 Q1 Earnings call transcript