UNIT - Earnings call transcript Q2 2021

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Operator

Welcome to the Uniti Group's Second Quarter 2021 Conference Call. My name is Karmen and I will be your operator for today. A webcast of this call will be available on the company's website at, www.uniti.com, beginning August 5, 2021 and will remain available for 14 days. At this time all participants are in a listen-only mode. Participants on the call will have the opportunity to ask questions following the company's prepared comments. to actual that from results in statements. like forward-looking remarks those would these and statements could company remind today's you include projected The differ materially discussed cause SEC. to The with actual that company's filings could differ factors are in the the results this reference slides remarks and its posted materials those will refer to encouraged to afternoon during company's on website, The you're this call. accordance will also that prepared in measures include were principles. accounting financial call with certain the accepted during Discussions generally not directly dated comparable financial found non-GAAP measures most can current to those financial of be GAAP the in report Reconciliations measures on today. company's the Form X-K I would Gunderman. Uniti turn call Kenny Group's over now to like to Officer, Chief Executive the ahead, go Please Mr. Gunderman.

Kenny Gunderman

you. afternoon Thank Good everyone.

was in highest quarter bookings of is Bullington, fueled year evidenced for Leasing the sales call first one by me Uniti of new a communications CFO. for results and the industry. at bookings Uniti consolidated Joining over Fiber. ever from quarter of tailwinds fiber growing the of representing This our infrastructure strong, at Paul increase and very on MRR infrastructure remains demand XX% Demand both consolidated Uniti today million quarters this the Interim $X within our by Uniti. approximately strong sequential reported another

all other in traffic. fixed acceleration and telemedicine of presentation wireless, technologies the fiber-to-the-home, surge critical fiber all an society mission remote delivery. conferencing, XG satellite virtualization continued in an As and resulting virtually greater Slide X of of our tissue of broadband, environments, connected broadband with seeing enabling illustrates, e-learning, mobile video overall work broadband usage We're for is the current future our and

these country network of is Uniti the of in fiber independent each trends. the nexus world-class is fiber X, of dense providers our largest Slide to and wholesale at one Turning the

in XX% and continue is the of generating expect future. in including business all that we we're the In wholesale today, nature, fact, plus to Lease-Up

technologies homes and macro XG more is growing. need small passed, portfolio customers also for cells, growing other towers, a connected investment of have by and and We in buildings, our the networks

For to to XX-gig of infrastructure cell particularly in with new metro Uniti tower Up circuits, to the broadband. of These to provide in effort the for expand on are future an Lease while for looking wireless towers macro validating our unique our are underlying growth the their mobile macro push example, foundation and fiber. opportunity explosive backhaul carrier CRAN, customers backhaul increasingly ahead upgrades anchor our These with deployments small simultaneously in active for and continuing our carriers networks setting further infrastructure benefits investments the attractive shared economics, markets. keep

accelerate. carrier to the and non-wireless customers such continues also expand long-haul national active cloud-based routes, services. high-capacity MSOs in as group particular, Their FAANG insatiable Our they for demand as are their

be in Our residential and continue customers enterprise to broadband driving focused to more active more and carrier consumers.

Our wireless today dense we're neighborhoods aggressively building through passed and bills. buildings and XXX,XXX commercial into fixed fiber-to-the-home metro parks and networks deeper

three the our and and organic day. could built years. significantly over portfolio is in only and We've sales miles through expect six we past years, proprietary almost route growing next three this that M&A efforts XX,XXX portfolio number fiber the of Over every strategy hard-to-replicate increase amassed our valuable we've years new

continues X, attractive Slide that Uniti As meaningful model evidence drive infrastructure the to on is an of demonstrating shared economics returns.

the bookings wireless resulting anchor margins for with believes effective approximately Uniti new wireless in our additional requires most today represents and cash a non-wireless installs past minimal long-term almost in the anchor XX% way all increase that profitable with mix largely Uniti CapEx, and As healthy tenants five fiber the or cash and high customers mid to years. high threefold of economics. and optimal, within flow drive also from the a We're attractive adding single-digits. cumulative builds flow to a reminder, successfully very yield of yield yields and

the well $X.X on during and revenues first of we're follow to a from executing of grew on XX% markets Fiber cell quarter disciplined Uniti expand sales good year. our Uniti manner, anchor choosing an MRR, Lease bookings bookings highest in second to that increase revenue network quarter, demonstrating grew a from year, the Up. level over small the Turning were almost we're Fiber's in XX%, approximately XX% quarter that million of while our the enterprise in prior and

the of our In our alone within during wireless continue installed the efforts of terms came second opportunities, the installs of XX bookings of almost ramp-up the sold $X.X quarter and to months from over southeast related past occurred of XX% Lease mix, in we to customers, MRR Up MRR sales XX% Uniti related second XX% with of Lease non-wireless Fiber XX% to million our to related quarter non-wireless Up bandwidth gross markets. upgrades. X% as

dropped profitability of on-net in install has a This company and to XX time to our as largely first helps the as circuits accomplishment for a time really to our history, Importantly, is services Uniti's as customer customers. satisfaction new well below that days. terrific for selling improve the result

to Turning fiber market Leasing, available lease parties. is we to Slide to At over of million continue that X strand third Uniti X. actively to miles

to the with result utilize of as $X which recurring annual part from settlement fiber. we Over actively less customers. revenue interest pipeline the translates is potential marketing success of than deals of sales the about at million one continued a year total of and stands of acquired fiber our over Windstream, this XX% of little the billion contract $XX our reflecting today significant wholesale value, Our

contract to yields remaining that contract $XXX represent have incremental in and our remaining approximately and of total revenues We with assets successful be XX%. executed portfolio continue an under date on of of years average cash million XX of monetizing opportunities flow over to term

Turning to Slide X.

investment to continues capital program growth positive yield Our results.

With continue. its fiber-to-the-home. our have investments has own network capital last begun now the fiber over capital six commercial is that resulted in long-term XX% value reminder, has and years, billion in improvements fiber, creating expected As our around of tenant a over on these and $X mile parks in almost building invested Collectively, largely past including of Uniti to highly the investment being of tenant focused investing valuable and investment future the fiber copper and now legacy overbuilt miles for is expected simultaneously providing constructed. of with cash materially network new coming an numbers call We I'll for believe Both GCI are those near-term route turn over program that, flow years. while to the attractive our our XX,XXX a secure stockholders proofing renewal. fiber network almost increase Paul. in to our yield,

Paul Bullington

everyone. afternoon Thanks, Good Kenny.

mentioned of at results Fiber Uniti another and quarter delivered Uniti Leasing. As strong both earlier, we Kenny

adjusted Our and that guidance strength for however, and AFFO to share to quarter expectation be tracking the of ahead XXXX closer diluted common into of and we line of our per will to in mostly the remains with high the the of year-to-date, guidance now half outlook, second range expect second plan continue we full-year end prior EBITDA due strength our XXXX. are

the are that not adjusting the of mid-point our some into we XXXX. the there could However, of slip possibility revenue as quarter XXXX contractual first outlook remains

Everstream. we quarter, During with OpCo/PropCo transaction closed the strategic our

is of $X.XX. $XX our with AFFO. of Please and of consolidated $XX sale second diluted As $XXX of Accordingly, fiber our growth EBITDA we under IRU X, and per sale certain comments Windstream we the million, on I an the from Everstream share million transaction. fiber straight-line we lease mentioned earlier, and for XX% of adjusted pre-tax as I'll common X% both EBITDA Windstream of respectively from well to rent to diluted and of the million, to Northeast $XXX of IRU X% from Net contracts of book shares escalators. million relating AFFO operations $XXX excluded adjusted pre-tax transaction, Uniti AFFO reflects for investment revenues of prior up the Uniti reported of quarter. gain million million, the acquired per segment $X.XX At Leasing subsequent sale, turn quarter. year. the related quarter recognition and dark settlement start achieved our agreement, to The year-over-year GCI and a EBITDA part includes gain or Slide adjusted adjusted was MLAs share annual recorded the the gain partial million common to and attributable common revenues on We Leasing, million shares $XXX $XX dark the consolidated and The the attributed to as reported $XXX EBITDA income contracts. margin

all $XX the of of around states. During fiber towards XX,XXX miles investments to X,XXX across the the to almost program. These Uniti own investments Leasing different network investment second initiatives GCI deployed valuable relating strand miles Uniti's Windstream quarter, with capital GCI growth and added XX approximately route million

LIT million. in in sites an backhaul initial backlog program cell Uniti and LIT rent. to approximately GCI million at master next wireless within of backhaul, Uniti today today made years. fiber dark footprint with invested to annualized anniversary incremental subject These for ultimately we have the expect $XXX miles As XXX% approximately were annual investment. annualized deploy At in second yield quarter. and fiber around They of Southeast our XXX,XXX Uniti annualized sites This line Fiber, and Fiber million across $XX million XX, around one-year cell and few escalator XXX with are we route during our adding the currently results that have such over X.X% revenues. The revenues We making fiber represents of capital margin. of the wireless at dark the has X,XXX will miles at backlog turned to the expectations. quarter installed X,XXX investments million carriers $XX strand will an investments $X our our small under of near Windstream, of we X% our remaining during be generate of to added the cash an of network. Uniti small These revenues leases June $XX

emphasis the part from quarter was Everstream in the the recurring during prior we closed costs. operations Uniti were revenue. to due higher CapEx our margin second success-based second The million quarter, and sold May adjusted no the mentioned, and transaction revenue to XX%, and XXX will representing included improvement results margin expectations. cost, Northeast due lower million the As in lower for $XX longer basis higher EBITDA I that than the net the Adjusted $X be $XX was of our EBITDA. mentioned that $X a transaction the XX Northeast Fiber and our from financials sale operational maintenance operations a just our Fiber was point from in million the I EBITDA Adjusted approximately date. expected as on the year quarter quarter million of was in continued with of Uniti on consistent in impact the earlier, from

sale X% about cover We're or revenues. tax date CapEx the impact maintenance of related Please our of costs XXXX the income the of for incurred to million to estimates revised on of expense. updated of $X guidance transaction, expense related Everstream incurred impact I primarily and and XX prior our now interest turn will also and We Slide gain to the other of operations guidance. transaction revising and

outlook other excludes market costs current could these future mentioned not specifically transactions, differ statements. and capital acquisitions, related future Our forward-looking results transaction and materially Actual from herein.

outlook master rate current Our million mid-point segment. to associated of the straight-line EBITDA revenues EBITDA adjusted and we to and million each each and with XXXX approximately with $XX million Leasing, relating representing following Windstream include full-year the expect Uniti $XXX EBITDA adjusted XX%. Beginning margins GCI includes be investments. and continue the $XXX the respectively for Revenue leases adjusted at to for

opportunities reflects GCI relates of II, III mid-point million to the guidance, to Leasing markets, outlook $XXX markets of our our $XXX CapEx Tier Windstream own are Our time. Tier investments. substantial Uniti Windstream growth with million based success net Most these at of at providing estimated of which similar over

IRU parties, non-Windstream highlights, and from and the and grow fiber where pace, be revenues of to $XX revenue XX% about XX% dark levels. XX to EBITDA expected Everstream diversified acquired XXXX we dark $XX adjusted across from at and fiber continue that million a Slide multiple This As up transaction. million and healthy are includes are part leases the IRU in third is Windstream, assets the contracts the respectively,

at XXX contribute to of to revenues, improvement from fiber of midpoint this year. $XXX our and year margin EBITDA the a XX% million is representing million which point guidance, Turning Slide of expect of XX, last basis we Uniti adjusted $XXX

items, for Uniti transaction the quarter, Adjusting of As in year. guidance. the EBITDA impacted two be for construction from for is these call we still success adjusted XXXX the operations based to is our year out pointed our and by $XXX business. by Uniti Northeast last Fiber down expected impact increase and X% of earnings at as Net and Uniti prior revenue at of respectively winding of part Fiber's this CapEx Fiber mid-point expected our are the the outlook the million non-core our XX% of sale Everstream to

Turning to Slide XX.

For between full-year On expect share mid-point common range AFFO $XXX per $X.XX and and per diluted midpoint. billion to XXXX, basis, expect the of adjusted be $X.X diluted be to we we at a million consolidated continue to with share. $X.XX EBITDA $X.XX to a revenues

$XX guidance million, X% costs the Corporate paid to debt. and senior repayment amounts to write-offs relating contemplates still allocated XXXX expected of additional excluding X.XX% in of million write-off consolidated to on $XX the Reported interest paid and year our early interest expense business Our relating million, expense the $XXX notes of excluding full premiums unsecured any will SG&A, to approximately financing notes stock-based for of $XX deferred senior an financing including early repayment approximately million include deferred costs segments, compensation of XXXX. is be secured expense. and due our premiums our

We full XXXX for XXX outstanding year to expect common million average around be shares. shares continue diluted weighted to

our components As key the in our guidance to are included reminder, for of outlook ranges appendix a presentation.

Turning now approximately capacity. we million cash of equivalents, and $XXX undrawn unrestricted cash structure, at quarter to capital end revolver combined our and had

payable allowed share to Our board call X, on is on estimate August current back I'll Kenny. net $X.XX record amount agreements. ratio On X.XX maximum leverage adjusted our to our the at debt times a September stockholders which our under XX, of based October EBITDA. dividend turn of stood of current debt per declared now to over X, annualized the

Kenny Gunderman

Paul. Thanks,

XX. to Turning Slide

should business, investors there our business. for market I'd up we Uniti's to to how take between from our valued XX We Q&A, demand how comps. about think public and of questions moment and Uniti's disconnect XX regularly given We operations get believe should multiple Uniti to values times We a the valuation. includes times substantial analysts opening nature Fiber believe Leasing, call cash equity Uniti the be public based market Uniti which public Before flow comment of fiber intrinsic like high-performing market material valuation. the a -- non-Windstream upon our unique on and parts is at scale private

a a other performed and multiple evaluation were times publicly for firms. XX.X in Further, X.XX exited Windstream's connection And flow Both portfolio valuation flow never as operator, days, other roughly a and XX% assets. blended XXXX, and cash is of This infrastructure by and when an fiber-to-the-home In quality proven questions. a of are suggest a upside includes less emergence the third-party streams interests XX and value of original as resulting monthly our valuation to Windstream, only churn X received Windstream unique XX% Our in capital relative flow from line small cash [indiscernible]. and of spin-off to Uniti in combined flow with of business cash XX% of meantime strategic all companywide times the intensity we has jumping disrupted greater ready valued represents multiple X.X%, from our separate fiber, priority with yield market-based bankruptcy XG, valuations these is businesses. of repeatedly This from evidence point times payment. we leased deliver this success-based multiple XX% our of or Using these closing, net the times and in of is roughly attractive compares X% at being part remaining with at multiple. multiple infrastructure, our been economics, times growth valuation ever times With of never cash of as which now to multiple. revenue, been recurring greater that, times even now since cops cells the to implied cash to are than mid-point X.X have an X we fiber independent refreshed XX XX XXXX range, to received in flow traded the of the the platform bankruptcy. been off take

Operator

[Operator Instructions] question from you. Cusick Phil is with First Thank Morgan. JP

Philip Cusick

Two, guess, if borrow, to cheap then to shares what's are Kenny I willing you believes if Would you steps start, next assets you your a to are Thanks fiber private – equity consider do Are guys. to shares? or company company, buy the buy is some the you? lot look like? a What certainly today? private conversations those selling shares engage assets there of to you with chasing equity

Kenny Gunderman

we questions we frankly Hi, this and and Phil. that the – spur some the this time of predictable those the look underappreciated. our questions, portfolio time page undervalued. for framework. from just core the all said we said yes, the some of and for we've But right Yes, to are think of some I are assets hope that and dialogue our think we're operations We've performance underlying

continuously for thought unlock look that to ways value. and we've that So

selling things a we could look theoretically. to there different at I we both a of things sure, in look could have some do the of are also continue look I of talk number I you whether other think to grow leases. especially other just including to about and I with in execute at interests environment think the continue or lock through And this to leases it of just as think, for it's the to or the value ways we industry securitization but need mean, to for as to portion that. opposed a and capital, mentioned. monetizing We wash ways inorganically, organically JVs

think into. we then value looking public said, for market right understand are, for leaning we're very But are to important we our framework And Uniti. haggle all lot investors but investors, the having is can these good it a our at all the think things a way unique over right look what at for with a we little assumptions that So, appropriate to it's this especially into more of all bit at the questions framework to because nature get do. a our now to we about the business look leaning given of do and thing it that

Philip Cusick

I on we've of But guess, Okay. is pipeline, there number operational side, a on. the the not. then, in talked going lot times And it's past about deal a

three talked and asked that's up things you've that the may I of point. is but year hey, ago, been think to the pipeline? running, same last a it year of this time get status nearly have I question this months kind at took a about, What's

Kenny Gunderman

Phil, can everybody beat that you Yes. else question. to

So, thanks for asking strategy… our changed nothing's in it. And

Philip Cusick

Somebody was going to…

Kenny Gunderman

to one of still quite emergence. year the We're not the anniversary

the would developing at very And setting to track encourage the on at patient. to investors of despite at being being multiples successful assets very and market attractive and on a would end deadlines, acquiring working at encourage at our just at I premium So, be our the monetize day I very hard non-core look time investors still to the disciplined, record We're executing back not same of but multiples. artificial funnel. finding ways frothy attractive businesses assets also

So, a we've demonstrate develop. at a very to we've and to we're I hard six-year got nice period. not got it continuing We've track able deadlines, record. over We've developing, set it, but a artificial that's very think, funnel been good working

Philip Cusick

Kenny. Thanks,

Operator

you. Thank

the Please with re-queue in America. We going question please of audio. from question. Bank hear – to from I'm Our continue check All James. Frank, right. Q&A. the from Barden audio your Raymond next your cannot Frank Louthan is with Oh, question David next your

David Barden

the Hi, Thanks for taking Kenny. question.

picture. got one two, I kind small of picture, I big one So, guess,

up going So, I guess, I'm follow Phil's question. to on

of as XX% you've got this ways the we $XXX free the kind process security, $X of effectively reverse it for certified basically kind a business if senior assets, it guys inside a and a of degree, billion. mean, Windstream the lease I in lease a is to engineer and right, super I litigated this, the through yield in courts today. kind Uniti you of as view nth is of The with fact fiber and million core So, secured of went lot kind

than bigger the just we question do kind with away separate of why right are private these waiting kind private two one businesses, is do to so, And value like? Why entity. rather picture them? And just a of negotiation business a create

And XX What pipeline pipeline the – the value Thanks. apart. that question disclosed? revenues annualized it million of break and says the to related deal. in revenue related is the the there's shared you footnotes is roughly to just versus you particular Let's total IRU on in second billion X.X guys is leasing one that million XX deal it guys IRU

Kenny Gunderman

does But David, on was that know network you back I question that. come the on one over is one think probably which with in the anchor to sure, of Yes, first large terms and it took you we back I'm of of large that when to that I IRUs Paul and second one. specific it come we'll on one but we'll it pretty numbers the we MSOs. sold the was national too,

all of use in Windstream the we're of that the networks your of Leasing. I provides are selling cases, we we're and Fiber. lot those And thinking of are selling we're first think the terms – valuable two to solutions the and businesses amount a settlement. that network – for We however Uniti that good fiber a and sense Windstream fiber fiber, Uniti through We're observations again we're these fiber we're I that some of that leasing of Sapphire. we selling the in Uniti network some the got things got some selling it and where do leased about. Fiber that from that up substantial some In make we do together capacity network questions think right the question

value ways some So, means, through accomplished same lock-in be to if or accretive at values. in value of of keeping the that of together. separate some time this some were there all other strategic to But these can there's

prices getting at sort to of right. Uniti free about so the thinking and So, your all of and think in is Fiber of these I speak thinking value terms we're line for things

David Barden

if up one just could I Kenny, more. follow

the C-band of about either had pivoted a and simply of monthly you the over of this And billings conversations, small more have actually more that the market made Vegas And heard in couple obviously, small DISH fund record is than doing more capital, macro kind to much carriers weeks, of last heard kind Las quarter? we SBA in you strategic level of a geographic new they macro from with thing Crown an we in actually Are that So, record announcement broad terms builds. that course the cells sort defunding to relationship deployments recurring them. of also reallocating to activity still Or seeing densification the kind that how or we're geographic earlier. acceleration from funnel, come? revenue talking to contractual is cell signings the build contributing

Kenny Gunderman

foreseeable upgrade so folks believe small do as expect come you but XX% cell DISH. year in thought think cells out we cells small pull to I pickup And don't the we've the future. But coming II-ish so XX related. first to – is for again, and It's the accelerating. beginning the our reprioritize a of expected what to a portfolio. said, activity, in thought small this the of general wouldn't macro I our of related so it's lot active C-band small Frankly, macro and much acceleration cells, we carriers that some base. And mover more that in into cell expected even on year return. that extremely in there funnel. have But we – expecting small we It's about second DISH, that's don't But as know have expecting grew we Both, and into always On growing. of in gig we're we're growing – no at say we first an cells quarter a it we seen have seen coming our half year. – going related, our the to year, the Tier the bookings. you we're we and been half and think talked at A we've our It something back huge macros we've small so off and alluded the sales of year-over-year, at haven't second expect on I with least markets, continue David I was III-ish small that. markets, when advantage And a a related. the seen fall with than

I think they've just terms out been timing. in of pushed

Now, that to just means anything there's taking greater always at we're but risk funnel, forecast. pushed in our overall in of now of out the been course, for out least not terms They've timing. staying them of

David Barden

Got it.

Okay, thanks guys.

Operator

you. Thank

Our next James. with comes Raymond Frank question Louthan from

Frank Louthan

in companies? timing that? And you Everstream the any The revenue sale then the very Thank is asset thing – Great. of much, one have impact have quick that quarter. there any on the was EBITDA in quarter, going what about be of to think of RDOF any forward. bills, to I their of the guys opportunities going startups you do you Some for the what opportunity be with part that's an there – think

Kenny Gunderman

greater recipients, first. to RDOF of backhaul can But and or customers take network for whether on edge others, have number need then in and yes, and like a our or it RDOF that our mile large the middle sale what we investment the greater ultimately the think, the would the – you network. therefore Good and Hi, of recipients our is means and what Frank. the think second take Paul Windstream customers, one be and CableSouth I leaseback current back I'll

recipients, the not think seen were who we've also lead customers who to I that. RDOF and going I those – from companies We've seen greater network. mean, just for traffic, to we So non-customers already it's coming on excuse are – currently bills customers, these jumping them because using them our that's about off network in lot been with of where as know their areas and having goes. you dialogue many points we've of for are some rural RDOF bills a more our good me, as network

us, So but jumping-off for yet, sense it's it's you I big can't for certainly a of competitive great and an threat. how these many I is an customers. I it's of for a Frank, opportunity a don't think point give think opportunity do it

additional – margin, Everstream think any us fiber the but markets, we additional have may comment outweighs On the that I some question? or certain on competitive to outweighs the some do benefit competitors want you Paul, to in threat.

Paul Bullington

I'll Yes. that. Sure, Yes, Frank. take

yes, did operations on It impact have Northeast XX. to closed So, our on quarter. sale May the Everstream the of an

of adjusted on month $X So, our revenue impact at $X it EBITDA. basically had impact one on dollar the on and financials and amounts million impact million

Frank Louthan

guys you building as one follow-up, quick would more at point? All into the right, as going towers something you And of ever your So, part fiber you forth. forward? just and small that Would of consider out for pretty one infrastructure growth think on Edge branched Edge consider Or guys great. mentioned and data you of so centers you portfolio? network should your side we much part is network

Kenny Gunderman

but certain Frank, look, customers the call we data reminder at actually a pods for a you're it developed have our towers. developing We're obviously we're that's case macro even the as and around And network. a asking in we We of building prototype business are considering and that. of still markets. them something have cells centers. it's small what And – just a really calling carrier different, Edge edge result

how pods the And natural fiber extension We're We've ground. adding we're is Edge effect as serve big a in I give network boots when – of that extension market sense it, got center. in so, you some natural can't on an on data opportunity edge that but network. any about you a the again, that a with the of think is, of

see think coming and something that of we're probably something the I So is doing years. we'll in that more and quarters that

Frank Louthan

much. very All you right, Thank great.

Operator

Thank you.

from Flannery comes with Simon Morgan Our next question Stanley.

Simon Flannery

thank very you much. Great,

on is several coming run MRR, those that existing following in the you've a extent wondering of lot to that the money – the leveraging bill. the got aside with Or years? new I on if does what on nice some through. And To Just at over your the bookings? next was there much then bookings set see associated up RDOF, funds see largely it's you infrastructure opportunities those Kenny, CapEx any of around network?

Kenny Gunderman

Hi, Simon.

– we're part to so the yes it. proponents think, excited communications infrastructure related infrastructure. On at of We're the first question, bill about least I the

we or directed towards it's another it's additional rural again in lot a be of for billion to our which network our areas suburban And going is. $XX industry bipartisan where to areas, support think is billion tailwind I of whether in fiber. more that's investment just think $XXX

earlier So, we're through to our funding but not investment of going don't and But to derivative be be I said that RDOF. a we something at direct changes, think so, think we will be. customers recipients unless the we recipient our don't least related or for will customers reasons we

just federal investment example we continued of it's we're and steady So, our another the of sort state which of of. beneficiary think pace space, in subsidy for

lease can question, frankly strong a It's third the very very but for on a of jump bookings I've comment mix it's to wireless start good the up. in, and quarter Paul it's based mix. anchor wireless I'll numbers builds On healthy seen including and quarter, strong a July. early wireless And

wholesale, our the existing of being regular and/or and on addition off network to vast built our network. enterprise existing is majority it's of In that

to existing new to So if the connected we're be network. it's fiber, building going

anchor at – of The demonstrate up coming those blended what on and yields. we in initial So yields in consider and X% presentation. yields to to then XX% incremental it's very near attractive our the getting XX% yields early we

in that are bookings business continue book and new on. our in We of to coming our see that

Simon Flannery

do that to capital intensity does what business… in the fiber So in

Kenny Gunderman

I think…

Simon Flannery

…into XXXX and beyond?

Kenny Gunderman

to decline Yes, as it's we going forecasted. to continue

down. managing We number are still that

that and steadily a currently at intensity. – it's of and to So we continuing going declining is near-net think capital we're what are be greenfield what greenfield build see and – we're on-net, a mix result in all that to the levels we those going bookings frankly

Simon Flannery

Thank you.

Operator

session back concludes Q&A this like would our And management I for today. his final call the to turn to you. Thank for remarks.

Kenny Gunderman

Thank updating you further interest appreciate Uniti you. joining calls. We us to Group your for and you on today. future Thank look in forward

Operator

And you. you and this call. concludes may Thank today's your you conference participation Thank now for disconnect.

Kenny Gunderman	Chief Executive Officer
Paul Bullington	Interim Chief Financial Officer
Phil Cusick	JP Morgan
David Barden	Bank of America
Frank Louthan	Raymond James
Simon Flannery	Morgan Stanley

Uniti (UNIT) 6 Aug 212021 Q2 Earnings call transcript