We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Internet revenues grew 9.5% year over year to $4.41 billion.
Video revenues inched up 0.9% to $4.42 billion. However, voice revenues decreased 9.4% to $457 million.
Commercial revenues increased 1.9% year over year to $1.62 billion. Small and medium business (SMB) revenues rose 5.4% year over year to $996 million. Enterprise revenues dipped 3.2% to $622 million.
Moreover, advertising sales increased 5.7% year over year to $365 million, primarily owing to lower political revenues.
Mobile revenues surged 85% year over year to $258 million.
Other revenues came in at $211 million, down 4.4% year over year.
Subscriber Statistics
As of Mar 31, 2020, Charter had 29.721 million total customer relationships, up 1.7% year over year. Moreover, the company had 25.471 million residential Internet customers, up 2.3% year over year.
Further, Charter added 290K mobile lines in the first quarter. As of Mar 31, 2020, the company served a total of 1.4 million mobile lines.
However, Charter continued to lose video (70K in the reported quarter) and wireline voice customers (net losses were 83K).
Operating Details
Total operating costs and expenses increased 2.7% from the year-ago quarter to $7.34 billion.
Programming costs inched up 0.9% year over year to $2.89 billion due to a rise in renewals and contractual programming. Regulatory, connectivity and produced content costs were down 1.7% to $551 million.
Costs to service customers increased 1.4% year over year to $1.85 billion. Marketing costs were $766 million, up 4.2% year over year.
Notably, mobile costs jumped 44.4% year over year to $374 million.
Adjusted EBITDA increased 8.4% year over year to $4.40 billion. Moreover, adjusted EBITDA margin expanded 120 basis points (bps) to 37.4%.
Balance Sheet & Cash Flow
As of Mar 31, 2020, cash and cash equivalents were $2.91 billion compared with $3.48 billion as of Dec 31, 2019.
Further, as of Mar 31, total debt was $79.69 billion compared with debt of $79.08 billion as of Dec 31, 2019.
Electronic Arts, Cable One and Take Two Interactive are scheduled to report quarterly results on May 5, 11 and 20, respectively.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favoritestock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Image: Bigstock
Charter (CHTR) Q1 Earnings & Revenues Up Y/Y on User Growth
Charter Communications (CHTR - Free Report) reported first-quarter 2020 earnings of $1.96 per share that jumped 67.6% year over year.
Revenues of $11.74 billion increased 4.8% on a year-over-year basis, owing to growth in Internet, mobile, SMB and advertising sales.
The Zacks Consensus Estimate for earnings and revenues was pegged at $2.71 per share and $11.79 billion, respectively.
Segmental Details
Residential revenues came in at $9.29 billion, up 4.2% from the year-ago quarter.
Monthly Residential revenue per Residential Customer (excluding mobile) totaled $112.73, down 0.9% year over year.
Charter Communications, Inc. Price, Consensus and EPS Surprise
Charter Communications, Inc. price-consensus-eps-surprise-chart | Charter Communications, Inc. Quote
Internet revenues grew 9.5% year over year to $4.41 billion.
Video revenues inched up 0.9% to $4.42 billion. However, voice revenues decreased 9.4% to $457 million.
Commercial revenues increased 1.9% year over year to $1.62 billion. Small and medium business (SMB) revenues rose 5.4% year over year to $996 million. Enterprise revenues dipped 3.2% to $622 million.
Moreover, advertising sales increased 5.7% year over year to $365 million, primarily owing to lower political revenues.
Mobile revenues surged 85% year over year to $258 million.
Other revenues came in at $211 million, down 4.4% year over year.
Subscriber Statistics
As of Mar 31, 2020, Charter had 29.721 million total customer relationships, up 1.7% year over year. Moreover, the company had 25.471 million residential Internet customers, up 2.3% year over year.
Further, Charter added 290K mobile lines in the first quarter. As of Mar 31, 2020, the company served a total of 1.4 million mobile lines.
However, Charter continued to lose video (70K in the reported quarter) and wireline voice customers (net losses were 83K).
Operating Details
Total operating costs and expenses increased 2.7% from the year-ago quarter to $7.34 billion.
Programming costs inched up 0.9% year over year to $2.89 billion due to a rise in renewals and contractual programming. Regulatory, connectivity and produced content costs were down 1.7% to $551 million.
Costs to service customers increased 1.4% year over year to $1.85 billion. Marketing costs were $766 million, up 4.2% year over year.
Notably, mobile costs jumped 44.4% year over year to $374 million.
Adjusted EBITDA increased 8.4% year over year to $4.40 billion. Moreover, adjusted EBITDA margin expanded 120 basis points (bps) to 37.4%.
Balance Sheet & Cash Flow
As of Mar 31, 2020, cash and cash equivalents were $2.91 billion compared with $3.48 billion as of Dec 31, 2019.
Further, as of Mar 31, total debt was $79.69 billion compared with debt of $79.08 billion as of Dec 31, 2019.
Zacks Rank & Stocks to Consider
Currently, Charter carries a Zacks Rank #3 (Hold). Electronic Arts (EA - Free Report) , Cable One (CABO - Free Report) and Take Two Interactive (TTWO - Free Report) are some better-ranked stocks in the broader Consumer & Discretionary sector, all three carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Electronic Arts, Cable One and Take Two Interactive are scheduled to report quarterly results on May 5, 11 and 20, respectively.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favoritestock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>