Cable Bahamas Q1 Performance Strong and Impressive despite COVID headwinds.

Q1 Revenue 11% ahead of last year.

Focus on driving growth and strategically managing financial service instruments have been the major themes highlighted in the most recent fiscal reports from Cable Bahamas Group, the country’s leadingtelecommunications provider and controlling shareholder of Be Aliv Limited. The communications group recently released its Q1 report for FY22 just weeks before its AGM for shareholders scheduled for December 2nd 2021. The annual report for FY21 has now been released and posted on the company’s website and highlights the continued turnaround of the group reporting robust profit increases from its commercial and residential branches and positive commercial growth for its mobile subsidiary Aliv.

Mr. Victor Marcial, CFO of Cable Bahamas Group, stated that he is confident that FY22 will prove profitable for Cable Bahamas Ltd. “Over the past several months we have been able to increase our revenues and reduce high-interest debts. We believe these and other strategic financial decisions will lead to a fruitful FY22 as evidenced by our Q1 performance.”

The group is pleased to report improved bottom line performance in Q1 FY22. Q1 Consolidated FY22 revenue closed at $53.4M, a notable increase of more than $5 million or 11% when compared with the previous year.  Fixed revenue grew 5% while mobile revenues grew by 6%.

Despite an increase in operating expenses to $2.6M or 8% for the same period, the ratio of operational expenditure to revenue decreased by 1% YOY showing a slight improvement in Opex efficiency. These shifts in the company’s financial dynamics ultimately translated into an increase in earnings before interest, tax and depreciation and amortization (EBITDA) of $2.5M or 16% over the same period. The Consolidated group EBITDA percentage increased by 1% from 32% to 33%.

In FY21 the group used funds generated from the sale of its former subsidiary, Summit Broadband to repay various debt instruments. This resulted in a decrease of interest expenses and preference share dividends by $1.2M in Q1 FY22 when compared to Q1 FY21.

Shareholders will be pleased to discover that earning per share increased from nil in Q1 FY21 to .06 in Q1 FY22.

Aliv Standalone performance saw an increase in EBITDA from $1.8M in Q1 FY21 to $5m in Q1 FY22. An increase of 180%. Similarly, Aliv saw an increase in cash generated from operations of $4.8M. The company continues to grow market share and revenues despite the lingering effects of Covid-19 on The Bahamas. However, Aliv continues to show net losses due to high depreciation and amortization costs (non-cash transactions) as well as significant interest expenses. Aliv has debt instruments ranging from 8% to 10%.

With regards to Aliv’s net losses, Mr. Franklyn Butler II, CEO of Cable Bahamas Group said,  “As we have noted in the past, key factors including the massive investment in top of the line infrastructure and world class technology inherently make our journey toward profitability for Aliv a long term goal. When compared to investments of a similar nature, it is clear that we are well on our way to long term profitability. We are pleased with the positive trends we have seen regarding Aliv’s year over year growth. We are confident that Aliv’s financial outlook will continue to move in the right direction.”