Patrick Drahi, founder of Altice N.V., said: “In the first quarter of 2018, Altice Europe has started to deliver on its operational turnaround plan, showing the best subscriber trends Altice has ever reported. Our strategy is paying off, focusing on making our customer experience better through improving processes, infrastructure investments, the best customer premise equipment such as Sofia, and renewed commercial offers with content as a key differentiator.
I am confident that these first initial significant improvements will be further enhanced in the coming quarters. We want to bring the best operational experience and drive the highest level of customer satisfaction which in turn will allow us to achieve our industrial and financial objectives. Altice Europe has tremendous opportunities. We have a unique asset base, fully converged, with premium infrastructure from networks to CPE and content assets, which is now allowing Altice Europe to firstly win back share across markets and consequently return to growth.
In parallel, we have made further progress on the execution of our non-core asset disposal program, which is well advanced and will strengthen our long-term balance sheet position.”
Altice N.V. (Euronext: ATC NA and ATCB NA), today announces financial and operating results for the quarter ended March 31, 2018.
FY 2018 Guidance (Updated for IFRS 15)
Altice N.V. has adopted the IFRS 15 accounting standard, required from January 2018, based on the full retrospective approach. As previously disclosed, Altice N.V. restated revenue and restated Adjusted EBITDA decreased by approximately €120m and €90m, respectively, for the year ended December 31, 2017 under IFRS 15 (restated revenue and restated Adjusted EBITDA in France for FY 2017 decreased by €95m and €78m, respectively). The impact of this accounting change is mainly linked to mobile handsets subsidies adjustments because of the effect of the change in amortization pattern and commission capitalization.
For the year ended December 31, 2018, under IFRS 15, Altice Europe is expected to generate Operating Free Cash Flow5 of between €2.3bn to €2.5bn, excluding the Altice TV segment. The adoption of IFRS 15 is expected to reduce FY 2018 Adjusted EBITDA by approximately €50 to €100m compared to the prior accounting standard, mainly in France, and thus prior guidance (OpFCF for Altice Europe of between €2.4bn to €2.6bn) has been updated for this amount, although this change is not expected to impact net cash flow after working capital movements. Altice France is expected to generate operating free cash flow of between €1.5bn to €1.6bn (updated from prior guidance of between €1.6bn to €1.7bn due to this IFRS 15 accounting change).
Altice Europe reiterates plans to expand Adjusted EBITDA and cash flow margins over the medium- to long-term.
Update on Altice Reorganization Including Altice USA Separation (‘Spin-Off’ or ‘Split’)
On January 8, 2018, Altice N.V. announced that its Board of Directors approved plans for the separation of Altice USA from Altice N.V. to be effected by a spin-off of Altice N.V.’s 67.2% interest in Altice USA through a distribution in kind to Altice N.V. shareholders. The separation will enable each business to focus more on the distinct opportunities for value creation in their respective markets and ensure greater transparency for investors. The proposed transaction is designed to create simplified, independent and more focused US and European operations to the benefit of their respective customers, employees, investors and other stakeholders.
The separation is to be effected by a spin-off of Altice N.V.’s 67.2% interest in Altice USA through a distribution in kind to Altice N.V. shareholders. Altice N.V. expects to complete the proposed spin-off transaction early June 2018, following Altice N.V. shareholder approval (Altice N.V. AGM vote on May 18, 2018), AFM approval and publication of a prospectus in connection with the distribution. US regulatory approvals have already been obtained.
Simultaneously, on January 8, 2018, the Board of Directors of Altice USA approved in principle the payment of a $1.5 billion cash dividend to all shareholders immediately prior to completion of the separation. Thereafter, on May 15, 2018, the Board of Directors of Altice USA declared a one-time cash dividend of $2.035 per share of Altice USA Class A common stock and Class B common stock. The dividend is payable to stockholders of record at the close of business on May 22, 2018. The payment date for the one-time cash dividend Altice USA declared will be two business days prior to the separation date. If the Master Separation Agreement to be entered into by Altice N.V. and Altice USA in connection with the separation of Altice USA from Altice N.V. is terminated on or prior to the payment date of the dividend, the payment of the one-time cash dividend will not occur.
In the spirit of enhanced accountability and transparency, Altice N.V. also announced on January 8, 2018, that Altice Europe will reorganize its structure comprising Altice France (including French Overseas Territories), Altice International and a newly formed Altice TV subsidiary. This includes integrating Altice’s support services businesses into their respective markets and bundling Altice Europe’s premium content activities into one separately funded operating unit with its own P&L. This reorganization of Altice Europe is now almost complete as follows:
Conference call details
The company will host a conference call and webcast today, Thursday 17th of May 2018 at 2:00pm CEST (1:00pm BST, 8:00am EDT) to discuss the results.
Dial-in Access telephone numbers:
Participant Toll Free Dial-In Number: +1 (866) 393-4306
Participant International Dial-In Number: +1 (734) 385-2616
Conference ID 4459709
A live webcast of the presentation will be available on the following website:
The presentation for the conference call will be made available prior to
the call on Altice N.V.’s investor relations website:
Altice is a convergent global leader in telecoms, content, media, entertainment and advertising. Altice delivers innovative, customer-centric products and solutions that connect and unlock the limitless potential of its over 50 million customers over fiber networks and mobile broadband. The company enables millions of people to live out their passions by providing original content, high-quality and compelling TV shows, and international, national and local news channels. Altice delivers live broadcast premium sports events and enables millions of customers to enjoy the most well-known media and entertainment. Altice innovates with technology in its Altice Labs across the world. Altice links leading brands to audiences through premium advertising solutions. Altice is also a global provider of enterprise digital solutions to millions of business customers. Altice is present in 10 territories from New York to Paris, from Tel Aviv to Lisbon, from Santo Domingo to Geneva, from Amsterdam to Dallas. Altice (ATC & ATCB) is listed on Euronext Amsterdam. For more information, visit www.altice.net
Altice N.V. (Altice N.V., the “Company”, or the “Successor entity”) was created as a result of a cross-border merger with Altice S.A. as per a board resolution dated August 9, 2015. Altice N.V.’s shares started trading on Euronext Amsterdam from August 10, 2015 onwards. Altice N.V. is considered to be the successor entity of Altice S.A. and thus inherits the continuity of Altice S.A.’s consolidated business. Altice N.V. and its subsidiaries have operated for several years and have from time to time made significant equity investments in a number of cable and telecommunication businesses in various jurisdictions. Therefore, in order to facilitate an understanding of the Company’s results of operations, we have presented and discussed the pro-forma consolidated financial information of the Company – giving effect to each such significant acquisition and disposal as if such acquisitions and disposals had occurred by January 1, 2017; as if the planned spin-off of Altice USA had occurred on January 1, 2017, and excluding press titles within the AMG France business sold in April and October 2017, for the quarters ended March 31, 2017 and March 31, 2018 (the “Pro Forma Financial Information”). Financials include the contribution from Teads from Q3 2017 onwards. In addition, financials for Altice Europe exclude Altice N.V.’s international wholesale voice business (exclusivity for sale announced on March 12, 2018) and green.ch AG and Green Datacenter AG in Switzerland (following closing announced on February 12, 2018) for the quarters ended March 31, 2017 and March 31, 2018.
This press release contains measures and ratios (the “Non-GAAP Measures”), including Adjusted EBITDA, Capital Expenditure (“Capex”) and Operating Free Cash Flow, that are not required by, or presented in accordance with, IFRS or any other generally accepted accounting standards. We present Non-GAAP measures because we believe that they are of interest to the investors and similar measures are widely used by certain investors, securities analysts and other interested parties as supplemental measures of performance and liquidity. The Non-GAAP measures may not be comparable to similarly titled measures of other companies or, have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of our, or any of our subsidiaries’, operating results as reported under IFRS or other generally accepted accounting standards. Non-GAAP measures such as Adjusted EBITDA are not measurements of our, or any of our subsidiaries’, performance or liquidity under IFRS or any other generally accepted accounting principles, including U.S. GAAP. In particular, you should not consider Adjusted EBITDA as an alternative to (a) operating profit or profit for the period (as determined in accordance with IFRS) as a measure of our, or any of our operating entities’, operating performance, (b) cash flows from operating, investing and financing activities as a measure of our, or any of our subsidiaries’, ability to meet its cash needs or (c) any other measures of performance under IFRS or other generally accepted accounting standards. In addition, these measures may also be defined and calculated differently than the corresponding or similar terms under the terms governing our existing debt.
Adjusted EBITDA is defined as operating income before depreciation and amortization, non-recurring items (capital gains, non-recurring litigation, restructuring costs) and equity-based compensation expenses. This may not be comparable to similarly titled measures used by other entities. Further, this measure should not be considered as an alternative for operating income as the effects of depreciation, amortization and impairment excluded from this measure do ultimately affect the operating results, which is also presented within the annual consolidated financial statements in accordance with IAS 1 - Presentation of Financial Statements.
Capital expenditure (Capex), while measured in accordance with IFRS principles, is not a term that is defined in IFRS nor is it presented separately in the financial statements. However, Altice’s management believe it is an important indicator for the Group as the profile varies greatly between activities:
Operating free cash flow (OpFCF) is defined as Adjusted EBITDA less Capex. This may not be comparable to similarly titled measures used by other entities. Further, this measure should not be considered as an alternative for operating cash flow as presented in the consolidated statement of cash flows in accordance with IAS 1 - Presentation of Financial Statements. It is simply a calculation of the two above mentioned non-GAAP measures.
Adjusted EBITDA and similar measures are used by different companies for differing purposes and are often calculated in ways that reflect the circumstances of those companies. You should exercise caution in comparing Adjusted EBITDA as reported by us to Adjusted EBITDA of other companies. Adjusted EBITDA as presented herein differs from the definition of “Consolidated Combined Adjusted EBITDA” for purposes of any of the indebtedness of the Altice Group. The information presented as Adjusted EBITDA is unaudited. In addition, the presentation of these measures is not intended to and does not comply with the reporting requirements of the U.S. Securities and Exchange Commission (the “SEC”) and will not be subject to review by the SEC; compliance with its requirements would require us to make changes to the presentation of this information.
Financial and Statistical Information and Comparisons
Financial and statistical information is for the quarter ended March 31, 2018, unless otherwise stated, and any year over year comparisons are for the quarter ended March 31, 2017.
This press release contains inside information within the meaning of Article 7(1) of the EU Market Abuse Regulation.
Altice Europe Summary Financials Pro Forma Information (New Perimeter)
|Altice Europe - Quarter ended March 31, 2018|
|In EUR millions||
|Fixed - B2C||665.6||155.3||150.2||24.4||-||-||-||-||-||995.4|
|Mobile - B2C||1,055.5||134.9||61.8||86.0||-||-||-||-||-||1,338.1|
|Adjusted EBITDA - Capex||345.8||114.5||49.1||48.5||5.5||-0.1||-59.8||-6.2||1.9||499.1|
|Altice Europe - Quarter ended March 31, 2017|
|In EUR millions||
|Fixed - B2C||696.6||176.2||170.0||28.7||-||-||-||-||-||1,071.5|
|Mobile - B2C||1,026.8||140.5||55.9||107.6||-||-||-||-||-||1,330.8|
|Adjusted EBITDA - Capex||421.9||149.1||56.5||74.6||-||0.2||-49.0||-48.5||-2.5||602.3|
Notes to Summary Financials
Financials shown in these tables are pro forma defined as results
of the Altice N.V. Group New Perimeter ("Altice Europe") as if the
|(2)||“Other” segment within Altice International includes datacentre operations in France (Auberimmo).|
Adjusted EBITDA is defined as operating income before depreciation
and amortization, non-recurring items (capital gains, non-
|(4)||Capex shown on an accrued basis.|
Altice Europe KPIs
Q1-18 [3 months]
|As and for the quarter ended March 31, 2018|
|Fiber / cable homes passed||11,239||172||4,168||2,525||750||18,853|
|Fiber / cable unique customers||2,327||59||669||1,002||200||4,257|
|Total fixed B2C unique customers||6,014||83||1,559||1,002||322||8,979|
|Fixed ARPU (€/month)||€ 34.7||€ 45.6||€ 32.7||€ 51.6||€ 25.2||-|
|Total mobile B2C subscribers||14,440||252||6,356||1,309||3,219||25,575|
|Mobile Postpaid ARPU (€/month)||€ 24.1||€ 35.2||€ 9.5||€ 12.4||€ 20.8||-|
Q1-17 [3 months]
|As and for the quarter ended March 31, 2017|
|Fiber / cable homes passed||9,634||172||3,403||2,465||659||16,332|
|Fiber / cable unique customers||2,083||59||509||1,014||208||3,873|
|Total fixed B2C unique customers||6,079||85||1,571||1,014||319||9,068|
|Fixed ARPU (€/month)||€ 35.9||€ 46.0||€ 34.6||€ 58.5||€ 30.0||-|
|Total mobile B2C subscribers||14,514||228||6,162||1,220||3,466||25,590|
|Mobile Postpaid ARPU (€/month)||€ 25.5||€ 36.7||€ 10.0||€ 12.7||€ 22.7||-|
Notes to KPIs tables
Total homes passed in France includes unbundled DSL homes outside
of SFR’s fiber / cable (FTTH / FTTB) footprint. Portugal total
Fiber / cable unique customers represents the number of individual
end users who have subscribed for one or more of our fiber / cable
ARPU is an average monthly measure that we use to evaluate how
effectively we are realizing revenue from subscribers. ARPU is
Mobile subscribers is equal to the net number of lines or SIM
cards that have been activated on our mobile networks. In Israel,
Altice Europe 6 Financial and Operational Review by Segment – Pro Forma
For quarter ended March 31, 2018 compared to quarter ended March 31, 2017
France (Altice France including SFR)
Q1 2018 operational results in France were the best since Altice took control: continued infrastructure and customer premise equipment investments, new commercial offers and improving customer service all contributed to lower churn and higher customer gross additions.
Process improvements implemented since management changed at the end of 2017 are already demonstrating results at SFR, and this is just the beginning. SFR is now observing consistent improvements in customer service metrics which is being reflected by improvements in a series of customer satisfaction indicators. For example, SFR has made significant progress in customer installation processes, improving the installation completion rate and driving higher gross additions. The average days to install a fiber (FTTH) customer was down more than 30% YoY, while the installation rate was up +20% YoY, resulting from operational processes changes implemented since Q4 2017. On the fiber network side, incidents are being detected automatically and fixed more quickly, driving lower repeat calls to call centers and a significantly reduced number of calls related to technical service. As a result, fibre churn fell by more than 25% reaching a level comparable to some peers but still far from management’s target level. Further significant improvements will be seen in the following quarters.
SFR continued to invest in its infrastructure (network, IT and CPE) to further improve its customer satisfaction. On the fixed side, SFR remains the number one high-speed broadband infrastructure in France7 now reaching more than 11 million homes passed8 with +288k additional homes passed in Q1 2018 (including +224k new FTTH homes passed). On the mobile side, SFR continues to be the leader in terms of 4G mobile antennas in service in France (28,929 antennas) and covers 96% of the population with 4G at the end of the first quarter. In parallel, SFR is already preparing the arrival of the next generation of mobile telephony with 5G technology. After the first tests carried out in 2016 and 2017, SFR with one of its partners, Nokia, were the first in France to make a 5G New Radio connection using the 3.5 GHz frequency band.
In March 2018, SFR redesigned its offers, stripping out premium content, and making the telecom offers more simple and comparable to competitors. These offers are now built around two separate blocks: one centred around telecoms and one centred around premium content (Sport, Cinema/Series, etc.); these are offered as pay options, at a rate still preferential for SFR customers, for fixed and mobile offers. Altice France also announced the launch of a single brand this summer for all of its sports content: RMC Sport, set to replace SFR Sport with the Champion’s League launch this summer. This strategy is starting to pay off as there is a significant uplift on gross adds ARPU for customers taking content options and this trend is anticipated to strengthen as further key content is added with the Champion’s League from Q3 2018.
This solid operational turnaround and customer growth are expected to lead in the coming quarters to an inflection in revenue growth.
The following subscriber KPIs are based on the old reporting perimeter for SFR Group for comparability to previously reported figures in 2017 and 2016 (i.e. excluding FOT):
Total Altice France’s Adjusted EBITDA grew by +0.7% in Q1 2018 YoY to €915m with margins expanding by +0.6% pts YoY to 35.2% reflecting cost savings being realised from the voluntary plan.
Total Altice France capex amounted to €569m in Q1 2018, an increase of €83m YoY reflecting continued network investments and significantly improved commercial trends.
Separately, on February 9, 2018, the “SFR Group”, which includes the telecoms operations of SFR and group media businesses (press titles, stake in NextRadioTV), was renamed “Altice France”.
MEO continues to see the benefits of its accelerated investment to expand its fiber coverage with the second consecutive quarter of growth for its fixed customer base, and a strong performance in the pay-TV segment. MEO has now reached 4.2 million fiber homes passed, on track for its target for nationwide coverage of 5.3 million homes. As MEO continues to invest in its mobile network – now reaching over 97% 4G mobile population coverage and 65% 4G+ mobile population coverage – the mobile postpaid customer base continues to grow.
This quarter, MEO pursued further initiatives as part of its digital transformation and to promote sustainability:
These new products and services demonstrate once again MEO’s leadership when it comes to innovation and improving customer experience.
MEO’s successful infrastructure investment, new commercial strategy and improving quality of its customer service all contributed to better operational results with historically low churn and higher customer gross additions. This solid customer growth is expected to lead in the coming quarters to consistent market share growth and an inflection in revenue growth.
Dominican Republic (Altice Dominicana)
As at March 31, 2018, Altice N.V. had 1,492,756,175 common shares A (including 531,025,305 treasury shares) and 228,272,075 common shares B outstanding.
On January 30, 2018, Altice announced its intention to cancel 370,000,000 common A shares. The cancellation of such shares will become effective in accordance with the provisions of Dutch law.
Altice Europe Consolidated Net Debt as of March 31, 2018, breakdown by credit silo 12
|Altice Luxembourg (HoldCo)||
|Senior Notes||EUR 2,075||2,075||7.250%||2022|
|Senior Notes||USD 2,900||2,353||7.750%||2022|
|Senior Notes||EUR 750||750||6.250%||2025|
|Senior Notes||USD 1,480||1,201||7.625%||2025|
|Altice Luxembourg Gross Debt||6,231|
|Altice Luxembourg Net Debt||6,157|
|Altice France (SFR)||
|Senior Secured Notes||USD 4,000||3,245||3,245||6.000%||2022|
|Senior Secured Notes||EUR 1,000||1,000||1,000||5.375%||2022|
|Senior Secured Notes||USD 1,375||1,115||1,115||6.250%||2024|
|Senior Secured Notes||EUR 1,250||1,250||1,250||5.625%||2024|
|Senior Secured Notes||USD 5,190||4,210||4,210||7.375%||2026|
|Term Loan||EUR 1,136||1,136||1,136||E+3.00%||2025|
|Term Loan||USD 1,409||1,143||1,143||L+2.75%||2025|
|Term Loan||USD 2,145||1,740||1,740||L+300%||2026|
|Term Loan||EUR 998||998||998||E+3.00%||2026|
|Other debt & leases||-||132||150||-||-|
|Altice France Gross Debt||16,044||16,362|
|Altice France Net Debt||15,690||15,954|
|HOT Unsecured Notes||ILS 814||189||189||3.90 - 6.90%||2018|
|Senior Secured Notes||EUR 500||500||500||5.250%||2023|
|Senior Secured Notes||USD 2,060||1,671||1,671||6.625%||2023|
|Senior Secured Notes||USD 2,750||2,231||2,231||7.500%||2026|
|Term Loan||USD 903||733||733||L+2.750%||2025|
|Term Loan||USD 898||728||728||L+3.75%||2026|
|Term Loan||EUR 299||299||299||E+2.75%||2026|
|Other debt & leases||-||84||66||-||-|
|Altice International Senior Debt||7,088||6,789|
|Senior Notes||EUR 250||250||250||9.000%||2023|
|Senior Notes||USD 400||324||324||8.125%||2024|
|Senior Notes||USD 385||312||312||7.625%||2025|
|Senior Unsecured Notes||EUR 675||675||675||4.750%||2028|
|Altice International Total Debt||8,677||8,379|
|Altice International Net Total Debt||8,300||8,040|
|Total Altice Luxembourg Consolidated Debt||30,952||30,972|
|Total Altice Luxembourg Consolidated Net Debt||30,147||30,151|
|Corporate Facility||EUR 240||240||240||E+6.843%||2020|
|Corporate Facility||EUR 2,113||2,113||1,488||E+6.843%||2021|
|ANV/ACF Gross Debt||2,353||1,728|
|ANV/ACF Net Debt||2,221||1,596|
Altice Europe Pro Forma Net Leverage Reconciliation as of March 31, 2018
|Altice Europe Reconciliation to Swap Adjusted Debt||Actual||PF|
|Total Debenture and Loans from Financial Institutions||32,781||32,781|
|Value of Debenture and Loans from Financial Institutions in Foreign Currency converted at closing FX Rate||-26,585||-26,585|
|Value of Debenture and Loans from Financial Institutions in Foreign Currency converted at hedged Rate||26,582||26,582|
|Fair Value Adjustments||-4||-4|
|Total Swap Adjusted Value of Debenture and Loans from Financial Institutions||33,113||33,113|
|PF New Organization||-||-605|
|Gross Debt Consolidated||33,305||32,700|
|Altice Europe (Actual)||
|Gross Debt Consolidated||30,952||2,353||-||-||33,305|
|Net Debt Consolidated||30,147||2,221||-||-156||32,212|
Altice Europe (Pro Forma)
|Gross Debt Consolidated||30,972||1,728||-||-||32,700|
|Net Debt Consolidated||30,151||1,596||-279||-156||31,312|
|Altice Europe (Pro Forma)||
|Gross Debt Consolidated||16,362||8,379||6,231||-||30,972||1,728||-||-||32,700|
|Net Debt Consolidated||15,954||8,040||6,157||-||30,151||1,596||-279||-156||31,312|
|LTM EBITDA Consolidated||4,167||1,768||-5||-11||5,919||-||-232||-22||5,665|
Altice N.V. Non-GAAP Reconciliation to GAAP measures as of March 31, 2018 year to date 14
|For the three months ended|
|In million Euros||March 31, 2018|
|Purchasing and subcontracting costs||-1,116.6|
|Other operating expenses||-862.9|
|Staff costs and employee benefits||-367.3|
|Stock option expense||7.9|
|Depreciation, amortisation and impairment||-1,005.2|
|Stock option expense||-7.9|
|Other expenses and income||-106.1|
|Capital expenditure (accrued)||760.7|
|Capital expenditure - working capital items||60.9|
|Payments to acquire tangible and intangible assets||821.6|
|Operating free cash flow (OpFCF)||499.4|
Certain statements in this press release constitute forward-looking statements. These forward-looking statements include, but are not limited to, all statements other than statements of historical facts contained in this press release, including, without limitation, those regarding our intentions, beliefs or current expectations concerning, among other things: our future financial conditions and performance, results of operations and liquidity; our strategy, plans, objectives, prospects, growth, goals and targets; and future developments in the markets in which we participate or are seeking to participate. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms “believe”, “could”, “estimate”, “expect”, “forecast”, “intend”, “may”, “plan”, “project” or “will” or, in each case, their negative, or other variations or comparable terminology. Where, in any forward-looking statement, we express an expectation or belief as to future results or events, such expectation or belief is expressed in good faith and believed to have a reasonable basis, but there can be no assurance that the expectation or belief will be achieved or accomplished. To the extent that statements in this press release are not recitations of historical fact, such statements constitute forward-looking statements, which, by definition, involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements including risks referred to in our annual and quarterly reports.
1 All financials are shown under IFRS 15 accounting standard. Financials shown above are pro forma defined as results of the Altice N.V. Group New Perimeter ("Altice Europe") as if the planned spin-off of Altice USA had occurred on 1/1/17 and excluding the press titles within the AMG France business ("France - Media" segment) as if the disposals occurred on 1/1/17. Altice USA considered as third-party and not included in group eliminations from 1/1/18. Segments are shown on a pro forma standalone reporting basis, Group figures are shown on a pro forma consolidated basis. Financials include the contribution from Teads from Q3 2017 onwards. In addition, financials for Altice Europe exclude Altice N.V.’s international wholesale voice business (exclusivity for sale announced on March 12, 2018) and green.ch AG and Green Datacenter AG in Switzerland (following closing announced on February 12, 2018) from 1/1/17.
2 See reconciliation of non-GAAP performance measures to operating profit for the three months period ended on page 18 of this release.
3 FTTB and FTTH homes passed.
4 Requires approval of the general meeting.
5 Operating Free Cash Flow (“OpFCF”) defined as Adjusted EBITDA less capex.
6 Financials shown in this section are based on the new reporting perimeter for Altice Europe unless stated otherwise.
7 Delivering broadband speeds over 100Mbps.
8 FTTB and FTTH homes passed.
9 Excluding benefit of lower VAT for some press/TV bundles implemented in 2016; loss of benefit from March 2018 following VAT law change.
10 Other revenue includes SFR Media, FOT, support services and eliminations with the SFR Telecom business.
11 Excluding impact from one-off sale of receivables in Q1 2017 for €11.5m (€7.9m in B2C and €3.6m in B2B).
12 Pro-forma for new organization. Includes €625m of prepayment of the Altice Corporate Financing facility following €900m dividend from Altice USA, and €300m RCF drawn at SFR.
13 €1.6bn of revolvers available and €1.4bn of cash (pro-forma for new organization and €900m of dividend from Altice USA of which €275m will stay on balance sheet to fund the Altice TV silo and €625m is used to repay the Altice Corporate Financing facility). Cash includes €131m of restricted cash for debt financing obligations at Altice Corporate Financing.
14 The financial numbers disclosed in this reconciliation below are subject to review procedures of Altice N.V.’s external auditors. The difference in consolidated revenue and Adjusted EBITDA as reported for Altice N.V. in the Non-GAAP Reconciliation to GAAP measures as of March 31, 2018 year to date and the Pro Forma Financial Information for Altice Europe as disclosed in this Earnings Release is mainly due to pro forma adjustments to exclude the financial information related to the International Wholesale Voice business and I24.
Head of Investor Relations
Coralie Durbec: +41 79 913 0429
Head of Communications
Arthur Dreyfuss: +41 79 946 4931
Head of Investor Relations
Nick Brown: +41 79 720 1503
Head of Communications
Lisa Anselmo: +1 929 418 4362