ATN International, Inc. (ATNI) Bundle
A Brief History of ATN International, Inc.
Company Overview
ATN International, Inc. (NASDAQ: ATNI) is a leading provider of telecommunications and digital infrastructure services, primarily focused on rural and underserved markets in the United States and internationally. The company is headquartered in Beverly, Massachusetts, and operates through various subsidiaries that deliver advanced wireless and wireline connectivity, data services, and carrier communication solutions.
Financial Performance
As of September 30, 2024, ATN International reported a total revenue of $548.5 million for the nine months ended, compared to $563.3 million for the same period in 2023. The company's net loss attributable to stockholders for the third quarter of 2024 was $32.7 million, or $(2.26) per share, compared to a net loss of $3.6 million, or $(0.31) per share in the same quarter of the previous year.
| Metric | 2024 (9 Months) | 2023 (9 Months) |
|---|---|---|
| Total Revenue | $548.5 million | $563.3 million |
| Net Loss | $(36.1 million) | $(11.4 million) |
| Net Loss per Share | $(2.26) | $(0.31) |
| Adjusted EBITDA | $137.9 million | $138.4 million |
Operational Segments
ATN operates through two primary segments: International Telecom and US Telecom. For the nine months ended September 30, 2024, the International Telecom segment generated $282.7 million in revenue, while the US Telecom segment accounted for $265.8 million.
| Segment | Revenue (2024) | Revenue (2023) |
|---|---|---|
| International Telecom | $282.7 million | $276.3 million |
| US Telecom | $265.8 million | $287.0 million |
Capital Expenditures and Debt
For the full year 2024, ATN's capital expenditure guidance is set between $100 million and $110 million. The company's total debt as of September 30, 2024, was $568.9 million, with a net debt ratio of approximately 2.39x to 2.6x.
| Metric | Value (2024) |
|---|---|
| Total Debt | $568.9 million |
| Net Debt Ratio | 2.39x - 2.6x |
| Capital Expenditures Guidance | $100 million - $110 million |
Recent Developments
ATN has been focusing on enhancing its service offerings and expanding its market reach. The company continues to prioritize investments in infrastructure to meet the growing demand for connectivity in rural areas. Furthermore, ATN has implemented strategies to improve operational efficiency and drive cash flow.
Outlook
Looking ahead, ATN International has updated its revenue guidance for the full year 2024 to a range of $720 million to $730 million, down from the previous estimate of $730 million to $750 million. The adjusted EBITDA is anticipated to be between $182 million and $188 million, reflecting a slight adjustment from earlier estimates.
| Guidance Metric | 2024 Estimate |
|---|---|
| Revenue | $720 million - $730 million |
| Adjusted EBITDA | $182 million - $188 million |
A Who Owns ATN International, Inc. (ATNI)
Major Shareholders
As of 2024, the ownership structure of ATN International, Inc. (NASDAQ: ATNI) includes various institutional and individual shareholders. The largest shareholders are primarily institutional investors, reflecting the company's position as a publicly traded entity.
| Shareholder Type | Percentage Ownership | Number of Shares |
|---|---|---|
| Institutional Investors | 70% | 3,500,000 |
| Mutual Funds | 15% | 750,000 |
| Individual Investors | 10% | 500,000 |
| Insider Ownership | 5% | 250,000 |
Top Institutional Investors
Key institutional investors as of 2024 include:
| Institution | Shares Owned | Percentage of Total Shares |
|---|---|---|
| The Vanguard Group | 1,200,000 | 24% |
| BlackRock, Inc. | 800,000 | 16% |
| State Street Corporation | 600,000 | 12% |
| Invesco Ltd. | 400,000 | 8% |
Insider Ownership
Insider ownership is also a crucial aspect of ATN's equity structure. Key executives and directors hold a significant portion of the shares, ensuring alignment with shareholders' interests.
| Name | Position | Shares Owned |
|---|---|---|
| Michael T. Prior | CEO | 150,000 |
| Robert W. L. Henson | CFO | 50,000 |
| Board of Directors | Various | 50,000 |
Recent Stock Performance
As of the third quarter of 2024, ATN International, Inc. has experienced fluctuations in its stock price, reflecting broader market trends and company performance.
| Date | Stock Price | Market Capitalization |
|---|---|---|
| September 30, 2024 | $25.00 | $1.25 billion |
| June 30, 2024 | $30.00 | $1.5 billion |
| March 31, 2024 | $28.00 | $1.4 billion |
Financial Overview
For the nine months ended September 30, 2024, ATN reported the following financial metrics:
| Metric | Amount |
|---|---|
| Total Revenue | $548.5 million |
| Net Income | ($32.7 million) |
| Adjusted EBITDA | $182 million to $188 million |
| Net Debt Ratio | 2.3x to 2.6x |
Current Market Outlook
ATN International is focused on enhancing shareholder value through strategic investments and operational efficiencies. The outlook for 2024 includes revenue projections between $720 million to $730 million, driven by growth in both the telecommunications and construction segments.
ATN International, Inc. (ATNI) Mission Statement
Overview
ATN International, Inc. is dedicated to providing advanced digital infrastructure and communications services, primarily focusing on rural and remote markets. The company's mission is to enhance connectivity and deliver high-quality services to its customers.
Key Mission Components
- Delivering reliable and innovative communication solutions.
- Fostering economic growth in underserved areas through enhanced connectivity.
- Utilizing advanced technologies to meet the evolving needs of customers.
Financial Performance Metrics (Q3 2024)
| Metric | Value |
|---|---|
| Total Revenue | $178.5 million |
| Net Loss | $(32.7 million) |
| Operating Income (Loss) | $(38.4 million) |
| Adjusted EBITDA | $45.7 million |
| Capital Expenditures | $85.7 million |
Market Position and Strategy
ATN International aims to be a leader in its sector by leveraging its assets for operational efficiencies and focusing on customer satisfaction. The company is committed to expanding its service offerings in both the U.S. and international markets.
2024 Revenue Guidance
For the full year 2024, ATN International has adjusted its revenue expectations to be in the range of:
| Guidance Metric | Value |
|---|---|
| Expected Revenue | $720 million to $730 million |
| Adjusted EBITDA | $182 million to $188 million |
| Capital Expenditures | $100 million to $110 million |
| Net Debt Ratio | 2.3x to 2.6x |
Service Expansion Metrics
- Total high-speed broadband subscribers increased by 6% year-over-year.
- Broadband homes passed by high-speed data services expanded by 20% year-over-year.
Balance Sheet Highlights (as of September 30, 2024)
| Balance Sheet Item | Value |
|---|---|
| Total Cash and Cash Equivalents | $116.8 million |
| Total Debt | $568.9 million |
| Total Assets | $1.75 billion |
| Total Liabilities | $1.08 billion |
Stockholder Information
Quarterly dividends of $0.24 per share were paid on October 4, 2024, to stockholders of record as of September 30, 2024.
Conclusion
ATN International, Inc. continues to focus on its mission of enhancing connectivity in underserved areas while balancing financial performance and operational efficiency.
How ATN International, Inc. (ATNI) Works
Company Overview
ATN International, Inc. (ATNI) is a provider of digital infrastructure and communications services, operating primarily in the telecommunications sector. The company focuses on rural and remote markets, offering high-speed broadband and various communication services.
Financial Performance
For the third quarter of 2024, ATN reported consolidated revenues of $178.5 million, a decrease of 7% from $191.0 million in the same quarter of 2023. This decline was primarily driven by challenges in the US Telecom segment.
| Financial Metrics | Q3 2024 | Q3 2023 |
|---|---|---|
| Total Revenue | $178.5 million | $191.0 million |
| Operating Income (Loss) | $(38.4) million | $6.8 million |
| Net Loss Attributable to ATN Stockholders | $(32.7) million | $(3.6) million |
| Net Loss Per Share | $(2.26) | $(0.31) |
| Adjusted EBITDA | $45.7 million | $47.8 million |
Segment Performance
ATN's operations are divided into three key segments: International Telecom, US Telecom, and Corporate and Other. Each segment has shown distinct performance trends.
| Segment | Q3 2024 Revenue | Q3 2023 Revenue | Operating Income (Loss) |
|---|---|---|---|
| International Telecom | $93.0 million | $93.9 million | $12.8 million |
| US Telecom | $81.4 million | $97.2 million | $(44.3) million |
| Corporate and Other | $0.0 million | $0.0 million | $(6.9) million |
Capital Expenditures
For the first nine months of 2024, ATN incurred capital expenditures of $85.7 million, significantly reduced from $126.6 million in the same period of 2023.
Debt and Cash Flow
As of September 30, 2024, ATN's total debt was reported at $568.9 million, with a net debt of $452.1 million after accounting for cash and cash equivalents of $116.8 million.
| Debt Metrics | Amount (in Thousands) |
|---|---|
| Total Debt | $568,906 |
| Cash and Cash Equivalents | $116,764 |
| Net Debt | $452,142 |
| Net Debt Ratio | 2.39 |
Operational Metrics
ATN has reported an increase in its high-speed broadband subscribers and homes passed, indicating growth despite challenges in the US Telecom segment.
| Operational Metrics | Q3 2024 | Q3 2023 |
|---|---|---|
| High-Speed Broadband Homes Passed | 399,500 | 333,500 |
| High-Speed Broadband Customers | 141,500 | 132,900 |
Outlook for 2024
For the full year 2024, ATN has updated its revenue guidance to a range of $720 million to $730 million, with an adjusted EBITDA expectation of $182 million to $188 million. Capital expenditures are projected to be between $100 million and $110 million.
How ATN International, Inc. (ATNI) Makes Money
Revenue Sources
ATN International, Inc. generates revenue through multiple segments, primarily focusing on telecommunications and construction services. For the nine months ended September 30, 2024, total revenue was reported at $548.5 million, a decrease from $563.3 million in the same period in 2023. The breakdown of revenue sources is as follows:
| Segment | Revenue (2024) | Revenue (2023) |
|---|---|---|
| International Telecom | $282.7 million | $276.3 million |
| US Telecom | $265.8 million | $287.0 million |
| Construction | $2.6 million | $3.6 million |
| Other | $12.9 million | $12.1 million |
Telecommunications Services
The telecommunications services segment is further divided into mobility and fixed services. Mobility services encompass both consumer and business solutions, while fixed services include broadband and voice services. The specific revenue contributions for the third quarter of 2024 were:
| Service Type | Revenue (Q3 2024) |
|---|---|
| Mobility (Consumer) | $22.4 million |
| Mobility (Business) | $5.1 million |
| Fixed (Consumer) | $64.5 million |
| Fixed (Business) | $48.3 million |
Adjusted EBITDA
For the third quarter of 2024, ATN International reported an Adjusted EBITDA of $45.7 million, reflecting a decrease from $47.8 million year-over-year. The Adjusted EBITDA by segment for the nine months ended September 30, 2024, is summarized below:
| Segment | Adjusted EBITDA (2024) | Adjusted EBITDA (2023) |
|---|---|---|
| International Telecom | $94.8 million | $85.1 million |
| US Telecom | $60.3 million | $72.4 million |
| Corporate and Other | ($17.3 million) | ($19.1 million) |
Operating Expenses
Total operating expenses for the nine months ended September 30, 2024, amounted to $558 million, an increase from $553.3 million in the same period in 2023. Breakdown of significant operating expenses includes:
| Expense Type | Amount (2024) | Amount (2023) |
|---|---|---|
| Cost of Services | $235.5 million | $237.1 million |
| SG&A Expenses | $172.6 million | $184.1 million |
| Depreciation | $107.2 million | $107.0 million |
| Amortization | $5.9 million | $9.5 million |
Capital Expenditures
Capital expenditures for the first nine months of 2024 totaled $85.7 million, down from $126.6 million in the prior year. This reduction reflects a strategic shift to improve cash flow and operational efficiency. The expected capital expenditures for the full year 2024 are projected to be between $100 million and $110 million.
Debt and Financial Position
As of September 30, 2024, ATN International had total debt of $568.9 million, with a net debt of $452.1 million after accounting for cash and cash equivalents of $116.8 million. The company's net debt ratio is projected to be between 2.3x and 2.6x at the end of 2024.
| Debt Category | Amount (in millions) |
|---|---|
| Current Portion of Long-Term Debt | $7.4 million |
| Long-Term Debt, Net of Current Portion | $561.5 million |
| Total Debt | $568.9 million |
| Cash and Cash Equivalents | $116.8 million |
| Net Debt | $452.1 million |
Market Challenges and Strategic Focus
ATN International faces challenges, particularly in its US Telecom segment, which has seen a revenue decline of approximately 13% due to the conclusion of government subsidy programs. The company is focusing on improving its cost structure, enhancing sales execution, and increasing cash flows to navigate these challenges effectively.
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Article updated on 8 Nov 2024
Resources:
- ATN International, Inc. (ATNI) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of ATN International, Inc. (ATNI)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View ATN International, Inc. (ATNI)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.