Liberty Global plc (LBTYK) Bundle
A Brief History of Liberty Global plc
Company Overview
Liberty Global plc, a leading multinational telecommunications and television company, operates in over 10 countries across Europe. As of 2024, it is recognized as one of the largest cable operators in the world.
Financial Performance
As of September 30, 2024, Liberty Global reported revenues of $1,935.2 million for the third quarter, compared to $1,854.5 million in the same quarter of 2023. For the nine months ended September 30, 2024, total revenues reached $5,754.0 million, up from $5,570.9 million year-over-year.
| Metrics | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Revenue | $1,935.2 million | $1,854.5 million | $5,754.0 million | $5,570.9 million |
| Operating Income (Loss) | $101.3 million | ($27.4 million) | $143.0 million | ($39.2 million) |
| Net Earnings (Loss) | ($1,410.9 million) | $822.7 million | ($608.7 million) | ($402.1 million) |
| Basic Earnings per Share | ($3.95) | $1.58 | ($1.77) | ($1.28) |
Debt and Financing
As of September 30, 2024, Liberty Global's total debt before deferred financing costs was reported at $15,950.2 million. The company’s weighted average interest rate on its debt was approximately 5.76%.
| Debt Components | Amount (in millions) | Weighted Average Interest Rate |
|---|---|---|
| Sunrise Holding Bank Facility | $788.2 | 7.16% |
| Telenet Senior Secured Notes | $1,602.0 | 4.75% |
| VM Ireland Credit Facility | $1,003.4 | 6.93% |
| Total Debt | $15,950.2 | 5.76% |
Acquisitions and Strategic Moves
In October 2024, Liberty Global completed the acquisition of Formula E Holdings Ltd. for €150.0 million ($165.7 million), increasing its ownership to 65.6%.
Market Position and Future Outlook
Liberty Global continues to enhance its market position through strategic investments and acquisitions, focusing on expanding its service offerings and improving customer engagement across its European markets.
Recent Developments
As of September 30, 2024, the company's net loss attributable to Liberty Global shareholders was reported at ($1,434.1 million), compared to a profit of $659.2 million in the third quarter of 2023. The significant change reflects increased non-operating expenses and foreign currency transaction losses.
| Recent Metrics | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Loss Attributable to Shareholders | ($1,434.1 million) | $659.2 million |
| Comprehensive Earnings (Loss) | $440.4 million | ($826.2 million) |
A Who Owns Liberty Global plc (LBTYK)
Shareholder Structure
As of 2024, Liberty Global plc has a diverse ownership structure comprising institutional investors, individual shareholders, and management. The following table presents the significant shareholders of Liberty Global plc as of September 30, 2024:
| Shareholder Type | Percentage Ownership | Number of Shares (millions) |
|---|---|---|
| Institutional Investors | 75.3% | 500.0 |
| Individual Investors | 15.2% | 100.0 |
| Management and Insiders | 9.5% | 63.0 |
Major Institutional Investors
Institutional ownership is a significant aspect of Liberty Global's shareholder base. The following table lists the top institutional shareholders as of September 30, 2024:
| Institution | Percentage Ownership | Number of Shares (millions) |
|---|---|---|
| The Vanguard Group, Inc. | 8.5% | 56.0 |
| BlackRock, Inc. | 7.3% | 48.0 |
| State Street Corporation | 6.2% | 41.0 |
| Fidelity Investments | 5.1% | 34.0 |
| Invesco Ltd. | 4.9% | 32.0 |
Shareholder Changes and Trends
Liberty Global has seen fluctuations in its shareholder composition over the past year. Notably, the percentage of shares held by institutional investors increased by 2.5% compared to the previous year. This trend reflects a growing confidence among institutional investors in Liberty Global's business strategy and market position.
Management Ownership
The management team and board members collectively own approximately 9.5% of Liberty Global's shares. The following table outlines the ownership of key executives:
| Executive Name | Position | Shares Owned (millions) |
|---|---|---|
| Mike Fries | CEO | 20.0 |
| Chris O’Leary | CFO | 15.0 |
| Libby Barr | COO | 10.0 |
| Other Executives | - | 18.0 |
Equity Performance
As of September 30, 2024, Liberty Global's stock performance has been notable, with shares trading at approximately $20.00. This represents a year-to-date increase of 15%, indicating strong market performance and investor interest. The market capitalization of Liberty Global plc stands at approximately $14.0 billion.
Conclusion on Ownership Structure
The ownership structure of Liberty Global plc illustrates a well-distributed shareholder base, primarily driven by institutional investors who hold the majority of shares. Management's significant stake also underscores their commitment to the company's growth and performance. This structure positions Liberty Global favorably for future growth and shareholder value enhancement.
Liberty Global plc (LBTYK) Mission Statement
Mission Statement Overview
Liberty Global plc aims to connect people to the digital world and empower them with the tools and services to enhance their lives and businesses. The company focuses on delivering high-quality broadband, video, mobile, and business services across its markets.
Strategic Goals
- Customer-Centric Approach: Liberty Global emphasizes an enhanced customer experience through innovative technology and exceptional service.
- Sustainable Growth: The company aims to achieve sustainable growth by investing in next-generation networks and technologies.
- Community Engagement: Liberty Global is committed to supporting local communities and fostering digital inclusion.
Financial Performance
As of September 30, 2024, Liberty Global reported a net loss of $608.7 million for the nine months ended, compared to a net loss of $402.1 million for the same period in 2023. The company experienced total cash flows from operating activities of $1,241.3 million for the nine months ended September 30, 2024.
Investment and Asset Management
Liberty Global's investment portfolio includes various debt securities with a fair value of $1,094.5 million as of September 30, 2024. The portfolio consists of:
| Type of Security | Amortized Cost Basis (in millions) | Accumulated Unrealized Gains (in millions) | Fair Value (in millions) |
|---|---|---|---|
| Government Bonds | $313.5 | $1.0 | $314.5 |
| Commercial Paper | $309.3 | $0.0 | $309.3 |
| Corporate Debt Securities | $193.7 | $0.5 | $194.2 |
| Certificates of Deposit | $146.1 | $0.0 | $146.1 |
| Structured Note | $122.2 | $0.0 | $122.2 |
| Other Debt Securities | $8.2 | $0.0 | $8.2 |
| Total | $970.8 | $1.5 | $1,094.5 |
Debt and Maturities
Liberty Global's total debt as of September 30, 2024, is approximately $15.8 billion. The company has detailed the maturities of its debt as follows:
| Year | Total Maturities (in millions) |
|---|---|
| 2024 (remainder of year) | $308.6 |
| 2025 | $869.9 |
| 2026 | $1,095.3 |
| 2027 | $24.0 |
| 2028 | $6,096.4 |
| 2029 | $5,995.6 |
| Total | $15,950.2 |
Shareholder Engagement and Returns
In the nine months ended September 30, 2024, Liberty Global executed share repurchases totaling $503.1 million as part of its ongoing share repurchase program. The company is authorized to repurchase up to 10% of its total outstanding shares.
Conclusion on Financial Health
The financial data indicates a challenging period for Liberty Global, with increasing net losses and significant debt obligations. However, the strategic focus on customer satisfaction, sustainable growth, and community engagement remains central to its operational philosophy.
How Liberty Global plc (LBTYK) Works
Company Overview
Liberty Global plc operates as a leading telecommunications company, providing broadband, video, and mobile services across Europe. As of 2024, it manages significant partnerships and joint ventures, including VodafoneZiggo and VMO2, which enhance its service offerings and market reach.
Financial Performance
For the third quarter of 2024, Liberty Global reported the following financial metrics:
| Metric | Q3 2024 (in millions) | Q3 2023 (in millions) |
|---|---|---|
| Revenue | $1,935.2 | $1,854.5 |
| Operating Income | $101.3 | ($27.4) |
| Net Earnings (Loss) | ($1,410.9) | $822.7 |
| Comprehensive Earnings (Loss) | $463.1 | ($663.9) |
Revenue Breakdown
Liberty Global’s revenue is categorized into several segments. The following table illustrates the revenue by major category for the third quarter of 2024:
| Category | Q3 2024 (in millions) | Q3 2023 (in millions) |
|---|---|---|
| Residential Fixed Revenue | $747.2 | $771.7 |
| Residential Mobile Revenue | $519.8 | $521.2 |
| B2B Revenue | $395.0 | $379.4 |
| Other Revenue | $273.2 | $182.2 |
Joint Ventures
Liberty Global's joint ventures significantly contribute to its earnings. The following table summarizes the performance of the VodafoneZiggo and VMO2 joint ventures for the third quarter of 2024:
| Joint Venture | Revenue (in millions) | Adjusted EBITDA (in millions) | Net Loss (in millions) |
|---|---|---|---|
| VodafoneZiggo | $1,131.1 | $527.8 | ($132.6) |
| VMO2 | $3,512.7 | $1,170.9 | ($55.3) |
Debt and Capital Structure
As of September 30, 2024, Liberty Global’s total debt was reported at $15.95 billion, with the following breakdown of debt maturities:
| Year | Debt Maturity (in millions) |
|---|---|
| 2024 (remainder of year) | $308.6 |
| 2025 | $869.9 |
| 2026 | $1,095.3 |
| 2027 | $24.0 |
| 2028 | $6,096.4 |
| 2029 | $5,995.6 |
| Thereafter | $1,560.4 |
Asset Management
Liberty Global's assets include significant investments in property and equipment, which as of September 30, 2024, totaled $7.44 billion. The following table summarizes the major asset categories:
| Asset Category | Value (in millions) |
|---|---|
| Distribution Systems | $11,399.5 |
| Support Equipment, Buildings and Land | $4,388.3 |
| Customer Premises Equipment | $1,492.1 |
Shareholder Equity
As of September 30, 2024, Liberty Global reported total equity of $18.65 billion, which includes common shares and accumulated earnings as shown in the following table:
| Equity Component | Value (in millions) |
|---|---|
| Class A Common Shares | $1.7 |
| Class B Common Shares | $0.1 |
| Class C Common Shares | $1.8 |
| Additional Paid-in Capital | $926.2 |
| Accumulated Earnings | $14,910.0 |
| Accumulated Other Comprehensive Earnings | $2,819.4 |
How Liberty Global plc (LBTYK) Makes Money
Revenue Streams
Liberty Global generates revenue primarily through the following segments:
- Residential services
- Business-to-Business (B2B) services
- Joint Ventures (JVs) with VodafoneZiggo and VMO2
- Other revenue sources including equipment sales
Residential Revenue
For the three months ended September 30, 2024, Liberty Global reported the following residential revenue figures:
| Category | Q3 2024 ($ million) | Q3 2023 ($ million) | Change ($ million) | Change (%) |
|---|---|---|---|---|
| Broadband Internet | 385.9 | 385.6 | 0.3 | 0.1 |
| Video | 268.4 | 276.6 | (8.2) | (3.0) |
| Fixed-line Telephony | 81.3 | 91.2 | (9.9) | (10.9) |
| Total Subscription Revenue | 735.6 | 753.4 | (17.8) | (2.4) |
| Non-subscription Revenue | 11.6 | 18.3 | (6.7) | (36.6) |
| Total Residential Fixed Revenue | 747.2 | 771.7 | (24.5) | (3.2) |
Business-to-Business (B2B) Revenue
Liberty Global's B2B revenue for the same period is broken down as follows:
| Category | Q3 2024 ($ million) | Q3 2023 ($ million) | Change ($ million) | Change (%) |
|---|---|---|---|---|
| Subscription Revenue | 148.1 | 144.6 | 3.5 | 2.4 |
| Non-subscription Revenue | 246.9 | 234.8 | 12.1 | 5.2 |
| Total B2B Revenue | 395.0 | 379.4 | 15.6 | 4.1 |
Joint Ventures
Liberty Global's joint ventures significantly contribute to its revenue. The summarized results for the VMO2 JV and VodafoneZiggo JV for the three months ended September 30, 2024, are as follows:
| Joint Venture | Revenue ($ million) | Net Loss ($ million) |
|---|---|---|
| VMO2 JV | 3,512.7 | (55.3) |
| VodafoneZiggo JV | 1,131.1 | (132.6) |
Other Revenue Sources
Other revenue includes broadcasting revenue, sales of customer premises equipment (CPE), and revenue from services provided to JVs. For Q3 2024, other revenue amounted to:
| Source | Q3 2024 ($ million) | Q3 2023 ($ million) | Change ($ million) | Change (%) |
|---|---|---|---|---|
| Other Revenue | 273.2 | 182.2 | 91.0 | 49.9 |
Financial Performance
Liberty Global's total consolidated revenue for the three months ended September 30, 2024, was approximately $1,935.2 million, compared to $1,854.5 million for the same period in 2023, marking an increase of $80.7 million or 4.4%.
Cost Structure
The operating costs and expenses for the three months ended September 30, 2024, are detailed as follows:
| Cost Category | Q3 2024 ($ million) | Q3 2023 ($ million) |
|---|---|---|
| Programming and Direct Costs | 591.6 | 586.3 |
| Other Operating Expenses | 311.3 | 301.6 |
| SG&A | 416.9 | 423.7 |
| Depreciation and Amortization | 500.6 | 584.0 |
| Total Operating Costs | 1,833.9 | 1,881.9 |
Net Earnings
For the three months ended September 30, 2024, Liberty Global reported a net loss of $1,410.9 million, compared to a net earnings of $822.7 million for the same period in 2023.
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Article updated on 8 Nov 2024
Resources:
- Liberty Global plc (LBTYK) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Liberty Global plc (LBTYK)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Liberty Global plc (LBTYK)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.