Trilogy International Partners Inc. Reports Fourth Quarter and Full Year 2019 Results

Trilogy International Partners Inc.


Trilogy International Partners Inc. Reports Fourth Quarter and Full Year 2019 Results

Tuesday, March 24, 2020 5:25 PM
  • New Zealand exceeded full year guidance for Service Revenues and Adjusted EBITDA; continues to drive scale and has surpassed Service Revenues and Adjusted EBITDA milestones of NZD$500 million and NZD$150 million, respectively.
  • Strong subscriber net additions continued in the fourth quarter across all customer groups in New Zealand, with broadband and postpaid net additions increasing by 49% and 22%, respectively, over the fourth quarter of last year.
  • Combined postpaid, prepaid, and wireline service revenues in New Zealand increased 7% over the fourth quarter of last year on an organic basis, which excludes the adverse impact of foreign currency exchange of $3.1 million, or 4% for the quarter, and new revenue standard adoption, which had an insignificant impact. These New Zealand subscriber revenues, as reported, increased 3% over the fourth quarter of last year.
  • New Zealand Adjusted EBITDA for 2019 increased $10.2 million, or 12% year-over-year on an organic basis, which excludes the benefit of the new revenue standard adoption of $9.9 million, or 10%, and offsetting foreign currency exchange headwinds of $4.3 million, or 5%. New Zealand Adjusted EBITDA, as reported, increased $15.9 million, or 18% year-over-year.
  • Bolivia service revenues decreased by 18% compared to the fourth quarter last year as operational and financial results were adversely impacted by competitive activity and customer behavior changes due to social unrest following the presidential election in October.

BELLEVUE, WA / ACCESSWIRE / March 24, 2020 / Trilogy International Partners Inc. ("TIP Inc." or the "Company") (TSX:TRL), an international wireless and fixed broadband telecommunications operator, today announced its unaudited financial and operating results for the fourth quarter of 2019.

"Our results in the fourth quarter and for the year met our expectations," said Brad Horwitz, President and CEO. "In New Zealand, we had a strong finish to a year of solid customer acquisition. In the fourth quarter, we reached our highest level of postpaid net additions since Q4 2016 and continued to expand our broadband base. Growth across all of our customer groups enabled us to exceed our service revenue guidance for 2019. Our subscriber revenue growth for the year, coupled with continued churn improvements and cost management, propelled our Adjusted EBITDA to exceed annual guidance for the second year in a row. We remain enthusiastic about this business and continue to see opportunities for growth."

"In Bolivia, social unrest following the October presidential elections depressed customer activations and usage in the fourth quarter, with stability in the country beginning to return in December. Despite the social unrest and competitive dynamics which have impacted our prepaid results, our postpaid customer base and revenues remained relatively resilient throughout 2019. In addition, at the end of the year, we had over 10,000 customers using our new Fixed LTE product, with an indicative annual revenue generating run-rate of approximately $2.0 million, as we diversify our business."

"The circumstances surrounding the global COVID-19 pandemic are a source of concern to us. Our first priority is the safety of our people and the reliability of our services. We have taken measures to secure both, and our business continuity plans are in place. Although we have not seen material impacts to date, we acknowledge that this is an evolving situation. As such, we are considering broader effects, including those economic in nature, which could impact our business."

Consolidated Financial Highlights

 
  Three Months Ended December 31,     Twelve Months Ended December 31,  
 
  (unaudited)           
(US dollars in millions unless otherwise noted)(1)
  2019     2018     % Chg     2019     2018     % Chg  
 
                                   
Total revenues
    166.1       207.0       (20 %)     693.9       798.2       (13 %)
 
                                               
Service revenues
    131.2       139.0       (6 %)     536.4       576.6       (7 %)
 
                                               
Net income (loss)
    38.4       (4.2 )     n/m       24.0       (31.7 )     176 %
 
                                               
Adjusted EBITDA(2)
    32.2       37.0       (13 %)     138.3       144.7