Uniti Group Inc. (NASDAQ: UNIT) announced yesterday its results for the second quarter 2023. Consolidated revenues for the second quarter of 2023 were $283.7 million. Net income and Adjusted EBITDA were $25.6 million and $228.2 million, respectively, for the same period, achieving Adjusted EBITDA margins of approximately 80 percent. Net income attributable to common shares was $25.3 million for the period. Adjusted Funds From Operations attributable to common shareholders was $91.0 million, or $0.34 per diluted common share.
“We continue to see robust demand for our fiber infrastructure, highlighted by $0.75 million of consolidated bookings during the quarter, a 20 percent increase from the prior quarter. Our consolidated core recurring revenue also showed continued resiliency with 4 percent growth during the quarter when compared to the same quarter in the prior year,” commented President and Chief Executive Officer, Kenny Gunderman.
Uniti Fiber contributed $71.2 million of revenues and $25.2 million of Adjusted EBITDA for the second quarter of 2023. Revenue during the quarter was impacted by lower than expected non-recurring revenue related to equipment sales and installs and ETL fees. However, core recurring revenue grew approximately 5 percent during the quarter compared to the second quarter in the prior year. Uniti Fiber’s net success-based capital expenditures during the quarter were $31.2 million.
Uniti Leasing contributed revenues of $212.5 million and Adjusted EBITDA of $206.6 million for the second quarter. During the quarter, Uniti Leasing deployed capital expenditures of $96.3 million primarily related to the construction of approximately 1,600 new route miles of valuable fiber infrastructure.
“As the second largest independent fiber provider in the country with a network spanning 138,000 route miles,” Gunderman said, “Uniti is uniquely positioned to capitalize on all of the growing use cases of fiber, including mobile broadband, fixed wireless, fiber-to-the-home, small cells, fiber-to-the-tower, and hyperscaler connectivity. We see limited competitive threats to our infrastructure and a long runway of profitable growth.”
Reader Interactions