Liberty Latin America Ltd (LILA) 2022 Q4 法說會逐字稿

Good morning, ladies and gentlemen, and thank you for standing by. Today's call is being recorded.

早上好，女士們，先生們，感謝你們的支持。今天的通話正在錄音中。

And I'll now turn the call over to Aamir Hussain, Chief Technology and Product Officer of Liberty Latin America.

我現在將電話轉給 Liberty Latin America 的首席技術和產品官 Aamir Hussain。

Good morning, and welcome to Liberty Latin America's Full Year 2022 Investor Call. (Operator Instructions) Today's formal presentation materials can be found under the Investor Relations section of Liberty Latin America's website at www.lla.com. Following today's formal presentation, instructions will be given for a question-and-answer session. As a reminder, this call is being recorded.

早上好，歡迎來到 Liberty Latin America 的 2022 年全年投資者電話會議。 （操作員說明）今天的正式演示材料可以在 Liberty Latin America 網站 www.lla.com 的投資者關係部分找到。在今天的正式演講之後，將進行問答環節的說明。提醒一下，此通話正在錄音中。

Today's remarks may include forward-looking statements, including the company's expectations with respect to its outlook and future growth prospects and other information and statements that are not historical facts. Actual results may differ materially from those expressed or implied by these statements. For more information, please refer to the risk factor discussed in Liberty Latin America's most recently filed annual report on Form 10-K along with the associated press release. Liberty Latin America disclaims any obligation to update any forward-looking statements or information to reflect any change in its expectations or in conditions on which such statement or information is based.

今天的言論可能包含前瞻性陳述，包括公司對其前景和未來增長前景的預期以及其他不屬於歷史事實的信息和陳述。實際結果可能與這些陳述明示或暗示的結果存在重大差異。有關更多信息，請參閱 Liberty Latin America 最近提交的 10-K 表格年度報告中討論的風險因素以及相關新聞稿。 Liberty Latin America 不承擔任何更新任何前瞻性陳述或信息的義務，以反映其預期或此類陳述或信息所依據的條件的任何變化。

In addition, on this call, we will refer to certain non-GAAP financial measures, which are reconciled to the most comparable GAAP financial measures, which can be found in the appendices to this presentation, which is accessible under the Investors' section of our website.

此外，在這次電話會議上，我們將參考某些非 GAAP 財務指標，這些指標與最可比的 GAAP 財務指標相一致，可以在本演示文稿的附錄中找到，可以在我們的投資者部分訪問網站。

I would now like to turn the call over to our CEO, Mr. Balan Nair.

我現在想把電話轉給我們的首席執行官 Balan Nair 先生。

Thank you, Aamir, and welcome, everybody to Liberty Latin America's Full Year Results Presentation. I'll begin with our group highlights and an overview of our operating results by reporting segment. Chris Noyes, our CFO, will then follow with a review of the company's financial performance. After that, we will get straight to your questions. As always, I'm joined by my executive team from across the region, and I will invite them to contribute as needed during the Q&A following our prepared remarks. As a point of housekeeping, we will both be working from slides, which you can find on our website at www.lla.com.

謝謝 Aamir，歡迎大家參加 Liberty Latin America 的全年業績發布會。我將從我們的集團亮點和報告部門的經營業績概述開始。我們的首席財務官 Chris Noyes 隨後將審查公司的財務業績。之後，我們將直接回答您的問題。與往常一樣，來自該地區的我的執行團隊也加入了我的行列，我將邀請他們在我們準備好的發言後的問答環節中根據需要做出貢獻。作為一項內務管理，我們都將使用幻燈片進行工作，您可以在我們的網站 www.lla.com 上找到這些幻燈片。

Starting on Slide 4 and our highlights for the year. The group reported revenues of $4.8 billion in 2022. Without VTR, which was still consolidated until the end of Q3, our revenue would have been $4.4 billion and up by 3% on a rebased basis, driven by top line growth across all reporting segments particularly our Liberty Costa Rica, C&W Networks and Lat Am and our C&W Caribbean businesses. We continued our operating momentum, adding 445,000 broadband and mobile postpaid subscribers in the year. We delivered Internet RGU growth across our segments with the largest contributions from Puerto Rico, where we added 36,000 subscribers despite some sales disruption from Hurricane Fiona. In mobile postpaid, we had a record year adding 344,000 subscribers. This was more than double our 2021 results, again, with growth across all of our operations.

從幻燈片 4 和我們今年的亮點開始。該集團報告 2022 年的收入為 48 億美元。如果沒有 VTR（直到第三季度末仍在合併），我們的收入將達到 44 億美元，在重新設定基礎上增長 3%，這主要是受到所有報告部門的收入增長的推動，尤其是我們的 Liberty Costa Rica、C&W Networks 和 Lat Am 以及我們的 C&W Caribbean 業務。我們延續了我們的經營勢頭，在這一年增加了 445,000 名寬帶和移動後付費用戶。我們在各個細分市場實現了互聯網 RGU 增長，波多黎各的貢獻最大，儘管颶風菲奧娜導致銷售中斷，但我們在波多黎各增加了 36,000 名訂戶。在移動後付費方面，我們創紀錄地增加了 344,000 名用戶。這再次是我們 2021 年業績的兩倍多，我們所有業務都實現了增長。

Our principal financial guidance metric for 2022 was adjusted free cash flow, and we broadly met our target of approximately $200 million as we delivered $189 million in the year. Notably, we had a record Q4 generating $210 million in that quarter. We made significant progress with our inorganic strategy in the year as we acquired Claro Panama and finalize our 50-50 joint venture in Chile with America Movil. We are focused on completing our integrations of acquisitions we have made over the past years, and this will drive significant value for stakeholders. Finally, we accelerated our buyback activity in the year, repurchasing $170 million of stock. Since we began the program in 2020, our buyback has exceeded $240 million, and we continue to hold the view that the most compelling capital returns are in our own company.

我們 2022 年的主要財務指導指標是調整後的自由現金流，我們在這一年交付了 1.89 億美元，大致實現了約 2 億美元的目標。值得注意的是，我們在第四季度創造了創紀錄的 2.1 億美元收入。今年，我們收購了 Claro Panama，並與 America Movil 完成了在智利的 50-50 合資企業，我們的無機戰略取得了重大進展。我們專注於完成對過去幾年收購的整合，這將為利益相關者帶來巨大的價值。最後，我們在這一年加快了回購活動，回購了 1.7 億美元的股票。自 2020 年啟動該計劃以來，我們的回購已超過 2.4 億美元，我們仍然認為，最具吸引力的資本回報來自我們自己的公司。

Turning to Slide 5. I'll start our operating review with C&W Caribbean. On the left of the slide, we present our Internet and mobile postpaid additions throughout the year. Internet adds had a slow start in the first quarter, but momentum has been building, particularly in Jamaica, which is our largest market in this segment. Growth has been driven by continued network investments, and in 2022, we upgraded or added [over] 100,000 homes in Cable & Wireless's Caribbean markets. In mobile, we delivered record postpaid additions of 74,000 subscribers in 2022, 84% higher than in the prior year. We continue to be focused on growing our postpaid base with a key driver being increased penetration of FMC products. In Jamaica, we more than doubled FMC penetration in our fixed customer base during the year.

轉到幻燈片 5。我將開始對 C&W Caribbean 進行運營審查。在幻燈片的左側，我們展示了全年增加的互聯網和移動後付費服務。互聯網增長在第一季度起步緩慢，但勢頭一直在增強，尤其是在我們在該細分市場中最大的市場牙買加。持續的網絡投資推動了增長，到 2022 年，我們在 Cable & Wireless 的加勒比市場升級或增加了 [超過] 100,000 套住宅。在移動領域，我們在 2022 年實現了創紀錄的後付費用戶增加 74,000 人，比上年增長 84%。我們繼續專注於發展我們的後付費基礎，其中一個關鍵驅動因素是提高 FMC 產品的滲透率。在牙買加，我們在這一年中將固定客戶群中的 FMC 滲透率提高了一倍以上。

Moving to the center of the slide and our revenue by product. The pie chart here depicts the well-diversified nature of C&W's Caribbean revenue with B2B and consumer fixed being the largest element followed by consumer mobile. Importantly, we saw healthy growth across each of these products in the year, contributing to C&W Caribbean's 4% overall revenue growth on a rebased basis.

移動到幻燈片的中心和我們的產品收入。此處的餅圖描繪了 C&W 加勒比地區收入的多元化性質，其中 B2B 和消費者固定是最大的元素，其次是消費者移動。重要的是，我們在這一年中看到了每一種產品的健康增長，為 C&W Caribbean 在重新設定基礎上的總收入增長 4% 做出了貢獻。

Finally, to the right of the slide. As we look ahead to 2023, we are focused on continuing our operating momentum through network upgrades and expansion investments, higher FMC penetration and opportunities in segments such as small, medium businesses.

最後，在幻燈片的右側。展望 2023 年，我們專注於通過網絡升級和擴張投資、更高的 FMC 滲透率和中小型企業等細分市場的機會來保持我們的運營勢頭。

Moving to Slide 6 and our C&W Panama segment, starting on the left of the slide. We added our highest-ever number of Internet RGUs in Panama during the year as we drove penetration across our footprint. We have made significant investments in our network, and this should provide a platform for continued growth. At the end of 2022, 96% of our footprint was high speed, either HFC or fiber-to-the-home compared to 76% at the end of 2020. Our overall footprint has grown by 20% over the last 2 years. In mobile, we recorded record postpaid additions of 70,000 in 2022, driven by a strong first half performance. In line with our group strategy, we continue to be focused on growing our postpaid base with a driver, again, being increased penetration of our FMC products, which was 4 percentage points higher year-over-year.

轉到幻燈片 6 和我們的 C&W 巴拿馬部分，從幻燈片左側開始。年內，我們在巴拿馬增加了有史以來數量最多的互聯網 RGU，因為我們推動了對我們足蹟的滲透。我們對我們的網絡進行了大量投資，這應該為持續增長提供一個平台。到 2022 年底，我們 96% 的足跡是高速的，無論是 HFC 還是光纖到戶，而 2020 年底這一比例為 76%。在過去兩年中，我們的整體足跡增長了 20%。在移動領域，在上半年強勁表現的推動下，我們在 2022 年錄得創紀錄的後付費增加 70,000。根據我們的集團戰略，我們繼續專注於發展我們的後付費基礎，其驅動因素再次是提高我們 FMC 產品的滲透率，同比增長 4 個百分點。

Moving to the center of the slide and our revenue by product. In Panama, our largest products by revenue are mobile and B2B. Consumer fixed is the smallest of the 3, but our fastest-growing area with 8% revenue expansion in 2022.

移動到幻燈片的中心和我們的產品收入。在巴拿馬，我們收入最大的產品是移動和 B2B。消費者固定是 3 個中最小的一個，但卻是我們增長最快的領域，到 2022 年收入將增長 8%。

Finally, to our 2023 priorities and integration updates on the right of the slide. In addition to continuing our organic consumer momentum, we are focused on integrating the Claro Panama operations. Total run rate synergies from the acquisition including CapEx benefits of approximately $15 million are approximately $70 million. As of last month, we are now able to combine our sales channels, stores and brand. We are finalizing our organizational and commercial structure, and we are consolidating infrastructure and benefiting from associated savings.

最後，幻燈片右側的 2023 年優先事項和整合更新。除了繼續我們的有機消費動力外，我們還專注於整合 Claro Panama 業務。包括約 1500 萬美元的資本支出收益在內，此次收購產生的總運行率協同效應約為 7000 萬美元。從上個月開始，我們現在能夠合併我們的銷售渠道、商店和品牌。我們正在最終確定我們的組織和商業結構，我們正在整合基礎設施並從相關的節省中受益。

Next to Slide 7 and Liberty Puerto Rico, our largest single market. Starting on the left of the slide, our Internet base grew steadily through the year, delivering 36,000 RGU adds. We continue to invest to expand our network with fiber-to-the-home, utilizing FCC allocated funds to make our infrastructure more resilient. In mobile, Puerto Rico was another market where we recorded record postpaid adds in the year, adding 85,000 subscribers. We continue to maintain very low levels of churn at around 1% a month for our postpaid base helped by the quality of our network and FMC offerings.

毗鄰 Slide 7 和 Liberty Puerto Rico，這是我們最大的單一市場。從幻燈片左側開始，我們的互聯網基礎在這一年中穩步增長，增加了 36,000 個 RGU。我們繼續投資以通過光纖到戶擴展我們的網絡，利用 FCC 分配的資金使我們的基礎設施更具彈性。在移動領域，波多黎各是我們在這一年創下後付費用戶增長紀錄的另一個市場，新增了 85,000 名用戶。由於我們的網絡和 FMC 產品的質量，我們的後付費基礎繼續保持非常低的流失率，每月 1% 左右。

Moving to the center of the slide. Consumer mobile is our largest product in Puerto Rico with just under 50% share. This is followed by our fixed business, representing 1/3 of the total and B2B at 15%. Internet RGU adds drove fixed revenue growth. However, mobile was slightly lower year-over-year as postpaid subscriber growth was offset by ARPU and prepaid subscriber declines as well as the impact of increased subsidies in 2022.

移動到幻燈片的中心。移動消費品是我們在波多黎各最大的產品，佔有率不到 50%。其次是我們的固定業務，佔總數的 1/3，B2B 佔 15%。互聯網 RGU 增加了固定收入增長。然而，由於後付費用戶增長被 ARPU 和預付費用戶下降以及 2022 年補貼增加的影響所抵消，移動業務同比略有下降。

Finally, to our 2023 priorities and integration updates on the right of the slide. In addition to stabilizing our mobile performance and continuing to grow our consumer fixed business, our 2023 focus is on completing the integration of AT&T's operations in Puerto Rico. Total run rate synergies from the combination are expected to be approximately $70 million by 2024. We completed a key milestone by setting up and engaging our mobile core at the end of last year. Our focus is now deployment of the IT stack and migrating customers into our platforms, thereby replacing services currently provided by AT&T under our TSA. Consistent with our acquisition plan, we aim to complete the integration by the end of this year.

最後，幻燈片右側的 2023 年優先事項和整合更新。除了穩定我們的移動性能並繼續發展我們的消費者固定業務外，我們 2023 年的重點是完成 AT&T 在波多黎各的業務整合。到 2024 年，合併後的總運營率協同效應預計將達到約 7000 萬美元。我們在去年年底建立並參與了我們的移動核心業務，從而完成了一個重要的里程碑。我們現在的重點是部署 IT 堆棧並將客戶遷移到我們的平台，從而取代目前由 AT&T 根據我們的 TSA 提供的服務。根據我們的收購計劃，我們的目標是在今年年底前完成整合。

Turning to Slide 8 and Liberty Costa Rica, starting on the left of the slide. Our Internet base grew through the year, delivering 25,000 data RGU adds. We continue to invest in our network, adding or upgrading 50,000 homes in 2022, a 15% increase year-over-year. Liberty Costa Rica generated the highest postpaid mobile adds across LLA with 115,000 net new subscribers.

轉到幻燈片 8 和 Liberty Costa Rica，從幻燈片左側開始。我們的 Internet 基礎在這一年中不斷增長，增加了 25,000 個數據 RGU。我們繼續投資我們的網絡，到 2022 年增加或升級 50,000 套住宅，同比增長 15%。 Liberty Costa Rica 擁有 115,000 名淨新用戶，在整個 LLA 中產生了最高的後付費移動用戶。

Moving to the center of the slide. Consumer mobile is our largest product with close to 60% share of revenue This is followed by our consumer fixed business, representing just under 1/3 and then a small but fast-growing B2B operation. We generated growth across all segments with particularly strong in B2B and mobile.

移動到幻燈片的中心。消費者移動是我們最大的產品，佔收入的近 60% 其次是我們的消費者固定業務，佔不到 1/3，然後是規模雖小但增長迅速的 B2B 業務。我們在所有細分市場都實現了增長，尤其是 B2B 和移動領域。

Finally, to our 2023 priorities and the integration updates on the right of the slide. In addition to our strong operating and financial performance in 2022, we also successfully completed the rebranding of our operations. As with Panama and Puerto Rico, in addition to executing against ongoing commercial objectives, we are focused on integration activities in Costa Rica. Total run rate synergies from the acquisition are approximately $15 million. Similar to Puerto Rico, we are now deploying systems so that we can migrate fully to our own platforms and exit our TSA.

最後，我們的 2023 年優先事項和幻燈片右側的集成更新。除了 2022 年強勁的運營和財務業績外，我們還成功完成了業務品牌重塑。與巴拿馬和波多黎各一樣，除了執行持續的商業目標外，我們還專注於哥斯達黎加的整合活動。此次收購產生的總運行率協同效應約為 1500 萬美元。與波多黎各類似，我們現在正在部署系統，以便我們可以完全遷移到我們自己的平台並退出我們的 TSA。

Next to Slide 9, in our C&W Networks and Lat Am segment. Starting with Networks on the left-hand side. We've consistently grown this business since inception over 20 years ago, driven by significant increases in capacity demanded by customers as the chart highlights for the last couple of years. Set against it, the pricing of capacity typically dropped each year, driven by the declining cost of delivering increased bandwidth. The dynamic of increased demand, quantity, offset by declining prices has consistently yielded a net growth in the low single digits year-over-year with a 6% revenue increase in 2022. A combination of our available capacity, unique network topology, low latency and mesh architecture, which enables router resilient and the ability to provide end-to-end solutions differentiates our proposition in this area. Looking to 2023, continued growth should be supported by increasing broadband penetration across our markets.

在幻燈片 9 旁邊，在我們的 C&W Networks 和 Lat Am 部分。從左側的網絡開始。自 20 多年前成立以來，我們一直在不斷發展這項業務，這是由於過去幾年圖表突出顯示的客戶需求顯著增加的推動力。與此相反，由於提供更多帶寬的成本下降，容量定價通常每年都在下降。需求和數量增加的動態被價格下降所抵消，一直保持著低個位數的同比淨增長，到 2022 年收入增長 6%。我們的可用容量、獨特的網絡拓撲、低延遲相結合和網狀架構，它使路由器具有彈性並能夠提供端到端解決方案，這使我們在該領域的主張與眾不同。展望 2023 年，我們市場中寬帶普及率的提高應該會支持持續增長。

In the center of the slide, you can see that subsea accounts for the majority of revenue with a 75% share. This drives a strong U.S. dollar rating in the Networks and Lat Am segments with over 80% of our revenue generated in U.S. dollars. Although a smaller slice, our Lat Am B2B business is 1 of our fastest-growing areas across the group with revenue 9% higher in 2022.

在幻燈片的中央，您可以看到海底業務以 75% 的份額佔據了大部分收入。這推動了網絡和拉丁美洲細分市場的強勁美元評級，我們超過 80% 的收入以美元產生。儘管所佔份額較小，但我們的拉丁美洲 B2B 業務是我們整個集團增長最快的領域之一，2022 年收入增長 9%。

On the right side of the slide, we provide some more color on this area. The chart here shows 2 different major product groups within our Lat Am B2B business. The largest element remains connectivity. However, the highest growth area is value-added and managed services, which include cloud-based solutions, Disaster Recovery-as-a-Service, Software-as-a-Service and others. We expect the value-added services area to continue its strong growth trajectory, representing a larger share of B2B revenue over time. We anticipate customers will look to increase the sophistication of the IT platforms and products and digital drive penetration of our offerings.

在幻燈片的右側，我們在此區域提供了更多顏色。此處的圖表顯示了我們拉丁美洲 B2B 業務中的 2 個不同的主要產品組。最大的元素仍然是連通性。然而，增長最快的領域是增值和託管服務，包括基於雲的解決方案、災難恢復即服務、軟件即服務等。我們預計增值服務領域將繼續保持強勁的增長軌跡，隨著時間的推移在 B2B 收入中佔據更大的份額。我們預計客戶會尋求提高 IT 平台和產品的複雜性以及我們產品的數字驅動滲透率。

Moving to Slide 10, and an overview of our infrastructure assets. On the left of the slide, you can see that across our consumer markets, 93% of our networks are capable of supporting very high speed through either hybrid fiber-coax or fiber-to-the-home. We have continued to build fiber and migrate our customers from copper to fiber technology. Over the past 4 years, our FTTH proportion has increased by 22 percentage points as we have expanded our footprint and upgraded our copper plant.

轉到幻燈片 10，概述我們的基礎設施資產。在幻燈片的左側，您可以看到在我們的消費市場中，93% 的網絡能夠通過混合光纖同軸電纜或光纖到戶支持非常高的速度。我們繼續構建光纖並將我們的客戶從銅線技術遷移到光纖技術。在過去 4 年中，隨著我們擴大足跡和升級我們的銅廠，我們的 FTTH 比例增加了 22 個百分點。

Upgrading our networks is a key focus for us, as you can see in the center of the slide. We are committed to getting all our networks to gigabit readiness, capable of delivering speeds of 1 gig and above. Having begun our journey with 7% of our network at this standard in 2018, we made great strides to reach over 2/3 of network readiness at the end of 2022. And by the end of 2024, we anticipate a nearly 30 percentage points further improvement where approximately 95% of our footprint will have achieved gig readiness through either fiber-to-the-home or DOCSIS 3.1 technology. We are also making our network much more resilient through investments in power resiliency, which is a key challenge in our markets.

正如您在幻燈片中央看到的那樣，升級我們的網絡是我們關注的重點。我們致力於讓我們所有的網絡做好千兆位準備，能夠提供 1 gig 及以上的速度。我們在 2018 年以 7% 的網絡開始了我們的旅程，並在 2022 年底實現了超過 2/3 的網絡準備就緒。到 2024 年底，我們預計將進一步提高近 30 個百分點通過光纖到戶或 DOCSIS 3.1 技術，大約 95% 的足跡將實現演出準備就緒。我們還通過對電源彈性的投資使我們的網絡更具彈性，這是我們市場中的一個關鍵挑戰。

Finally, on the right of the slide, we have LTE in all our markets and 5G in Puerto Rico and the U.S. Virgin Islands. We have already enabled 5G core in all markets. 5G build will follow over time as 5G handset penetration improves.

最後，在幻燈片的右側，我們在所有市場都有 LTE，在波多黎各和美屬維爾京群島有 5G。我們已經在所有市場啟用了 5G 核心網。隨著 5G 手機普及率的提高，5G 建設將隨著時間的推移而跟進。

Finally, to Slide 11 and our strategic focus areas as we look to 2023 and longer shareholder value creation. The priorities are split across 3 pillars, consistent with the priorities we identified a year ago. First, networks and IT. As mentioned, this will include expanding and upgrading our fixed networks through our [Giganet] initiative. In 2023, we are focused on wireless core transformation, integration activity as well as establishing new IT stacks to consolidate platforms and support our business operations.

最後，幻燈片 11 和我們展望 2023 年及更長時間的股東價值創造的戰略重點領域。優先事項分為 3 個支柱，與我們一年前確定的優先事項一致。第一，網絡和IT。如前所述，這將包括通過我們的 [Giganet] 計劃擴展和升級我們的固定網絡。 2023 年，我們將專注於無線核心轉型、整合活動以及建立新的 IT 堆棧，以整合平台並支持我們的業務運營。

Second, our commercial approach. We are focused on reducing churn. This is a material value driver for us commercially and a KPI for our management team. Product development includes delivering a great in-home Wi-Fi experience, eSIM, 5G, fintech and B2B products. This will improve service and reduce costs. Through a greater use of digital channels, we seek to improve our customer journey, reducing friction in buying our products, increasing efficiency of our search engine optimization, search engine marketing and social networks marketing in the future. This should increase sales and reduce channel costs for the future. Additionally, following the initial success noted earlier, we are pushing FMC hard in our markets, leveraging a key competitive edge that we have. That full-service capability should also enable us to expand our B2B penetration.

第二，我們的商業方法。我們專注於減少客戶流失。這是我們商業上的物質價值驅動因素，也是我們管理團隊的關鍵績效指標。產品開發包括提供出色的家庭 Wi-Fi 體驗、eSIM、5G、金融科技和 B2B 產品。這將改善服務並降低成本。通過更多地使用數字渠道，我們尋求改善我們的客戶旅程，減少購買我們產品時的摩擦，提高我們未來搜索引擎優化、搜索引擎營銷和社交網絡營銷的效率。這應該會增加銷售額並降低未來的渠道成本。此外，在前面提到的初步成功之後，我們正在我們的市場中大力推動 FMC，利用我們擁有的關鍵競爭優勢。這種全方位服務能力還應該使我們能夠擴大我們的 B2B 滲透率。

Third and finally, capital allocation. Integration progress and completion is our key focus this year. We have closed some very accretive transactions and need to complete their integration so that we can deliver significant synergies and optimize top line performance in turn driving adjusted OIBDA and adjusted free cash flow growth in the future.

第三，也是最後一點，資本配置。整合的進展和完成是我們今年的重點。我們已經完成了一些非常增值的交易，需要完成它們的整合，以便我們能夠提供顯著的協同效應並優化頂線績效，進而推動調整後的 OIBDA 和未來調整後的自由現金流增長。

We accelerated our share buyback in 2022 and continue to see this as a core part of capital allocation going forward. As at the end of the year, we had $57 million remaining for our last authorization through the end of 2024. We will obviously need to get reauthorization sometime this year.

我們在 2022 年加快了股票回購，並繼續將其視為未來資本配置的核心部分。截至年底，到 2024 年底，我們還有 5700 萬美元用於最後一次授權。顯然，我們將需要在今年某個時候獲得重新授權。

We will continue to consider inorganic opportunities. However, our focus this year is completing the integration projects as mentioned. Overall, we expect our strategy to drive mid to high single-digit adjusted OIBDA growth in 2023, which in turn supports our free cash flow guidance.

我們將繼續考慮無機機會。然而，我們今年的重點是完成上述整合項目。總體而言，我們預計我們的戰略將在 2023 年推動調整後的 OIBDA 實現中高個位數的增長，從而支持我們的自由現金流指引。

With that, I'll pass you over to Chris Noyes, our Chief Financial Officer, who will talk you through our financial performance before we take your questions. Chris?

有了這個，我會把你交給我們的首席財務官克里斯諾伊斯，他會在我們回答你的問題之前向你介紹我們的財務業績。克里斯？

Thanks, Balan.

謝謝，巴蘭。

I will focus on Q4 performance on this slide. Two items to note. First, we deconsolidated our Chilean business at the start of Q4; second, our Q4 results in Puerto Rico continued to be impacted by Hurricane Fiona. Q4 revenue totaled $1.16 billion, representing a reported decline of 9% from Q4 2021, which included $175 million of revenue associated with VTR. Excluding VTR, our revenue increased year-over-year by $55 million helped in part by the contribution from our Q3 acquisition of Claro Panama and modest rebased growth of 1%. On a full year basis, excluding VTR, revenue was up 8% on a reported basis and 3% on a rebased basis to $4.4 billion as each of our 5 operating segments grew year-over-year, especially our Costa Rica and C&W Networks and Lat Am businesses.

在這張幻燈片上，我將重點關注第四季度的表現。有兩點需要注意。首先，我們在第四季度初拆分了智利業務；其次，我們在波多黎各的第四季度業績繼續受到颶風菲奧娜的影響。第四季度收入總計 11.6 億美元，較 2021 年第四季度下降 9%，其中包括與 VTR 相關的 1.75 億美元收入。不包括 VTR，我們的收入同比增長 5500 萬美元，部分原因是我們第三季度收購 Claro Panama 的貢獻和 1% 的適度調整增長。在全年基礎上，不包括 VTR，由於我們的 5 個運營部門中的每一個都同比增長，特別是我們的哥斯達黎加和 C&W 網絡和拉丁美洲企業。

In terms of adjusted OIBDA, we delivered $405 million in Q4, which reflects a 13% reported decline. Excluding VTR, we experienced a modest decline of 1% on adjusted OIBDA on both a reported and rebased basis. Our Q4 rebased performance was adversely impacted by Hurricane Fiona by roughly $7 million. On a U.S. dollar basis, our adjusted OIBDA sequentially expanded in Q4 by over $20 million in Q3 levels, excluding VTR's results. For the full year, excluding VTR, adjusted OIBDA was flat on a rebased basis to $1.6 billion with C&W Caribbean and Costa Rica performing exceptionally well.

就調整後的 OIBDA 而言，我們在第四季度交付了 4.05 億美元，這反映出報告下降了 13%。不包括 VTR，我們在報告和重新調整的基礎上經歷了調整後的 OIBDA 1% 的溫和下降。我們的第四季度業績因颶風菲奧娜而受到大約 700 萬美元的不利影響。按美元計算，我們調整後的 OIBDA 在第四季度連續擴大了超過 2000 萬美元的第三季度水平，不包括 VTR 的結果。全年，不包括 VTR，調整後的 OIBDA 在重新設定基礎上持平至 16 億美元，其中 C&W Caribbean 和 Costa Rica 表現異常出色。

Our growth was adversely impacted by $26 million of integration expenses in 2022, reflecting a $10 million increase year-over-year and roughly $19 million of adverse impacts from Hurricane Fiona. For 2023, we expect to incur over $30 million of integration costs and more importantly, are targeting mid to high single-digit rebased adjusted OIBDA growth for LLA, of which growth will be significantly weighted to H2.

我們的增長受到 2022 年 2600 萬美元的整合費用的不利影響，反映出同比增加 1000 萬美元，颶風菲奧娜的不利影響約為 1900 萬美元。到 2023 年，我們預計將產生超過 3000 萬美元的整合成本，更重要的是，我們的目標是 LLA 的調整後調整後 OIBDA 增長達到中高個位數，其中增長將顯著集中於下半年。

Slide 14 recaps our revenue and adjusted OIBDA results by current segment for Q4 and the full year. Beginning on the left with C&W Caribbean. We reported $367 million of revenue in Q4, reflecting 3% rebased growth and $138 million of adjusted OIBDA or 10% rebased growth. In the quarter, our residential mobile and B2B businesses delivered mid-single-digit rebased growth on the back of volume increases. Our double-digit rebased adjusted OIBDA growth in Q4 was led by the Bahamas, Cayman and the Dutch Caribbean. Similar to prior quarters, the business experienced a 250-basis point increase in adjusted OIBDA margin as the higher year-over-year revenue was matched with holding both direct and indirect costs relatively flat which we feel is a very good result given inflationary pressures.

幻燈片 14 回顧了我們第四季度和全年的收入和調整後的 OIBDA 結果。從左邊的 C&W Caribbean 開始。我們報告第四季度的收入為 3.67 億美元，反映了 3% 的重新調整增長和 1.38 億美元的調整後 OIBDA 或 10% 的重新調整增長。在本季度，我們的住宅移動和 B2B 業務在銷量增長的支持下實現了中個位數的重新增長。我們在第四季度的兩位數調整後 OIBDA 增長由巴哈馬群島、開曼群島和荷屬加勒比地區引領。與前幾個季度類似，該業務的調整後 OIBDA 利潤率增長了 250 個基點，因為較高的同比收入與保持直接和間接成本相對持平相匹配，考慮到通脹壓力，我們認為這是一個非常好的結果。

Moving to Cable & Wireless Panama, Q4 revenue and adjusted OIBDA were the highest totals of the year with $201 million and $57 million, respectively. Revenue declined 3% on a rebased basis year-over-year, principally as a result of a 7% rebased decrease in B2B as the prior year period, including a large amount of project-related revenue. Adjusted OIBDA declined 10% in the quarter, largely as a result of the drop in revenue combined with higher bad debt expense, including the cost of factoring in certain receivables. Importantly, our adjusted OIBDA stepped up by $11 million in Q4 from Q3. Entering 2023, we can now legally integrate the CWP and Claro Panama customer-facing operations. And as a result, we expect to significantly expand adjusted OIBDA even with integration costs expected to run in excess of $10 million.

轉到 Cable & Wireless Panama，第四季度的收入和調整後的 OIBDA 分別達到 2.01 億美元和 5700 萬美元，是今年最高的。經調整後的收入同比下降 3%，這主要是由於 B2B 與上年同期相比下降了 7%，其中包括大量與項目相關的收入。本季度調整後的 OIBDA 下降了 10%，這主要是由於收入下降以及壞賬費用增加，包括某些應收賬款的保理成本。重要的是，我們調整後的 OIBDA 在第四季度比第三季度增加了 1100 萬美元。進入 2023 年，我們現在可以合法整合 CWP 和 Claro Panama 面向客戶的業務。因此，我們預計即使整合成本預計超過 1000 萬美元，也會大幅擴大調整後的 OIBDA。

Turning to the middle column, C&W Networks and Latin America, which is the third operating segment of our Cable & Wireless credit pool. Had a strong Q4 with $124 million in revenue and $80 million in adjusted OIBDA. Our rebased revenue growth rate of 14% was due to higher revenue associated with the significant subsea network customer that is recognized on a cash basis, increased affiliate revenue and growth in B2B service-related connectivity and managed services. This revenue growth contributed to our 13% rebased growth in adjusted OIBDA.

轉到中間欄，C&W Networks 和拉丁美洲，這是我們 Cable & Wireless 信用池的第三個運營部門。第四季度表現強勁，收入為 1.24 億美元，調整後的 OIBDA 為 8000 萬美元。我們調整後的收入增長率為 14%，這是由於與以現金為基礎確認的重要海底網絡客戶相關的收入增加、附屬公司收入增加以及 B2B 服務相關連接和託管服務的增長。這種收入增長導致我們調整後的 OIBDA 增長了 13%。

Second from the right, Liberty Puerto Rico. Our revenue in Q4 was $374 million, reflecting flat year-over-year rebased growth, and a modest increase from Q3 of $7 million. On a rebased basis, residential fixed revenue growth was driven by approximately 40,000 RGU additions during the year, partly offset by the negative impact of Hurricane Fiona. Residential mobile revenue was broadly flat compared to the prior year period as higher handset sales were offset by lower ARPU and a decline in prepaid mobile subscribers. Adjusted OIBDA was $120 million in Q4, resulting in a rebased decline of 11%. Several factors contributed to this year-over-year decline, including $7 million in revenue credits and costs associated with Hurricane Fiona, increased facility and maintenance costs and the adverse gross margin impact of robust handset sales in the quarter as compared to last year.

右數第二個，自由波多黎各。我們在第四季度的收入為 3.74 億美元，反映出經過調整後的同比持平增長，與第三季度的 700 萬美元相比略有增長。在重新調整的基礎上，住宅固定收入增長受到年內約 40,000 RGU 增加的推動，部分被颶風菲奧娜的負面影響所抵消。住宅移動收入與去年同期相比基本持平，這是因為手機銷量的增加被較低的 ARPU 和預付費移動用戶的減少所抵消。第四季度調整後的 OIBDA 為 1.2 億美元，導致重新基準下降 11%。有幾個因素導致了這一同比下降，包括 700 萬美元的收入抵免和與颶風菲奧娜相關的成本、增加的設施和維護成本以及與去年同期相比強勁的手機銷售對毛利率的不利影響。

Wrapping up with Costa Rica on the far right, we generated Q4 revenue of $117 million and $36 million of adjusted OIBDA, reflecting strong rebased revenue growth of 3% and an LLA segment leading 17% rebased adjusted OIBDA growth. Revenue is driven to a large extent by increases in residential mobile and broadband subscribers. Adjusted OIBDA rebased growth was not only helped by the revenue contribution, but tight cost management and a favorable FX in the second half of the year. With our 2022 subscriber additions and a combination of lower integration expenses and higher synergies, we are poised for strong growth in 2023.

與最右邊的哥斯達黎加結束，我們產生了 1.17 億美元的第四季度收入和 3600 萬美元的調整後 OIBDA，反映了 3% 的強勁調整後收入增長和 LLA 部分領先 17% 調整後的調整後 OIBDA 增長。收入在很大程度上是由住宅移動和寬帶用戶的增加推動的。調整後的 OIBDA 增長不僅得益於收入貢獻，還得益於今年下半年嚴格的成本管理和有利的外匯。憑藉我們 2022 年用戶的增加以及較低的整合費用和更高的協同效應，我們有望在 2023 年實現強勁增長。

Turning to Slide 15, I will discuss 2022 P&E additions and adjusted FCF and our 2023 outlook. First, we incurred $225 million of P&E additions in Q4 and $816 million for the full year, with the latter representing 17% of revenue, a little better than our 2022 guidance. Without VTR, our total full year spend would have dropped to $709 million or 16% of revenue of which over $40 million was related to acquisition integration and Hurricane Fiona. On this basis, we are targeting approximately 16% of revenue for P&E additions at LLA in 2023, including integration spend of more than $30 million. This overall quantum of spend for 2023 enables us to continue investing on our networks to drive gigabit readiness, progress in the elimination of residual copper and deliver on our integrations.

轉到幻燈片 15，我將討論 2022 年 P&E 增加和調整後的 FCF 以及我們的 2023 年展望。首先，我們在第四季度增加了 2.25 億美元的 P&E，全年增加了 8.16 億美元，後者佔收入的 17%，略好於我們 2022 年的指導。如果沒有 VTR，我們的全年總支出將下降到 7.09 億美元或收入的 16%，其中超過 4000 萬美元與收購整合和颶風菲奧娜有關。在此基礎上，我們的目標是 2023 年 LLA 的 P&E 增加收入的約 16%，包括超過 3000 萬美元的整合支出。 2023 年的這一總體支出使我們能夠繼續投資於我們的網絡，以推動千兆準備就緒、在消除殘餘銅線方面取得進展並實現我們的集成。

With respect to adjusted free cash flow, we had a great Q4 delivering $210 million in the quarter and bringing our full year result to nearly $190 million. For 2023, we are targeting to deliver $300 million of adjusted free cash flow before partner distributions, which compares to $190 million for 2022 on the same basis. We foresee having very attractive capital deployment opportunities in 2023, including with respect to our own equity, hence, we'll look to more aggressively upstream cash out of non-wholly owned entities this year and going forward. We estimate that third-party distributions could total up to $100 million this year.

關於調整後的自由現金流，我們在第四季度表現出色，交付了 2.1 億美元，使我們的全年業績達到近 1.9 億美元。 2023 年，我們的目標是在合作夥伴分配之前提供 3 億美元的調整後自由現金流，而 2022 年在同一基礎上為 1.9 億美元。我們預計 2023 年將有非常有吸引力的資本配置機會，包括我們自己的股權，因此，我們將在今年和未來更積極地從非全資實體中提取上游現金。我們估計今年第三方發行總額可能高達 1 億美元。

Moving to Slide 16. At December 31, 2022, and adjusting for the 2023 January Costa Rica financing, we had $8 billion of total debt, approximately $800 million of cash and $1 billion of availability under our revolving credit lines. At LLA, gross leverage was 5.1x and net leverage was 4.6x.

轉到幻燈片 16。截至 2022 年 12 月 31 日，並根據 2023 年 1 月的哥斯達黎加融資進行調整，我們的循環信貸額度下有 80 億美元的總債務、約 8 億美元的現金和 10 億美元的可用資金。在 LLA，總槓桿率為 5.1 倍，淨槓桿率為 4.6 倍。

Post quarter end, in January of 2023, we refinanced our 2024 bank debt maturities in Costa Rica, with new $450 million 8-year debt from both the Inter-American Development Bank and institutional investors via a sustainability-linked bond, which is the largest [issuance] of its kind in Central America. It was the first single B rated issuance from the Lat Am corporate to come to market since March 2022 and a milestone transaction for the Costa Rican corporate market. As a result of this transaction, we have further improved our maturity schedule with only about 5% of our debt due before 2027.

季度結束後，即 2023 年 1 月，我們為哥斯達黎加 2024 年到期的銀行債務再融資，美洲開發銀行和機構投資者通過可持續發展相關債券發行了 4.5 億美元的 8 年期新債，這是最大的[發行]在中美洲獨樹一幟。這是這家拉丁美洲企業自 2022 年 3 月以來首次上市的單一 B 級債券，也是哥斯達黎加企業市場的里程碑式交易。由於此次交易，我們進一步改進了到期時間表，只有約 5% 的債務在 2027 年之前到期。

Our key next maturity over the coming 4 years is our $400 million convertible bond, which is due in July 2024. And we currently have ample liquidity to address this debt maturity. Overall, with minimal near-term maturities, we can look to be opportunistic and wait for improving market conditions before addressing debt due in 2027 and beyond. Further, the long-dated maturity wall provides us with significant financial flexibility in the meantime to allocate capital to higher-yielding activities.

我們未來 4 年的下一個關鍵到期期限是我們的 4 億美元可轉換債券，該債券將於 2024 年 7 月到期。我們目前有充足的流動性來解決這一債務到期問題。總體而言，由於近期到期的債務很少，我們可以採取機會主義態度，等待市場狀況改善，然後再解決 2027 年及以後到期的債務問題。此外，長期期限壁壘為我們提供了顯著的財務靈活性，同時可以將資本分配給更高收益的活動。

In terms of our stock repurchase activity, we bought nearly $170 million in 2022, bringing our total to $243 million since the program's inception. Our 2022 amount was about 90% of our consolidated 2022 adjusted free cash flow. Under our current authorization, we have $57 million remaining through December 31, 2024. As Balan mentioned, we would expect to use this amount in 2023, and we'll look to our Board for additional authorization during the year. In summary, we made steady progress with respect to our longer-term strategy in 2022 and completed the inorganic transactions in Panama on Chile.

就我們的股票回購活動而言，我們在 2022 年購買了近 1.7 億美元，使我們自該計劃啟動以來的總額達到 2.43 億美元。我們 2022 年的金額約為 2022 年合併調整後自由現金流量的 90%。根據我們目前的授權，到 2024 年 12 月 31 日，我們還有 5700 萬美元。正如 Balan 提到的，我們預計將在 2023 年使用這筆款項，我們將在年內尋求董事會的額外授權。總而言之，我們在 2022 年的長期戰略方面取得了穩步進展，並在智利完成了巴拿馬的無機交易。

Looking forward, 2023 is geared towards operational execution as we begin to see the benefits from our network, digital platform and product investments as well as centralization efforts. Additionally, a big part of our story in 2023 will involve the integrations in Puerto Rico, Costa Rica and Panama. Successful implementation will set the stage for significant cash flow acceleration into 2024. We remain disciplined around our CapEx spend even as we invest in our fixed network, both in terms of fiber-to-the-home expansion and shutting down our residual copper plant, expanding mobile capacity throughout our markets and advancing our integration efforts. Capital allocation will remain a key focus as we seek to drive shareholder return and given global market conditions likely to see us dedicate more spend to internal investments, including our stock. And finally, we have set the bar high for ourselves in 2023. We are pursuing mid to high single-digit rebased adjusted OIBDA growth, P&E additions of approximately 16% of revenue and adjusted free cash flow before distributions to partners of approximately $300 million.

展望未來，隨著我們開始看到我們的網絡、數字平台和產品投資以及集中化努力帶來的好處，2023 年將著眼於運營執行。此外，我們在 2023 年的故事的很大一部分將涉及波多黎各、哥斯達黎加和巴拿馬的整合。成功實施將為到 2024 年顯著加速現金流奠定基礎。即使在我們投資固定網絡的同時，我們仍然嚴格控制資本支出支出，包括光纖到戶擴展和關閉剩餘銅廠，擴大我們整個市場的移動能力並推進我們的整合工作。資本配置仍將是一個關鍵焦點，因為我們尋求推動股東回報，並且鑑於全球市場狀況可能會看到我們將更多支出用於內部投資，包括我們的股票。最後，我們在 2023 年為自己設定了高標準。我們正在追求中高個位數的調整後 OIBDA 增長、P&E 增加約 16% 的收入以及調整後的自由現金流，然後分配給合作夥伴約 3 億美元。

With that, operator, please open the line for questions.

有了這個，接線員，請打開問題線路。

(Operator Instructions) The first question we have from the phone lines comes from Soomit Datta of New Street Research.

（操作員說明）我們從電話線收到的第一個問題來自 New Street Research 的 Soomit Datta。

A couple of questions, please. One, just on the free cash flow outlook for 2023. You talked a little bit around where synergies are going. I just wondered -- do you have a number for full year '23 to what that synergy capture will be within the $300 million? And then secondly, please, just on the minority dividends, which is an interesting one, obviously, very limited payout last year. It looks like a bit of a catch-up payment this year. What is the best way to think about that number going forward, please?

請問幾個問題。第一，關於 2023 年的自由現金流前景。你談到了協同效應的發展方向。我只是想知道——你是否有 23 年全年的數字，說明協同效應將在 3 億美元內達到多少？其次，請只談少數股息，這是一個有趣的股息，很明顯，去年的支出非常有限。看起來有點像今年的補繳。請問，考慮這個數字的最佳方式是什麼？

Soomit. Okay. Let me take your questions. I'll start with the dividend first and I'll get back to the free cash flow. On the dividends, last year, we did the acquisition in Panama. So we did not -- we spent most of the cash there on that transaction, the Claro acquisition. And then certainly, in the Bahamas, what we did was -- sometimes we hold the cash in the business, especially when we think with natural disasters, hurricanes, et cetera, we have issued dividends in the Bahamas prior, and I think what Chris was indicating in his comments was that we are working with our partners this year to determine if we need to issue dividends this year, and I suspect we will. And from where we stand, of course, when we upstream all that cash, the capital allocation needs in our business to be significant. So we feel really good about the cash going towards buybacks as an example.

好吧。好的。讓我回答你的問題。我會先從股息開始，然後再回到自由現金流。在股息方面，去年，我們在巴拿馬進行了收購。所以我們沒有——我們把大部分現金花在那筆交易上，即收購 Claro。然後當然，在巴哈馬，我們所做的是 - 有時我們在業務中持有現金，特別是當我們考慮自然災害、颶風等時，我們之前在巴哈馬發行了股息，我認為克里斯他在評論中表示，我們今年正在與我們的合作夥伴合作，以確定我們今年是否需要發行股息，我想我們會的。當然，從我們的立場來看，當我們上游所有現金時，我們業務中的資本配置需要很重要。因此，我們對用於回購的現金感到非常滿意。

On the free cash flow side, we're not breaking out the synergies, but I can tell you this, most of our synergies are going to kick in, in '24. So you'll see this year's FCF, of course, have synergies in that, but the bulk of our synergies dropped in '24 and beyond. So clearly, you can see even further expansion next year.

在自由現金流方面，我們並沒有打破協同效應，但我可以告訴你，我們的大部分協同效應將在 24 年開始發揮作用。所以你會看到今年的 FCF 當然在這方面有協同作用，但我們的大部分協同作用在 24 世紀及以後都下降了。很明顯，明年你可以看到進一步的擴張。

I would add, Soomit, your question around what maybe is more of a normalized bid. I think there is -- we are sitting on some cash balances in both Panama and Bahamas. So I think it's rightfully good to assume that there is a little bit of a catch-up. I think as you look out until '24 and beyond, it will really be a factor of the free cash flow generation in each of those businesses both of which we think we can continue to grow the cash flow, particularly in Panama with the synergies kicking in, in '23 going into '24.

我想補充一下，Soomit，你的問題是什麼可能更像是一個標準化的出價。我認為 - 我們在巴拿馬和巴哈馬都有一些現金餘額。所以我認為假設有一點追趕是正確的。我認為，當你展望到 24 年及以後，這確實將成為這些業務中產生自由現金流的一個因素，我們認為我們可以繼續增加現金流，特別是在巴拿馬，協同效應正在發揮作用在，23 年進入 24 年。

That's right.

這是正確的。

(Operator Instructions)

（操作員說明）

I think, operator, if we don't have any more further questions, I think our presentation this morning was self-evident. So we give maybe 20 seconds, and then we'll call it a wrap.

我想，接線員，如果我們沒有更多問題，我認為我們今天上午的介紹是不言而喻的。所以我們大概給了 20 秒的時間，然後我們就結束了。

(Operator Instructions)

（操作員說明）

Okay. Well, operator, thank you. And to everybody on the call, I want to thank you all for your support. Clearly, we are quite excited about 2023 with the guidance that Chris just gave. I think the management team feels really good about our region, feels really good about the businesses that we operate, and feels really good as well on our ability to execute this year. So we do thank you for your support, and we look forward to talking to you again in the next quarter. Thank you, everybody.

好的。好的，接線員，謝謝。對於通話中的每個人，我要感謝大家的支持。顯然，在克里斯剛剛給出的指導下，我們對 2023 年感到非常興奮。我認為管理團隊對我們的地區感覺非常好，對我們經營的業務感覺非常好，對我們今年的執行能力也感覺非常好。因此，我們非常感謝您的支持，我們期待在下個季度再次與您交談。謝謝大家。

Thank you, all. Ladies and gentlemen, this concludes Liberty Latin America's Full Year 2022 Investor Call. As a reminder, a replay of the call will be available to the Investor Relations section of Liberty Latin America's website at www.lla.com. There, you can also find a copy of today's presentation materials.

謝謝你們。女士們，先生們，Liberty Latin America 的 2022 年全年投資者電話會議到此結束。提醒一下，Liberty Latin America 網站 www.lla.com 的投資者關係部分將提供電話重播。在那裡，您還可以找到一份今天的演示材料。