EBITDA (operating loss before depreciation, amortization and non-cash
stock charges) increased by 12.2% to $43.7 million from the $39.0 million recorded in the second quarter of 2000. For the six months ended June 30,
2001, the Company reported revenues of $183.4 million, an increase of 14.6% from the $160.0 million recorded in the corresponding period of 2000. EBITDA increased by 14.6% to $85.9 million for the six months ended June 30, 2001
from the $75.0 million recorded in the corresponding period of 2000.
The Company’s actual results for the three and six months ended June 30,
2001 include the results of several acquisitions completed subsequent
to the second quarter of 2000, but do not include any of the recently
completed AT&T acquisitions except for the AT&T Missouri systems.
The acquisition of the AT&T Missouri systems closed on June 29, 2001
and operating results of these systems are included only from the date
of their acquisition. The pro forma results noted below assume the
acquisitions completed during 2000 were completed on January 1, 2000
and exclude the results of all of the AT&T acquisitions.
For the second quarter of 2001, pro forma revenues, system cash flow
and EBITDA increased by 7.4%, 8.7% and 8.0%, respectively, over the pro
forma results for the second quarter of 2000. For the six months ended
June 30, 2001, pro forma revenues, system cash flow and EBITDA increased
by 8.1%, 9.6% and 9.3%, respectively, over the corresponding period in
2000. At June 30, 2001, excluding the AT&T Missouri systems, the
Company served 774,000 basic subscribers, representing a year-over-year
pro forma growth rate of 0.4%. At the end of the second quarter of 2001,
excluding the AT&T Missouri systems, the Company served 66,000 digital
cable customers and 21,000 data customers, compared to 53,000 and 19,000
customers, respectively, at the end of the first quarter of 2001.
Rocco B. Commisso, Mediacom’s Chairman and CEO, said, We are pleased
to report solid results in the second quarter, notwithstanding
inordinate distractions as our entire management team devoted
substantial resources to the successful completion and financing of
the landmark AT&T acquisition. As well, and as noted in past
disclosures, our revenues were unfavorably impacted this quarter by
the marketing constraints imposed on our data business as we completed
the transition of essentially all our cable modem customers from the
ISP Channel to the @Home high-speed Internet service.
Mr. Commisso continued, With the AT&T acquisitions, Mediacom has
undergone a complete transformation. We have more than doubled our
customer base, significantly improved the demographic and technical
profile of Mediacom, and dramatically enhanced our penetration of
advanced broadband services. We are confident that our extensive
preparation the past several months will enable us to successfully
integrate the AT&T systems in record time. Our management team is
squarely focused on executing our operating and capital plans,
increasing revenues and operating cash flow in the second half of
2001 and generating superior returns for all of our investors.
For the six months ended June 30, 2001, capital expenditures were
$108.5 million, in line with prior full year 2001 guidance of $180
million to $200 million. At June 30, 2001, excluding the AT&T
Missouri systems, Mediacom’s digital cable service was available to
530,000 digital-ready basic subscribers, and the Company offered cable
modem service in cable systems with 505,000 data-ready homes marketed.
As previously announced, the Company delayed launching in new markets
and marketing in existing systems its high-speed Internet service as
it transitioned its third-party Internet service provider from ISP
Channel to @Home. The Company has completed this transition and is
already experiencing an acceleration in its high-speed data customer
additions.
SOURCE: COMPANY PRESS RELEASE
