CHICAGO, Aug. 1, 2019 /PRNewswire/ --
As previously announced, TDS will hold a teleconference
August 2, 2019, at 9:00 a.m.
CDT. Listen to the call live via the Events &
Presentations page of investors.tdsinc.com.
Telephone and Data Systems, Inc. (NYSE:TDS) reported total
operating revenues of $1,261 million
for the second quarter of 2019, versus $1,255 million for the same period one year ago.
Net income attributable to TDS shareholders and related diluted
earnings per share were $33 million
and $0.28, respectively, for the
second quarter of 2019 compared to $33
million and $0.29,
respectively, in the same period one year ago.
"The TDS family of companies produced solid financial results
for the second quarter of 2019 and made significant progress toward
achieving their long-term strategic goals," said LeRoy T. Carlson, Jr., TDS President and CEO.
"U.S. Cellular grew service revenues and Adjusted EBITDA, while
sustaining high customer loyalty, and it continued making
enhancements to its high-performing network. TDS Telecom expanded
its broadband customer base, increased profitability and continued
implementing its fiber deployment strategy.
"U.S. Cellular grew service revenues through an increase in
average revenue per user, driven by growing interest of customers
in its Total Plans, and through higher inbound roaming revenues.
Customer satisfaction remained high throughout the quarter and
drove very low postpaid handset churn rates. U.S. Cellular is
moving steadily forward on its 5G deployment and network
modernization initiatives. In the recent FCC millimeter wave
auctions, U.S. Cellular successfully acquired new licenses
providing access to high frequency spectrum over its footprint,
that are needed to deliver exciting, new very high speed
capabilities using 5G to our current and future customers.
"TDS Telecom generated both top line and bottom line growth,
reporting a 60 percent increase in Net income and a 9 percent
increase in Adjusted EBITDA, compared to the same quarter last
year. Both Wireline and Cable segments reported increased
broadband connections and higher revenue per connection. In
Wireline, increasing video connections and customer demand for
higher broadband speeds continue to offset legacy voice
declines. Wireline continued fiber expansion growth even
deeper into its markets while expanding its fiber footprint in
attractive out-of-territory markets in Wisconsin and Idaho. Cable operations produced an
outstanding quarter, generating 9 percent growth in cable revenues
which drove a 29 percent increase in Adjusted EBITDA, compared to
the same quarter last year."
2019 Estimated Results
TDS' current estimates of full-year 2019 results for U.S.
Cellular, TDS Telecom, and TDS are shown below. Such
estimates represent management's view as of August 1, 2019 and
should not be assumed to be current as of any future date.
TDS undertakes no duty to update such estimates, whether as a
result of new information, future events, or otherwise. There
can be no assurance that final results will not differ materially
from estimated results.
|
2019 Estimated
Results
|
|
U.S.
Cellular
|
|
TDS
Telecom
|
|
TDS (1)
|
|
Previous
|
Current
|
|
Previous
|
Current
|
|
Previous
|
Current
|
(Dollars in
millions)
|
|
|
|
|
|
|
|
|
Total operating
revenues
|
$4,000-$4,200
|
$3,900-$4,100*
|
|
$900-$950
|
Unchanged
|
|
$5,125-$5,375
|
$5,025-$5,275*
|
Adjusted OIBDA
(2)
|
$725-$875
|
Unchanged
|
|
$280-$310
|
Unchanged
|
|
$1,000-$1,180
|
Unchanged
|
Adjusted EBITDA
(2)
|
$900-$1,050
|
Unchanged
|
|
$290-$320
|
Unchanged
|
|
$1,185-$1,365
|
Unchanged
|
Capital
expenditures
|
$625-$725
|
Unchanged
|
|
$300-$350
|
Unchanged
|
|
$940-$1,090
|
Unchanged
|
|
|
*
|
Change represents
lower equipment sales revenues.
|
The following tables provide reconciliations of Net income to
Adjusted OIBDA and Adjusted EBITDA for 2019 estimated results,
actual results for the six months ended June 30, 2019, and
actual results for the year ended December 31, 2018. In
providing 2019 estimated results, TDS has not completed the below
reconciliation to Net income because it does not provide guidance
for income taxes. Although potentially significant, TDS
believes that the impact of income taxes cannot be reasonably
predicted; therefore, TDS is unable to provide such guidance.
|
2019 Estimated
Results
|
|
U.S.
Cellular
|
|
TDS
Telecom
|
|
TDS (1)
|
(Dollars in
millions)
|
|
|
|
|
|
Net income
(GAAP)
|
N/A
|
|
N/A
|
|
N/A
|
Add back:
|
|
|
|
|
|
Income tax expense
(benefit)
|
N/A
|
|
N/A
|
|
N/A
|
Income before
income taxes (GAAP)
|
$70-$220
|
|
$85-$115
|
|
$60-$240
|
Add back:
|
|
|
|
|
|
Interest
expense
|
115
|
|
—
|
|
175
|
Depreciation,
amortization and accretion expense
|
700
|
|
205
|
|
935
|
EBITDA (Non-GAAP)
(2)
|
$885-$1,035
|
|
$290-$320
|
|
$1,170-$1,350
|
Add back or
deduct:
|
|
|
|
|
|
(Gain) loss on asset
disposals, net
|
15
|
|
—
|
|
15
|
Adjusted EBITDA
(Non-GAAP) (2)
|
$900-$1,050
|
|
$290-$320
|
|
$1,185-$1,365
|
Deduct:
|
|
|
|
|
|
Equity in earnings of
unconsolidated entities
|
155
|
|
—
|
|
155
|
Interest and dividend
income
|
20
|
|
10
|
|
30
|
Adjusted OIBDA
(Non-GAAP) (2)
|
$725-$875
|
|
$280-$310
|
|
$1,000-$1,180
|
|
Actual
Results
|
|
Six Months
Ended
June 30, 2019
|
|
Year Ended
December 31, 2018
|
|
U.S.
Cellular
|
|
TDS
Telecom
|
|
TDS (1)
|
|
U.S.
Cellular
|
|
TDS
Telecom
|
|
TDS (1)
|
(Dollars in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(GAAP)
|
$
|
90
|
|
|
$
|
56
|
|
|
$
|
109
|
|
|
$
|
164
|
|
|
$
|
89
|
|
|
$
|
175
|
|
Add back or
deduct:
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
expense
|
41
|
|
|
18
|
|
|
50
|
|
|
51
|
|
|
16
|
|
|
46
|
|
Income before
income taxes (GAAP)
|
$
|
131
|
|
|
$
|
74
|
|
|
$
|
159
|
|
|
$
|
215
|
|
|
$
|
105
|
|
|
$
|
221
|
|
Add back:
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
58
|
|
|
(1)
|
|
|
86
|
|
|
116
|
|
|
(2)
|
|
|
172
|
|
Depreciation,
amortization and accretion expense
|
345
|
|
|
100
|
|
|
460
|
|
|
640
|
|
|
212
|
|
|
883
|
|
EBITDA (Non-GAAP)
(2)
|
$
|
534
|
|
|
$
|
173
|
|
|
$
|
705
|
|
|
$
|
971
|
|
|
$
|
315
|
|
|
$
|
1,276
|
|
Add back or
deduct:
|
|
|
|
|
|
|
|
|
|
|
|
(Gain) loss on asset
disposals, net
|
7
|
|
|
(8)
|
|
|
—
|
|
|
10
|
|
|
(2)
|
|
|
9
|
|
(Gain) loss on sale
of business and other exit costs, net
|
(2)
|
|
|
—
|
|
|
(2)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
(Gain) loss on
license sales and exchanges, net
|
(2)
|
|
|
—
|
|
|
(2)
|
|
|
(18)
|
|
|
—
|
|
|
(18)
|
|
Adjusted EBITDA
(Non-GAAP) (2)
|
$
|
537
|
|
|
$
|
165
|
|
|
$
|
701
|
|
|
$
|
963
|
|
|
$
|
313
|
|
|
$
|
1,267
|
|
Deduct:
|
|
|
|
|
|
|
|
|
|
|
|
Equity in earnings of
unconsolidated entities
|
84
|
|
|
—
|
|
|
85
|
|
|
159
|
|
|
—
|
|
|
160
|
|
Interest and dividend
income
|
11
|
|
|
6
|
|
|
17
|
|
|
15
|
|
|
8
|
|
|
26
|
|
Other, net
|
(1)
|
|
|
—
|
|
|
1
|
|
|
(1)
|
|
|
2
|
|
|
2
|
|
Adjusted OIBDA
(Non-GAAP) (2)
|
$
|
443
|
|
|
$
|
159
|
|
|
$
|
598
|
|
|
$
|
790
|
|
|
$
|
303
|
|
|
$
|
1,079
|
|
|
Numbers may not foot
due to rounding.
|
|
(1)
|
The TDS column
includes U.S. Cellular, TDS Telecom and also the impacts of
consolidating eliminations, corporate operations and non-reportable
segments.
|
|
|
(2)
|
EBITDA, Adjusted
EBITDA and Adjusted OIBDA are defined as net income adjusted for
the items set forth in the reconciliation above. EBITDA,
Adjusted EBITDA and Adjusted OIBDA are not measures of financial
performance under Generally Accepted Accounting Principles in the
United States (GAAP) and should not be considered as alternatives
to Net income or Cash flows from operating activities, as
indicators of cash flows or as measures of liquidity. TDS
does not intend to imply that any such items set forth in the
reconciliation above are non-recurring, infrequent or unusual; such
items may occur in the future. Management uses Adjusted
EBITDA and Adjusted OIBDA as measurements of profitability, and
therefore reconciliations to Net income are deemed
appropriate. Management believes Adjusted EBITDA and Adjusted
OIBDA are useful measures of TDS' operating results before
significant recurring non-cash charges, gains and losses, and other
items as presented above as they provide additional relevant and
useful information to investors and other users of TDS' financial
data in evaluating the effectiveness of its operations and
underlying business trends in a manner that is consistent with
management's evaluation of business performance. Adjusted
EBITDA shows adjusted earnings before interest, taxes,
depreciation, amortization and accretion, and gains and losses,
while Adjusted OIBDA reduces this measure further to exclude Equity
in earnings of unconsolidated entities and Interest and dividend
income in order to more effectively show the performance of
operating activities excluding investment activities. The
table above reconciles EBITDA, Adjusted EBITDA and Adjusted OIBDA
to the corresponding GAAP measure, Net income or Income before
income taxes. Additional information and reconciliations related to
Non-GAAP financial measures for June 30, 2019, can be found on
TDS' website at investors.tdsinc.com.
|
Conference Call Information
TDS will hold a conference call on August 2, 2019 at
9:00 a.m. Central Time.
- Access the live call on the Events & Presentations page of
investors.tdsinc.com or at
https://www.webcaster4.com/Webcast/Page/1145/31221.
- Access the call by phone at 877-273-7192 (US/Canada), conference ID: 1458138.
Before the call, certain financial and statistical information
to be discussed during the call will be posted to
investors.tdsinc.com. The call will be archived on the Events &
Presentations page of investors.tdsinc.com.
About TDS
Telephone and Data Systems, Inc. (TDS), a Fortune
1000® company, provides wireless; cable and wireline
broadband, video and voice; and hosted and managed services to
approximately 6 million connections nationwide through its
businesses, U.S. Cellular, TDS Telecom, BendBroadband and OneNeck
IT Solutions. Founded in 1969 and headquartered in Chicago, TDS employed 9,400 people as of
June 30, 2019.
Visit investors.tdsinc.com for comprehensive financial
information, including earnings releases, quarterly and annual
filings, shareholder information and more.
Safe Harbor Statement Under the Private Securities
Litigation Reform Act of 1995: All information
set forth in this news release, except historical and factual
information, represents forward-looking statements. This includes
all statements about the company's plans, beliefs, estimates, and
expectations. These statements are based on current estimates,
projections, and assumptions, which involve certain risks and
uncertainties that could cause actual results to differ materially
from those in the forward-looking statements. Important factors
that may affect these forward-looking statements include, but are
not limited to: intense competition; the ability to execute TDS'
business strategy; uncertainties in TDS' future cash flows and
liquidity and access to the capital markets; the ability to make
payments on TDS and U.S. Cellular indebtedness or comply with the
terms of debt covenants; impacts of any pending
acquisitions/divestitures/exchanges of properties and/or
licenses, including, but not limited to, the ability to
obtain regulatory approvals, successfully complete the transactions
and the financial impacts of such transactions; the ability of the
company to successfully manage and grow its markets; the access to
and pricing of unbundled network elements; the ability to obtain or
maintain roaming arrangements with other carriers on acceptable
terms; the state and federal telecommunications regulatory
environment; the value of assets and investments; adverse changes
in the ratings of TDS and U.S. Cellular debt securities by
accredited ratings organizations; industry consolidation; advances
in telecommunications technology; pending and future litigation;
changes in income tax rates, laws, regulations or rulings; changes
in customer growth rates, average monthly revenue per user, churn
rates, roaming revenue and terms, the availability of wireless
devices, or the mix of services and products offered by U.S.
Cellular and TDS Telecom. Investors are encouraged to consider
these and other risks and uncertainties that are discussed in the
Form 8-K Current Report used by TDS to furnish this press release
to the Securities and Exchange Commission, which are incorporated
by reference herein.
For more information about TDS and its subsidiaries, visit:
TDS: www.tdsinc.com
U.S. Cellular: www.uscellular.com
TDS Telecom: www.tdstelecom.com
OneNeck IT Solutions: www.oneneck.com
United States Cellular
Corporation
|
Summary Operating
Data (Unaudited)
|
As of or for the
Quarter Ended
|
6/30/2019
|
|
3/31/2019
|
|
12/31/2018
|
|
9/30/2018
|
|
6/30/2018
|
Retail
Connections
|
|
|
|
|
|
|
|
|
|
Postpaid
|
|
|
|
|
|
|
|
|
|
Total at end of
period
|
4,414,000
|
|
|
4,440,000
|
|
|
4,472,000
|
|
|
4,466,000
|
|
|
4,468,000
|
|
Gross
additions
|
137,000
|
|
|
137,000
|
|
|
179,000
|
|
|
172,000
|
|
|
146,000
|
|
Feature
phones
|
5,000
|
|
|
4,000
|
|
|
4,000
|
|
|
3,000
|
|
|
5,000
|
|
Smartphones
|
97,000
|
|
|
98,000
|
|
|
132,000
|
|
|
130,000
|
|
|
106,000
|
|
Connected
devices
|
35,000
|
|
|
35,000
|
|
|
43,000
|
|
|
39,000
|
|
|
35,000
|
|
Net additions
(losses)
|
(26,000)
|
|
|
(32,000)
|
|
|
6,000
|
|
|
(1,000)
|
|
|
(13,000)
|
|
Feature
phones
|
(10,000)
|
|
|
(13,000)
|
|
|
(11,000)
|
|
|
(14,000)
|
|
|
(12,000)
|
|
Smartphones
|
(1,000)
|
|
|
(1,000)
|
|
|
31,000
|
|
|
29,000
|
|
|
17,000
|
|
Connected
devices
|
(15,000)
|
|
|
(18,000)
|
|
|
(14,000)
|
|
|
(16,000)
|
|
|
(18,000)
|
|
ARPU
(1)
|
$
|
45.90
|
|
|
$
|
45.44
|
|
|
$
|
45.58
|
|
|
$
|
45.31
|
|
|
$
|
44.74
|
|
ARPA
(2)
|
$
|
119.46
|
|
|
$
|
118.84
|
|
|
$
|
119.60
|
|
|
$
|
119.42
|
|
|
$
|
118.57
|
|
Churn rate
(3)
|
1.23
|
%
|
|
1.26
|
%
|
|
1.29
|
%
|
|
1.29
|
%
|
|
1.19
|
%
|
Handsets
|
0.97
|
%
|
|
0.99
|
%
|
|
1.00
|
%
|
|
1.02
|
%
|
|
0.92
|
%
|
Connected
devices
|
3.01
|
%
|
|
3.08
|
%
|
|
3.20
|
%
|
|
3.04
|
%
|
|
2.85
|
%
|
Prepaid
|
|
|
|
|
|
|
|
|
|
Total at end of
period
|
500,000
|
|
|
503,000
|
|
|
516,000
|
|
|
528,000
|
|
|
527,000
|
|
Gross
additions
|
61,000
|
|
|
61,000
|
|
|
66,000
|
|
|
80,000
|
|
|
78,000
|
|
Net additions
(losses)
|
(2,000)
|
|
|
(13,000)
|
|
|
(12,000)
|
|
|
1,000
|
|
|
2,000
|
|
ARPU (1)
|
$
|
34.43
|
|
|
$
|
33.44
|
|
|
$
|
32.80
|
|
|
$
|
32.09
|
|
|
$
|
32.32
|
|
Churn rate
(3)
|
4.20
|
%
|
|
4.92
|
%
|
|
4.98
|
%
|
|
4.98
|
%
|
|
4.83
|
%
|
Total connections
at end of period (4)
|
4,967,000
|
|
|
4,995,000
|
|
|
5,041,000
|
|
|
5,050,000
|
|
|
5,051,000
|
|
Market penetration
at end of period
|
|
|
|
|
|
|
|
|
|
Consolidated
operating population
|
31,310,000
|
|
|
31,310,000
|
|
|
31,469,000
|
|
|
31,469,000
|
|
|
31,469,000
|
|
Consolidated
operating penetration (5)
|
16
|
%
|
|
16
|
%
|
|
16
|
%
|
|
16
|
%
|
|
16
|
%
|
Capital
expenditures (millions)
|
$
|
195
|
|
|
$
|
102
|
|
|
$
|
242
|
|
|
$
|
118
|
|
|
$
|
86
|
|
Total cell sites
in service
|
6,535
|
|
|
6,506
|
|
|
6,531
|
|
|
6,506
|
|
|
6,478
|
|
Owned
towers
|
4,116
|
|
|
4,106
|
|
|
4,129
|
|
|
4,119
|
|
|
4,105
|
|
|
|
(1)
|
Average Revenue Per
User (ARPU) - metric is calculated by dividing a revenue base by an
average number of connections and by the number of months in the
period. These revenue bases and connection populations are
shown below:
|
|
•
|
Postpaid ARPU
consists of total postpaid service revenues and postpaid
connections.
|
|
•
|
Prepaid ARPU consists
of total prepaid service revenues and prepaid
connections.
|
|
|
(2)
|
Average Revenue Per
Account (ARPA) - metric is calculated by dividing total postpaid
service revenues by the average number of postpaid accounts and by
the number of months in the period.
|
|
|
(3)
|
Churn rate represents
the percentage of the connections that disconnect service each
month. These rates represent the average monthly churn rate
for each respective period.
|
|
|
(4)
|
Includes reseller and
other connections.
|
|
|
(5)
|
Market penetration is
calculated by dividing the number of wireless connections at the
end of the period by the total population of consolidated operating
markets as estimated by Nielsen.
|
TDS
Telecom
|
Summary Operating
Data (Unaudited)
|
As of or for the
Quarter Ended
|
6/30/2019
|
|
3/31/2019
|
|
12/31/2018
|
|
9/30/2018
|
|
6/30/2018
|
TDS
Telecom
|
|
|
|
|
|
|
|
|
|
Wireline
|
|
|
|
|
|
|
|
|
|
Residential
connections
|
|
|
|
|
|
|
|
|
|
Voice (1)
|
269,000
|
|
|
271,100
|
|
|
274,100
|
|
|
278,400
|
|
|
282,200
|
|
Broadband
(2)
|
240,200
|
|
|
236,100
|
|
|
235,400
|
|
|
237,100
|
|
|
234,300
|
|
Video
(3)
|
56,200
|
|
|
54,300
|
|
|
54,000
|
|
|
53,100
|
|
|
51,500
|
|
Wireline residential
connections
|
565,500
|
|
|
561,500
|
|
|
563,500
|
|
|
568,600
|
|
|
568,000
|
|
|
|
|
|
|
|
|
|
|
|
Total residential
revenue per connection (4)
|
$
|
47.88
|
|
|
$
|
48.16
|
|
|
$
|
47.39
|
|
|
$
|
47.30
|
|
|
$
|
47.22
|
|
|
|
|
|
|
|
|
|
|
|
Commercial
connections
|
|
|
|
|
|
|
|
|
|
Voice
(1)
|
124,200
|
|
|
127,300
|
|
|
130,500
|
|
|
134,000
|
|
|
137,300
|
|
Broadband (2)
|
20,600
|
|
|
20,400
|
|
|
20,600
|
|
|
20,700
|
|
|
20,600
|
|
managedIP (5)
|
128,300
|
|
|
132,000
|
|
|
134,000
|
|
|
138,000
|
|
|
141,400
|
|
Video (3)
|
400
|
|
|
400
|
|
|
400
|
|
|
400
|
|
|
400
|
|
Wireline commercial
connections
|
273,500
|
|
|
280,100
|
|
|
285,400
|
|
|
293,100
|
|
|
299,600
|
|
|
|
|
|
|
|
|
|
|
|
Total Wireline
connections
|
839,000
|
|
|
841,500
|
|
|
848,900
|
|
|
861,700
|
|
|
867,700
|
|
|
|
|
|
|
|
|
|
|
|
Cable
|
|
|
|
|
|
|
|
|
|
Cable residential
and commercial connections
|
|
|
|
|
|
|
|
|
|
Broadband (6)
|
172,600
|
|
|
171,100
|
|
|
167,400
|
|
|
163,600
|
|
|
159,400
|
|
Video (7)
|
100,300
|
|
|
101,400
|
|
|
102,900
|
|
|
102,100
|
|
|
101,600
|
|
Voice (8)
|
64,800
|
|
|
65,400
|
|
|
65,200
|
|
|
63,600
|
|
|
62,000
|
|
managedIP
(5)
|
1,100
|
|
|
1,100
|
|
|
1,000
|
|
|
700
|
|
|
700
|
|
Total Cable
connections
|
338,900
|
|
|
339,000
|
|
|
336,500
|
|
|
330,100
|
|
|
323,700
|
|
|
Numbers may not foot
due to rounding.
|
|
|
(1)
|
The individual
circuits connecting a customer to Wireline's central office
facilities.
|
|
|
(2)
|
The number of
Wireline customers provided high-capacity data circuits via various
technologies, including DSL and dedicated internet circuit
technologies.
|
|
|
(3)
|
The number of
Wireline customers provided video services.
|
|
|
(4)
|
Total residential
revenue per connection is calculated by dividing total Wireline
residential revenue by the average number of Wireline residential
connections and by the number of months in the period.
|
|
|
(5)
|
The number of
telephone handsets, data lines and IP trunks providing
communications using IP networking technology.
|
|
|
(6)
|
Billable number of
lines into a building for high-speed data services.
|
|
|
(7)
|
Generally, a home or
business receiving video programming counts as one video
connection. In counting bulk residential or commercial connections,
such as an apartment building or hotel, connections are counted
based on the number of units/rooms within the building receiving
service.
|
|
|
(8)
|
Billable number of
lines into a building for voice services.
|
TDS
Telecom
|
Capital
Expenditures (Unaudited)
|
Quarter
Ended
|
6/30/2019
|
|
3/31/2019
|
|
12/31/2018
|
|
9/30/2018
|
|
6/30/2018
|
(Dollars in
millions)
|
|
|
|
|
|
|
|
|
|
Wireline
|
$
|
55
|
|
|
$
|
29
|
|
|
$
|
73
|
|
|
$
|
41
|
|
|
$
|
33
|
|
Cable
|
15
|
|
|
13
|
|
|
19
|
|
|
13
|
|
|
13
|
|
Total TDS
Telecom
|
$
|
70
|
|
|
$
|
42
|
|
|
$
|
91
|
|
|
$
|
54
|
|
|
$
|
46
|
|
|
Numbers may not foot
due to rounding.
|
Telephone and Data
Systems, Inc.
|
Consolidated
Statement of Operations Highlights
|
(Unaudited)
|
|
|
|
|
|
Three Months
Ended
June 30,
|
|
Six Months
Ended
June 30,
|
|
2019
|
|
2018
|
|
2019
vs. 2018
|
|
2019
|
|
2018
|
|
2019
vs. 2018
|
(Dollars and shares
in millions, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
Operating
revenues
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
Cellular
|
$
|
973
|
|
|
$
|
974
|
|
|
–
|
|
$
|
1,939
|
|
|
$
|
1,915
|
|
|
1
|
%
|
TDS
Telecom
|
233
|
|
|
230
|
|
|
1
|
%
|
|
464
|
|
|
461
|
|
|
1
|
%
|
All Other
(1)
|
55
|
|
|
51
|
|
|
6
|
%
|
|
115
|
|
|
104
|
|
|
11
|
%
|
|
1,261
|
|
|
1,255
|
|
|
–
|
|
2,518
|
|
|
2,480
|
|
|
2
|
%
|
Operating
expenses
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
Cellular
|
|
|
|
|
|
|
|
|
|
|
|
Expenses excluding
depreciation, amortization and accretion
|
761
|
|
|
769
|
|
|
(1)
|
%
|
|
1,496
|
|
|
1,492
|
|
|
–
|
Depreciation,
amortization and accretion
|
177
|
|
|
159
|
|
|
11
|
%
|
|
345
|
|
|
317
|
|
|
8
|
%
|
(Gain) loss on asset
disposals, net
|
5
|
|
|
1
|
|
|
N/M
|
|
|
7
|
|
|
2
|
|
|
N/M
|
|
(Gain) loss on sale
of business and other exit costs, net
|
—
|
|
|
—
|
|
|
N/M
|
|
|
(2)
|
|
|
—
|
|
|
N/M
|
|
(Gain) loss on
license sales and exchanges, net
|
—
|
|
|
(11)
|
|
|
N/M
|
|
|
(2)
|
|
|
(17)
|
|
|
88
|
%
|
|
943
|
|
|
918
|
|
|
3
|
%
|
|
1,844
|
|
|
1,794
|
|
|
3
|
%
|
TDS
Telecom
|
|
|
|
|
|
|
|
|
|
|
|
Expenses excluding
depreciation, amortization and accretion
|
155
|
|
|
158
|
|
|
(2)
|
%
|
|
305
|
|
|
308
|
|
|
(1)
|
%
|
Depreciation,
amortization and accretion
|
50
|
|
|
53
|
|
|
(7)
|
%
|
|
100
|
|
|
107
|
|
|
(7)
|
%
|
(Gain) loss on asset
disposals, net
|
(1)
|
|
|
1
|
|
|
N/M
|
|
|
(8)
|
|
|
1
|
|
|
N/M
|
|
|
204
|
|
|
212
|
|
|
(4)
|
%
|
|
398
|
|
|
417
|
|
|
(5)
|
%
|
All
Other (1)
|
|
|
|
|
|
|
|
|
|
|
|
Expenses excluding
depreciation and amortization
|
58
|
|
|
57
|
|
|
3
|
%
|
|
119
|
|
|
112
|
|
|
6
|
%
|
Depreciation and
amortization
|
7
|
|
|
8
|
|
|
(6)
|
%
|
|
15
|
|
|
17
|
|
|
(4)
|
%
|
(Gain) loss on asset
disposals, net
|
1
|
|
|
—
|
|
|
N/M
|
|
|
1
|
|
|
—
|
|
|
N/M
|
|
|
66
|
|
|
64
|
|
|
2
|
%
|
|
134
|
|
|
128
|
|
|
5
|
%
|
Total operating
expenses
|
1,213
|
|
|
1,194
|
|
|
2
|
%
|
|
2,376
|
|
|
2,339
|
|
|
2
|
%
|
Operating income
(loss)
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
Cellular
|
30
|
|
|
56
|
|
|
(45)
|
%
|
|
95
|
|
|
121
|
|
|
(21)
|
%
|
TDS
Telecom
|
29
|
|
|
18
|
|
|
60
|
%
|
|
66
|
|
|
43
|
|
|
52
|
%
|
All Other
(1)
|
(11)
|
|
|
(13)
|
|
|
14
|
%
|
|
(19)
|
|
|
(23)
|
|
|
20
|
%
|
|
48
|
|
|
61
|
|
|
(21)
|
%
|
|
142
|
|
|
141
|
|
|
1
|
%
|
Investment and
other income (expense)
|
|
|
|
|
|
|
|
|
|
|
|
Equity in earnings of
unconsolidated entities
|
41
|
|
|
40
|
|
|
2
|
%
|
|
85
|
|
|
78
|
|
|
9
|
%
|
Interest and dividend
income
|
9
|
|
|
6
|
|
|
43
|
%
|
|
17
|
|
|
11
|
|
|
51
|
%
|
Interest
expense
|
(43)
|
|
|
(43)
|
|
|
1
|
%
|
|
(86)
|
|
|
(86)
|
|
|
1
|
%
|
Other, net
|
—
|
|
|
1
|
|
|
N/M
|
|
|
1
|
|
|
2
|
|
|
N/M
|
|
Total investment and
other income
|
7
|
|
|
4
|
|
|
54
|
%
|
|
17
|
|
|
5
|
|
|
N/M
|
|
Income before
income taxes
|
55
|
|
|
65
|
|
|
(16)
|
%
|
|
159
|
|
|
146
|
|
|
9
|
%
|
Income tax
expense
|
16
|
|
|
21
|
|
|
(23)
|
%
|
|
50
|
|
|
45
|
|
|
12
|
%
|
Net
income
|
39
|
|
|
44
|
|
|
(12)
|
%
|
|
109
|
|
|
101
|
|
|
8
|
%
|
Less: Net income
attributable to noncontrolling interests, net of tax
|
6
|
|
|
11
|
|
|
(44)
|
%
|
|
17
|
|
|
29
|
|
|
(41)
|
%
|
Net income
attributable to TDS shareholders
|
$
|
33
|
|
|
$
|
33
|
|
|
(2)
|
%
|
|
$
|
92
|
|
|
$
|
72
|
|
|
28
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic weighted
average shares outstanding
|
114
|
|
|
112
|
|
|
2
|
%
|
|
114
|
|
|
112
|
|
|
2
|
%
|
Basic earnings per
share attributable to TDS shareholders
|
$
|
0.29
|
|
|
$
|
0.30
|
|
|
(4)
|
%
|
|
$
|
0.81
|
|
|
$
|
0.65
|
|
|
25
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted weighted
average shares outstanding
|
116
|
|
|
113
|
|
|
3
|
%
|
|
116
|
|
|
113
|
|
|
3
|
%
|
Diluted earnings
per share attributable to TDS shareholders
|
$
|
0.28
|
|
|
$
|
0.29
|
|
|
(4)
|
%
|
|
$
|
0.78
|
|
|
$
|
0.63
|
|
|
24
|
%
|
|
N/M - Percentage
change not meaningful.
|
|
Numbers may not foot
due to rounding.
|
|
(1)
|
Consists of TDS
corporate, intercompany eliminations and all other business
operations not included in the U.S. Cellular and TDS Telecom
segments.
|
Telephone and Data
Systems, Inc.
|
Consolidated
Statement of Cash Flows
|
(Unaudited)
|
|
|
Six Months
Ended
June 30,
|
|
2019
|
|
2018
|
(Dollars in
millions)
|
|
|
|
Cash flows from
operating activities
|
|
|
|
Net income
|
$
|
109
|
|
|
$
|
101
|
|
Add (deduct)
adjustments to reconcile net income to net cash flows from
operating activities
|
|
|
|
Depreciation,
amortization and accretion
|
460
|
|
|
441
|
|
Bad debts
expense
|
50
|
|
|
43
|
|
Stock-based
compensation expense
|
33
|
|
|
23
|
|
Deferred income
taxes, net
|
40
|
|
|
25
|
|
Equity in earnings of
unconsolidated entities
|
(85)
|
|
|
(78)
|
|
Distributions from
unconsolidated entities
|
76
|
|
|
70
|
|
(Gain) loss on asset
disposals, net
|
—
|
|
|
3
|
|
(Gain) loss on sale
of business and other exit costs, net
|
(2)
|
|
|
—
|
|
(Gain) loss on
license sales and exchanges, net
|
(2)
|
|
|
(17)
|
|
Other operating
activities
|
3
|
|
|
2
|
|
Changes in assets and
liabilities from operations
|
|
|
|
Accounts
receivable
|
(2)
|
|
|
51
|
|
Equipment installment
plans receivable
|
(11)
|
|
|
(47)
|
|
Inventory
|
(4)
|
|
|
(8)
|
|
Accounts
payable
|
(9)
|
|
|
(50)
|
|
Customer deposits and
deferred revenues
|
8
|
|
|
(25)
|
|
Accrued
taxes
|
2
|
|
|
(5)
|
|
Other assets and
liabilities
|
(74)
|
|
|
(66)
|
|
Net cash provided by
operating activities
|
592
|
|
|
463
|
|
|
|
|
|
Cash flows from
investing activities
|
|
|
|
Cash paid for
additions to property, plant and equipment
|
(393)
|
|
|
(275)
|
|
Cash paid for
acquisitions and licenses
|
(255)
|
|
|
(10)
|
|
Cash received from
investments
|
11
|
|
|
100
|
|
Cash paid for
investments
|
(11)
|
|
|
—
|
|
Cash received from
divestitures and exchanges
|
32
|
|
|
21
|
|
Other investing
activities
|
—
|
|
|
3
|
|
Net cash used in
investing activities
|
(616)
|
|
|
(161)
|
|
|
|
|
|
Cash flows from
financing activities
|
|
|
|
Repayment of
long-term debt
|
(11)
|
|
|
(10)
|
|
TDS Common Shares
reissued for benefit plans, net of tax payments
|
(6)
|
|
|
7
|
|
U.S. Cellular Common
Shares reissued for benefit plans, net of tax payments
|
(8)
|
|
|
—
|
|
Dividends paid to TDS
shareholders
|
(38)
|
|
|
(36)
|
|
Distributions to
noncontrolling interests
|
(2)
|
|
|
(4)
|
|
Other financing
activities
|
3
|
|
|
(4)
|
|
Net cash used in
financing activities
|
(62)
|
|
|
(47)
|
|
|
|
|
|
Net increase
(decrease) in cash, cash equivalents and restricted
cash
|
(86)
|
|
|
255
|
|
|
|
|
|
Cash, cash
equivalents and restricted cash
|
|
|
|
Beginning of
period
|
927
|
|
|
622
|
|
End of
period
|
$
|
841
|
|
|
$
|
877
|
|
Telephone and Data
Systems, Inc.
|
Consolidated
Balance Sheet Highlights
|
(Unaudited)
|
|
ASSETS
|
|
|
|
|
|
June 30, 2019
(1)
|
|
December 31,
2018
|
(Dollars in
millions)
|
|
|
|
Current
assets
|
|
|
|
Cash and cash
equivalents
|
$
|
834
|
|
|
$
|
921
|
|
Short-term
investments
|
18
|
|
|
17
|
|
Accounts
receivable
|
1,082
|
|
|
1,099
|
|
Inventory,
net
|
154
|
|
|
150
|
|
Prepaid
expenses
|
95
|
|
|
103
|
|
Income taxes
receivable
|
17
|
|
|
12
|
|
Other current
assets
|
28
|
|
|
28
|
|
Total current
assets
|
2,228
|
|
|
2,330
|
|
|
|
|
|
Assets held for
sale
|
—
|
|
|
54
|
|
|
|
|
|
Licenses
|
2,478
|
|
|
2,195
|
|
|
|
|
|
Goodwill
|
509
|
|
|
509
|
|
|
|
|
|
Other intangible
assets, net
|
241
|
|
|
253
|
|
|
|
|
|
Investments in
unconsolidated entities
|
490
|
|
|
480
|
|
|
|
|
|
Property, plant
and equipment, net
|
3,318
|
|
|
3,346
|
|
|
|
|
|
Operating lease
right-of-use assets
|
963
|
|
|
—
|
|
|
|
|
|
Other assets and
deferred charges
|
568
|
|
|
616
|
|
|
|
|
|
Total
assets
|
$
|
10,795
|
|
|
$
|
9,783
|
|
Telephone and Data
Systems, Inc.
|
Consolidated
Balance Sheet Highlights
|
(Unaudited)
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
June 30, 2019
(1)
|
|
December 31,
2018
|
(Dollars in millions,
except per share amounts)
|
|
|
|
Current
liabilities
|
|
|
|
Current portion of
long-term debt
|
$
|
21
|
|
|
$
|
21
|
|
Accounts
payable
|
367
|
|
|
365
|
|
Customer deposits and
deferred revenues
|
205
|
|
|
197
|
|
Accrued
interest
|
13
|
|
|
11
|
|
Accrued
taxes
|
45
|
|
|
44
|
|
Accrued
compensation
|
77
|
|
|
127
|
|
Short-term operating
lease liabilities
|
112
|
|
|
—
|
|
Other current
liabilities
|
85
|
|
|
114
|
|
Total current
liabilities
|
925
|
|
|
879
|
|
|
|
|
|
Liabilities held
for sale
|
—
|
|
|
1
|
|
|
|
|
|
Deferred
liabilities and credits
|
|
|
|
Deferred income tax
liability, net
|
681
|
|
|
640
|
|
Long-term operating
lease liabilities
|
927
|
|
|
—
|
|
Other deferred
liabilities and credits
|
450
|
|
|
541
|
|
|
|
|
|
Long-term debt,
net
|
2,409
|
|
|
2,418
|
|
|
|
|
|
Noncontrolling
interests with redemption features
|
10
|
|
|
11
|
|
|
|
|
|
Equity
|
|
|
|
TDS shareholders'
equity
|
|
|
|
Series A Common and
Common Shares, par value $.01 per share
|
1
|
|
|
1
|
|
Capital in excess of
par value
|
2,438
|
|
|
2,432
|
|
Treasury shares, at
cost
|
(488)
|
|
|
(519)
|
|
Accumulated other
comprehensive loss
|
(10)
|
|
|
(10)
|
|
Retained
earnings
|
2,684
|
|
|
2,656
|
|
Total TDS
shareholders' equity
|
4,625
|
|
|
4,560
|
|
|
|
|
|
Noncontrolling
interests
|
768
|
|
|
733
|
|
|
|
|
|
Total
equity
|
5,393
|
|
|
5,293
|
|
|
|
|
|
Total liabilities
and equity
|
$
|
10,795
|
|
|
$
|
9,783
|
|
|
|
(1)
|
As of January 1,
2019, TDS adopted the new lease accounting standard, ASC 842. Under
this method, the new accounting standard is applied only to the
most recent period presented. As a result, 2019 amounts include the
impacts of ASC 842, but 2018 amounts remain as previously
reported.
|
Balance Sheet
Highlights
|
(Unaudited)
|
|
|
|
June 30,
2019
|
|
U.S.
|
|
TDS
|
|
TDS
Corporate
|
|
Intercompany
|
|
TDS
|
|
Cellular
|
|
Telecom
|
|
&
Other
|
|
Eliminations
|
|
Consolidated
|
(Dollars in
millions)
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
$
|
528
|
|
|
$
|
26
|
|
|
$
|
280
|
|
|
$
|
—
|
|
|
$
|
834
|
|
Affiliated cash
investments
|
—
|
|
|
499
|
|
|
—
|
|
|
(499)
|
|
|
—
|
|
|
$
|
528
|
|
|
$
|
525
|
|
|
$
|
280
|
|
|
$
|
(499)
|
|
|
$
|
834
|
|
|
|
|
|
|
|
|
|
|
|
Licenses, goodwill
and other intangible assets
|
$
|
2,469
|
|
|
$
|
745
|
|
|
$
|
14
|
|
|
$
|
—
|
|
|
$
|
3,228
|
|
Investment in
unconsolidated entities
|
450
|
|
|
4
|
|
|
46
|
|
|
(10)
|
|
|
490
|
|
|
$
|
2,919
|
|
|
$
|
749
|
|
|
$
|
60
|
|
|
$
|
(10)
|
|
|
$
|
3,718
|
|
|
|
|
|
|
|
|
|
|
|
Property, plant and
equipment, net
|
$
|
2,154
|
|
|
$
|
1,047
|
|
|
$
|
117
|
|
|
$
|
—
|
|
|
$
|
3,318
|
|
|
|
|
|
|
|
|
|
|
|
Long-term debt,
net:
|
|
|
|
|
|
|
|
|
|
Current
portion
|
$
|
19
|
|
|
$
|
1
|
|
|
$
|
1
|
|
|
$
|
—
|
|
|
$
|
21
|
|
Non-current
portion
|
1,596
|
|
|
2
|
|
|
811
|
|
|
—
|
|
|
2,409
|
|
|
$
|
1,615
|
|
|
$
|
3
|
|
|
$
|
812
|
|
|
$
|
—
|
|
|
$
|
2,430
|
|
TDS Telecom
Highlights
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended June 30,
|
|
Six Months
Ended June 30,
|
|
2019
|
|
2018
|
|
2019 vs.
2018
|
|
2019
|
|
2018
|
|
2019 vs.
2018
|
(Dollars in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
Wireline
|
|
|
|
|
|
|
|
|
|
|
|
Operating
revenues
|
|
|
|
|
|
|
|
|
|
|
|
Residential
|
$
|
81
|
|
|
$
|
80
|
|
|
1
|
%
|
|
$
|
162
|
|
|
$
|
160
|
|
|
1
|
%
|
Commercial
|
42
|
|
|
46
|
|
|
(8)
|
%
|
|
86
|
|
|
94
|
|
|
(9)
|
%
|
Wholesale
|
49
|
|
|
46
|
|
|
5
|
%
|
|
94
|
|
|
94
|
|
|
1
|
%
|
Total service
revenues
|
172
|
|
|
173
|
|
|
(1)
|
%
|
|
342
|
|
|
348
|
|
|
(2)
|
%
|
Equipment and product
sales
|
—
|
|
|
—
|
|
|
(36)
|
%
|
|
1
|
|
|
1
|
|
|
(28)
|
%
|
|
172
|
|
|
174
|
|
|
(1)
|
%
|
|
343
|
|
|
349
|
|
|
(2)
|
%
|
Operating
expenses
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
services
|
64
|
|
|
67
|
|
|
(3)
|
%
|
|
127
|
|
|
131
|
|
|
(3)
|
%
|
Cost of equipment and
products
|
—
|
|
|
—
|
|
|
(44)
|
%
|
|
1
|
|
|
1
|
|
|
(33)
|
%
|
Selling, general and
administrative expenses
|
49
|
|
|
50
|
|
|
(1)
|
%
|
|
96
|
|
|
97
|
|
|
(1)
|
%
|
Expenses excluding
depreciation, amortization and accretion
|
114
|
|
|
117
|
|
|
(3)
|
%
|
|
224
|
|
|
229
|
|
|
(2)
|
%
|
Depreciation,
amortization and accretion
|
33
|
|
|
36
|
|
|
(8)
|
%
|
|
66
|
|
|
72
|
|
|
(9)
|
%
|
(Gain) loss on asset
disposals, net
|
(1)
|
|
|
1
|
|
|
N/M
|
|
|
(8)
|
|
|
1
|
|
|
N/M
|
|
|
145
|
|
|
153
|
|
|
(5)
|
%
|
|
282
|
|
|
302
|
|
|
(7)
|
%
|
Operating
income
|
$
|
27
|
|
|
$
|
21
|
|
|
29
|
%
|
|
$
|
61
|
|
|
$
|
47
|
|
|
30
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Cable
|
|
|
|
|
|
|
|
|
|
|
|
Operating
revenues
|
|
|
|
|
|
|
|
|
|
|
|
Residential
|
$
|
51
|
|
|
$
|
47
|
|
|
8
|
%
|
|
$
|
100
|
|
|
$
|
92
|
|
|
8
|
%
|
Commercial
|
11
|
|
|
10
|
|
|
9
|
%
|
|
21
|
|
|
20
|
|
|
8
|
%
|
|
62
|
|
|
57
|
|
|
9
|
%
|
|
121
|
|
|
112
|
|
|
8
|
%
|
Operating
expenses
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
services
|
27
|
|
|
27
|
|
|
–
|
|
|
52
|
|
|
52
|
|
|
–
|
|
Selling, general and
administrative expenses
|
15
|
|
|
15
|
|
|
5
|
%
|
|
30
|
|
|
28
|
|
|
6
|
%
|
Expenses excluding
depreciation, amortization and accretion
|
42
|
|
|
41
|
|
|
2
|
%
|
|
82
|
|
|
80
|
|
|
2
|
%
|
Depreciation,
amortization and accretion
|
17
|
|
|
18
|
|
|
(4)
|
%
|
|
34
|
|
|
35
|
|
|
(3)
|
%
|
(Gain) loss on asset
disposals, net
|
—
|
|
|
—
|
|
|
(54)
|
%
|
|
1
|
|
|
1
|
|
|
(4)
|
%
|
|
59
|
|
|
59
|
|
|
–
|
|
|
117
|
|
|
116
|
|
|
1
|
%
|
Operating income
(loss)
|
$
|
2
|
|
|
$
|
(3)
|
|
|
N/M
|
|
|
$
|
5
|
|
|
$
|
(4)
|
|
|
N/M
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total TDS Telecom
operating income
|
$
|
29
|
|
|
$
|
18
|
|
|
60
|
%
|
|
$
|
66
|
|
|
$
|
43
|
|
|
52
|
%
|
|
N/M - Percentage
change not meaningful.
|
|
Numbers may not foot
due to rounding.
|
Telephone and Data
Systems, Inc.
|
Financial Measures
and Reconciliations
|
|
Free Cash
Flow
|
|
|
Three Months
Ended June 30,
|
|
Six Months
Ended June 30,
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
(Dollars in
millions)
|
|
|
|
|
|
|
|
Cash flows from
operating activities (GAAP)
|
$
|
265
|
|
|
$
|
249
|
|
|
$
|
592
|
|
|
$
|
463
|
|
Less: Cash paid for
additions to property, plant and equipment
|
239
|
|
|
145
|
|
|
393
|
|
|
275
|
|
Free cash flow
(Non-GAAP) (1)
|
$
|
26
|
|
|
$
|
104
|
|
|
$
|
199
|
|
|
$
|
188
|
|
|
|
(1)
|
Free cash flow is a
non-GAAP financial measure which TDS believes may be useful to
investors and other users of its financial information in
evaluating liquidity, specifically, the amount of net cash
generated by business operations after deducting Cash paid for
additions to property, plant and equipment.
|
EBITDA, Adjusted EBITDA and Adjusted OIBDA
The following tables reconcile EBITDA, Adjusted EBITDA and
Adjusted OIBDA to the corresponding GAAP measures, Net income or
Income (loss) before income taxes and Operating income (loss).
|
Three Months
Ended
June 30,
|
TDS
TELECOM
|
2019
|
|
2018
|
(Dollars in
millions)
|
|
|
|
Net income
(GAAP)
|
$
|
25
|
|
|
$
|
16
|
|
Add back:
|
|
|
|
Income tax
expense
|
8
|
|
|
5
|
|
Interest
expense
|
(1)
|
|
|
—
|
|
Depreciation,
amortization and accretion
|
50
|
|
|
53
|
|
EBITDA
(Non-GAAP)
|
82
|
|
|
74
|
|
Add back or
deduct:
|
|
|
|
(Gain) loss on asset
disposals, net
|
(1)
|
|
|
1
|
|
Adjusted EBITDA
(Non-GAAP)
|
82
|
|
|
75
|
|
Deduct:
|
|
|
|
Interest and dividend
income
|
3
|
|
|
2
|
|
Other, net
|
—
|
|
|
1
|
|
Adjusted OIBDA
(Non-GAAP)
|
78
|
|
|
73
|
|
Deduct:
|
|
|
|
Depreciation,
amortization and accretion
|
50
|
|
|
53
|
|
(Gain) loss on asset
disposals, net
|
(1)
|
|
|
1
|
|
Operating income
(GAAP)
|
$
|
29
|
|
|
$
|
18
|
|
|
Numbers may not foot
due to rounding.
|
|
|
|
Three Months
Ended
June 30,
|
WIRELINE
|
2019
|
|
2018
|
(Dollars in
millions)
|
|
|
|
Income before
income taxes (GAAP)
|
$
|
30
|
|
|
$
|
24
|
|
Add back:
|
|
|
|
Interest
expense
|
(1)
|
|
|
—
|
|
Depreciation,
amortization and accretion
|
33
|
|
|
36
|
|
EBITDA
(Non-GAAP)
|
62
|
|
|
59
|
|
Add back or
deduct:
|
|
|
|
(Gain) loss on asset
disposals, net
|
(1)
|
|
|
1
|
|
Adjusted EBITDA
(Non-GAAP)
|
62
|
|
|
59
|
|
Deduct:
|
|
|
|
Interest and dividend
income
|
3
|
|
|
2
|
|
Other, net
|
—
|
|
|
1
|
|
Adjusted OIBDA
(Non-GAAP)
|
59
|
|
|
57
|
|
Deduct:
|
|
|
|
Depreciation,
amortization and accretion
|
33
|
|
|
36
|
|
(Gain) loss on asset
disposals, net
|
(1)
|
|
|
1
|
|
Operating income
(GAAP)
|
$
|
27
|
|
|
$
|
21
|
|
|
Numbers may not foot
due to rounding.
|
|
|
|
Three Months
Ended
June 30,
|
CABLE
|
2019
|
|
2018
|
(Dollars in
millions)
|
|
|
|
Income (loss)
before income taxes (GAAP)
|
$
|
3
|
|
|
$
|
(2)
|
|
Add back:
|
|
|
|
Depreciation,
amortization and accretion
|
17
|
|
|
18
|
|
EBITDA
(Non-GAAP)
|
20
|
|
|
15
|
|
Add back or
deduct:
|
|
|
|
(Gain) loss on asset
disposals, net
|
—
|
|
|
—
|
|
Adjusted EBITDA
(Non-GAAP)
|
20
|
|
|
16
|
|
Deduct:
|
|
|
|
Interest and dividend
income
|
—
|
|
|
—
|
|
Adjusted OIBDA
(Non-GAAP)
|
20
|
|
|
16
|
|
Deduct:
|
|
|
|
Depreciation,
amortization and accretion
|
17
|
|
|
18
|
|
(Gain) loss on asset
disposals, net
|
—
|
|
|
—
|
|
Operating income
(loss) (GAAP)
|
$
|
2
|
|
|
$
|
(3)
|
|
|
Numbers may not foot
due to rounding.
|
View original
content:http://www.prnewswire.com/news-releases/tds-reports-second-quarter-2019-results-300895287.html
SOURCE Telephone and Data Systems, Inc.