Liberty Latin America Ltd.

Good morning, ladies and gentlemen, and thank you for standing by. Today's call is being recorded. I'll now turn the call over to Asad Nabi, VP IT Business Partner, Liberty Latin America.

Good morning and welcome to Liberty Latin America's full year 2024 investor call. At this time, all participants are in listen-only mode. 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. 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 fact. Actual results may differ materially from those expressed or implied by these statements. For more information, please refer to the risk factors 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 statement or information to reflect any change in its expectations or in the conditions on which any such statement or information is based. 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 investor section of our website. I would now like to turn the call over to our CEO, Mr. Balan Nair.

Thank you, Asad, and welcome everybody to Liberty Latin America's fourth quarter and year-end 2024 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'll get straight to your questions. As always, I am joined by my executive team from across our operations, 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. Starting on slide four and our highlights for the year. We grew our fixed and mobile basis throughout the year, adding nearly 100,000 subscribers in total. Broadband and post-paid performance was particularly robust, with over 260,000 ads in 2024, excluding Puerto Rico. This represents an increase of 9% and shows the potential for volume growth in our region. We reported adjusted OEBDA of $1.6 billion in the year, And this was driven by strong year-over-year rebase growth in CNW Caribbean and Costa Rica, and double-digit rebase growth in CNW Panama. After a challenging 2024, we are committed to making progress in rebuilding Puerto Rico over the coming quarters. We continued investing in our networks with approximately 400,000 homes passed or upgraded to fiber-to-the-home. 97% of our footprint is now gigabit ready, exceeding the target we previously set. Finally, we have been making important strides to future-proof our capital structure. In the past six months, we have successfully refinanced $3.3 billion of CNW debt. Over 75% of the siloed debt is now maturing in 2032 and beyond. in line with our financing principle of maintaining a long-dated capital structure. Turning to slide five, I'll begin our operating review with CNW Caribbean, where we delivered operating momentum in mobile post-paid and strong financial execution, starting on the left of the slide with our subscriber ads. Full-year 2024 broadband ads were negatively impacted by Hurricane Beryl, primarily in Jamaica, In Q3, we saw the immediate impact of the storm with 16,000 broadband losses. And in Q4, we lost a further 11,000 broadband RGUs, mainly related to the disconnection of non-paying customers. Adjusting for this event, we would have added 7,000 broadband subscribers in Q4 and 18,000 for the year. In mobile, our positive post-paid performance continued in Q4, With 43,000 net ads in 2024, our post-paid base increased by 14% year-over-year, driven by Jamaica. Moving to the center of the slide and our revenue by product. The pie chart depicts the well-diversified nature of CNW Caribbean's revenue with B2B and consumer fixed, the largest element, followed by consumer mobile. In our Caribbean markets, the operating environment is constructive as we primarily compete in duopolies, where we are often the leading player. Rebase revenue grew 2% year-over-year, driven by double-digit growth in postpaid revenue and supported by successful price increases in fixed and mobile across our main markets. Overall, 2024 was a strong operational year for CNW Caribbean, with cost efficiencies driving nearly 200 basis points of margin expansion. As Chris will come onto, we expect operational leverage to continue to be a focus and driver of adjusted OEBDA growth in 2025. Moving to slide six in our CNW Panama segment. Starting on the left of the slide, we continued our broadband momentum in 2024, adding 23,000 subscribers, which was 10% higher year over year. We have been investing in our network, expanding and upgrading with FTTH home passings, and I'm pleased to say that only 2% of our footprint is now covered by copper, with most of this to be decommissioned by the end of this year. In mobile, we had a record year, reporting 78,000 postpaid ads driven by our successful acquisition campaigns following the exit of a competitor, an increase in FMC penetration, and our focus on prepaid to postpaid migration. Moving to the center of the slide and our revenue streams, which in aggregate drove our top line 3% higher in the year. Growth was driven by mobile and fixed products, which were up by 7% and 4% respectively. Mobile growth benefited from a larger subscriber base and pricing actions we took throughout the year. In FIX, performance was driven by double-digit growth in broadband revenue following higher volume from our successful commercial strategy, including a focus on triple-play plants, which now represent nearly 60% of our customer base. After the exit of a competitor in 2024, the market structure became primarily a duopoly in both FIX and mobile with Tigo. We are number one in mobile and a challenger in FIX, where we see great potential. Finally, we posted double-digit adjusted EBITDA rebase growth year-on-year, driven by cost efficiencies and the full-year benefit of synergies from the Claro Panama acquisition. Turning to slide 7 and Liberty Costa Rica. Starting on the left of the slide, we saw consistent quarterly broadband ads throughout the year in what is our most competitive fixed markets. We continue to expand our footprint, adding over 170,000 fiber-detailed homes passed in 2024 and taking our total network to 830,000 homes passed. We now have 45% of our network on FTTH, more than double the 20% of a year ago, and exceeding the 40% target communicated last year. In mobile, we were once again successful growing our base. we added 114,000 postpaid subscribers in the year for a 31% year-over-year increase. We also secured a total of 570 MHz of spectrum across four different bands in an auction completed earlier this year. We are pleased with the results as we were awarded the amount of incremental spectrum that we were asking, which will enable us to enhance and grow our 5G networks and increasing capacity and speeds. Moving to the center of the slide, consumer mobile remains our largest product with 60% share of revenue. This is followed by a consumer fixed business representing just under 30% and then a small but fast-growing B2B operations. Costa Rica is our most competitive fixed market with five nationwide players, while in mobile we compete against two other operators. Overall, I am very pleased with our performance and future growth prospects in Costa Rica as we await for approval of our proposed merger with ICO, which we expect to close towards the end of the year. Moving to slide eight in our Liberty Networks segment, this continues to be a great business for us with exceptional free cash flow generation. To provide some visibility of the underlying trends in the business, on the left side of the slide we present revenue broken down by lines of business. Enterprise has been the faster grower, up 9% year-over-year driven by growth in IT as a service and connectivity, especially in Colombia, Dominican Republic, and Honduras. Wholesale reported figures continue to be challenged by the impact of non-cash IRU declines, totaling 18 million year-over-year. This headwind is progressively reducing as IRUs are replaced by lease capacity sales. Full year rebase revenue declined by 2%, but excluding the impact of IRUs, it would have been up by 2%. Lastly, we are finalizing contract terms to commence the construction of Manta, our subsea cable system project in collaboration with Sparkle, owned by Telecom Italia and Gold Data. Next. to Slide 9 and Liberty, Puerto Rico. Starting on the left of the slide, in Q4, we added 5,000 fixed RGU's with broadband mostly flat. Adjusting for the impact of the discontinuation of ACP, we would have delivered an increased 7,000 broadband RGU's this year. Earlier this year, we also put through an annual pricing increase for a fixed base, which should underpin revenue performance. Our business continues to invest in products and infrastructure with 55,000 homes passed or upgraded to FTTH in the year. We also made material progress towards making our network gigabit ready. At the end of 2024, over 90% of our HFC homes were on DOCSIS 3.1, more than a 30 percentage point increase compared to the previous year. Overall, Our network is now capable of delivering speeds of one gigabit per second or more on 95% of our footprint. As a testament to the strength of our network, Ookla recently confirmed Liberty as having Puerto Rico's fastest network. Turning to mobile, we had a challenging year in Post Bay, with ECF disconnections exacerbating losses caused by the migration. In prepaid, our momentum continued in Q4 with a third consecutive quarter of net ads. As we integrate the Equistar distribution network in the coming months, we aim to build on this trend in a segment where there is significant opportunity. For postpaid, performance has been improving and Q4 losses more than halved sequentially. We also observed improvements in other key operating indicators such as NPS, which I will cover in the next slide. However, there is more work to do here, and we are focused on returning to net ads as quickly as possible. In the center of the slide, we show the revenue mix in Puerto Rico and our overall top-line decline versus 2023, mainly driven by the subscriber reduction we experienced over the course of the year. On slide 10, we wanted to show post-paid net ads and mobile NPS evolution over the past three years. On the left side of the slide, we break down activity into gross ads and disconnects. Gross ads have been relatively stable over the past three years, showing the underlying strength of our product offering. This includes the migration-related disruptions in 2024, when our sales force was redeployed to focus on customer care. Looking forward, we see an opportunity to offer bespoke and converged offerings to drive additions. Conversely, churn increased materially during the migration period, driven primarily by billing issues as we moved to new IT platforms, as well as the termination of the ECF program. In the past two quarters, we have seen our efforts to improve this metric drive lower disconnects and a reversal of the negative trend, a key component we strive for NetAds. On the right of the slide, we show NPS progression, which is a leading performance metric we monitor closely. The graph depicts the evolution of this metric since the beginning of Q1 2022 when our NPS was at similar levels as of today. Following Hurricane Fiona in Q3 2022, we recorded an improvement in the score as our customers recognized the reliability of our networks and our efforts to support our local communities in a time of crisis. During the migration, we then observed a marked deterioration of NPS related to technical or billing issues. Finally, as we discussed during our Q3 call, we are now getting back to pre-migration levels and 50 points better compared to the migration lows. Undeniably, 2024 is a very challenging year for us in Puerto Rico. And with hindsight, we underestimated how difficult the migration and recovery would be. However, our business still has a unique combination of leading mobile and fixed infrastructure. And we are determined to rebuild this business in 2025. Our strategy is simple. We are going back to basics. We're going to grow the top line, leveraging our best-in-class networks and FMC capabilities and focusing on customer care and churn reduction. We're going to recover margin, exercising cost controls through efficiency initiatives. And we're going to preserve liquidity. Reducing capital intensity as our fixed network is well invested and future-proof with 95% of our footprint being gigabit ready, and our mobile network continues to be the most reliable on the island. Moving to slide 11 and an overview of our infrastructure assets. On the left of the slide, you can see that across our consumer markets, 97% of our networks can support very high speed through either HSC or fiber-to-the-home. We continue to build fiber and migrate our customers from copper to fiber technology. Over the past year alone, our fiber-to-the-home proportion has increased by 9 percentage points as we expanded our footprint and upgraded our copper plant. Upgrading our networks is key focus for us, as you can see in the center of the slide. We are committed to getting virtually all our network to gigabit readiness, capable of delivering speeds of one gigabit per second and above. Having begun our journey with 7% of our network at this standard in 2018, we advanced in 2024 and anticipated further progress this year. On the right of the slide, we show fixed and mobile network information by market. Notably, we are 100% fiber in Barbados, and the majority of our footprint is FTTH in Panama, Jamaica, and the Bahamas, with great strides made in Costa Rica where we ended the year with 45% fiber, more than double where we were a year ago. During 2024, we also launched 5G in three more markets for a total of five, with all the remaining ones operating on LTE. Overall, I'm proud to say that we have some of the best in-class networks across the regions as recognized by the loyalty of customers as well as external parties. BTC in the Bahamas secured awards from Ookla for the best fixed network, fastest fixed network, best fixed gaming experience, and best mobile video experience. MassMobile in Panama won the fastest fixed and mobile networks according to Ookla. Liberty, Puerto Rico, was named the island's fastest fixed network by Euclid for the eighth consecutive year and the most reliable mobile network by Global Wireless Solutions for the 17th consecutive year. Finally, to slide 12, in our strategic focus areas, recognizing progress made in 2024 and focus areas for 2025 driving towards longer-term shareholder value creations. These priorities are split across three pillars and consistent with those we have previously identified. First, network and IT. We are investing in leading infrastructure to support our customers in the region as I covered on the previous slide. We will continue to do this while at the same time having an opportunity to reduce our capital intensity as Chris will cover in his section. Second, our commercial strategy. we saw traction across our converged offers, closing the year with over 30% FMC penetration in Panama, Jamaica, and Costa Rica, which represents an increase of between six and eight percentage points year over year. In 2025, we will focus on driving penetrations through refresh converged offerings. In 2024, we successfully completed price increases in both fixed and mobile across our main markets. return in line or below expectations. This will provide a lever to drive top line future in future years. We believe that delivering a strong digital platform is vital to meeting our customers where they want to interact with us, improving the customer journey and the driver of cost efficiencies. In 2024, we achieved 25% digital sales across the group, exceeding our goal for the year. And our target is to approach the 30s in 2025. I also want to note that we continue to see significant opportunity to grow our B2B business in the region, including through targeting specific segments such as hospitality, where we can leverage our leading infrastructure and balance sheet strength. Third and finally, operational and capital allocation. In 2024, we reinforce our mobile operations in Puerto Rico by completing the acquisition of Spectrum and subscribers from Equistar. We started the process of future-proofing our capital structure at CNW, which we have now completed. We invested over $300 million in our equity through the redemption of the remainder of our convertible note and stock purchases. In 2025, our operational priority will be rebuilding Liberty Puerto Rico. In addition, we believe we have a substantial margin opportunity across our business and are working on several cost reduction initiatives to increase operational leverage as Chris will cover in more detail in his sections. This was a success story in 2024 and will provide further tailwinds in the coming years. Finally, we are excited about our opportunities in Peru. The business finished the year with over 3.1 million homes passed and approximately half a million internet RGUs. According to the latest data from the regulator, WOW is the fastest-growing broadband provider in Peru. Overall, we appreciate the overhang Liberty Puerto Rico has created, and it is on us to demonstrate value. But I tell you, we still believe that the true worth of our company is not reflected in the current stock price. 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?