WideOpenWest's Q1 2025: Unpacking Contradictions in Liquidity, Greenfield Growth, and Subscriber Trends

Liquidity and capital expenditure plans, greenfield market performance, capital expenditures and Greenfield expansion, competitive landscape and net add expectations, HSD subscriber trends and ACP impact are the key contradictions discussed in WideOpenWest's latest 2025Q1 earnings call.



Strong Greenfield Market Momentum:
- WideOpenWest passed an additional 13,700 homes in greenfield markets, bringing the total to 75,600, achieving a penetration rate of 16.3%.
- The success was driven by strong consumer demand for fiber-to-the-home broadband offerings that deliver higher speeds at lower costs and exceptional customer service.

Improved ARPU and Cost Efficiency:
- ARPU increased to a record $75, up 3.7% year-over-year.
- This growth is attributed to successful pricing strategies, customer upgrades to high-value services, and effective cost management, including migrating customers off the video platform and aligning with YouTube TV.

Decline in Traditional Video Business:
- The traditional video business declined to 48,900 subscribers, a 38% decrease year-over-year.
- This trend is expected to continue as the company transitions to YouTube TV, which grew significantly during the year, and customers pursue alternative streaming options.

Record Adjusted EBITDA and Margin Improvement:
- Adjusted EBITDA for the quarter increased to $76.7 million, a 13.8% year-over-year increase, with a record adjusted EBITDA margin of 51.1%.
- These improvements were mainly due to the company's broadband-first strategy, restructuring of its business away from the video platform, and effective cost restructur