This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Shaw Communications Management Discusses Q3 2012 Results - Earnings Call Transcript

Earlier today, we released our Q3 results, and I'll make some brief remarks before we open the call for questions. We believe that results are consistent with the messages we delivered back in April. During the quarter, we focused on discipline, sustainable and profitable customer initiatives. And our Q3 financial performance reflects improvements, in line with our strategic approach regarding operational activities. We delivered on our commitment to reduce our cable cost structure, and our cable EBITDA margin for the 3-month period improved by 370 basis points to 47.5% compared to a quarter ago. Our free cash flow was over $200 million in Q3, and year-to-date free cash flow from our consolidated assets totals almost $380 million.

We continue to make good progress on our strategic priorities and investments, including our Wi-Fi and DNU projects. Our network is a strategic and differentiated advantage, and we continue to make the necessary investments to ensure that this position of leadership is maintained and enhanced. Our broadband product is superior to competitive alternatives, and this represents the foundation for our future success within our Residential Consumer business. Wi-Fi continues to gain attention and credibility regarding its role within the wireless broadband ecosystem, and we are pleased with the results of our network at this stage of the build. Going forward, as additional scale is created, we will begin to actively market this additional Wi-Fi service to Shaw customers.

Our improved user interface, DreamGallery, is currently being tested in 2 markets. And this will be widely deployed by the end of this year. This software is backwards-compatible with approximately 700,000 boxes we currently have deployed across our footprint. We believe this new and modern approach to our guide will be embraced by a large number of our existing customers.

Our Media business continues to be resilient even as the advertising market remains weak. Our portfolio of specialty channels continues to outperform, and our media team has done an exceptional job in proactively reducing costs. Shaw Direct continued to generate attractive amounts of free cash flow, and we recently have announced the strategic partnership with Xplornet and a new VOD service utilizing adaptive streaming technology. Both of these should create incremental revenue opportunities going forward.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.24 -0.41%
FB $117.81 -0.21%
GOOG $701.43 0.82%
TSLA $211.53 -4.96%
YHOO $36.94 2.61%


Chart of I:DJI
DOW 17,660.71 +9.45 0.05%
S&P 500 2,050.63 -0.49 -0.02%
NASDAQ 4,717.0940 -8.5450 -0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs