Liberty Latin America — Financial Results
Underlying Profitability Improved Significantly, Even as Revenue Was Flat
| Metric | 2025 | 2024 | Change |
|---|---|---|---|
| Total Revenue | $4,442M | $4,447M | -0.1% |
| Adjusted OIBDA | $1,706M | $1,565M | +$141M / +9% |
| Operating Income (Loss) | $108M | -$77M | +$185M swing |
| Net Loss | -$554M | -$660M | Improved by $106M |
Revenue was essentially flat, but Adjusted OIBDA (a measure of cash operating profit before debt costs, depreciation, and one-time items) jumped 9% to $1.71 billion. This improvement came almost entirely from cost cuts — particularly at Liberty Puerto Rico, where integration-related expenses from a 2024 acquisition largely fell away. The company still reported a net loss of $554 million, mainly because of heavy interest costs on its $8.4 billion debt load and large impairment charges.
Liberty Puerto Rico: Dramatic Margin Recovery, but Revenue Declining
| Metric | 2025 | 2024 |
|---|---|---|
| Revenue | $1,199M | $1,250M |
| Adjusted OIBDA Margin | 29.5% | 22.4% |
Puerto Rico is the company's largest segment by revenue, but it fell $51 million year-over-year — hurt by mobile subscriber losses tied to a difficult network migration in 2024, a drop in B2B (business-to-business) mobile revenue, and reduced government funding. On the positive side, the segment's profitability margin expanded sharply from 22.4% to 29.5% as one-time integration costs and billing/collection problems from 2024 did not repeat. The direction of travel on revenue is still a concern to watch.
A $494 Million Write-Down on Puerto Rico Spectrum Licenses Is a Red Flag
Liberty Puerto Rico's spectrum licenses (the government-granted rights to broadcast mobile signals) were written down by $494 million in 2025. This is a non-cash charge, but it signals that management believes the future value of this mobile business is meaningfully lower than previously assumed — likely reflecting ongoing subscriber losses and competitive pressure. A similar $516 million goodwill write-down hit Puerto Rico in 2024, making this a two-year pattern worth watching closely.
Hurricane Melissa Hit Jamaica Hard, With Lasting Revenue Impact
Hurricane Melissa struck Jamaica in late October 2025, forcing the company to remove 133,000 homes from its network footprint and write off 136,000 customer subscriptions. In Q4 2025 alone, the storm reduced revenue and Adjusted OIBDA by approximately $20 million and $27 million, respectively. Lower revenue is also expected through 2026, along with additional network rebuild costs. However, the company's Weather Derivatives (insurance-like financial contracts tied to storm events) paid out $81 million net — partially cushioning the financial blow.
Liberty Networks and C&W Panama Are the Standout Growth Stories
| Segment | Revenue Growth | OIBDA Margin 2025 | OIBDA Margin 2024 |
|---|---|---|---|
| Liberty Networks | +5.3% | 54.9% | 54.2% |
| C&W Panama | +2.7% | 38.1% | 35.3% |
Liberty Networks (the subsea cable and enterprise wholesale business) grew revenue organically by $22.8 million, driven by a large subsea cable construction contract and higher capacity sales. C&W Panama benefited from a competitor exiting the market in early 2024, fuelling mobile subscriber and revenue growth. Both segments expanded margins and represent the more stable, growing parts of the portfolio.
Debt Load Remains Heavy at $8.4 Billion, Though Near-Term Maturities Are Manageable
The company carries $8.36 billion in total debt at a weighted average interest rate of 6.8% after hedging. Interest expense rose $29 million in 2025 as balances and rates increased. The good news is that only $406 million is due within one year, with the bulk ($4 billion) not maturing until beyond five years. The company states it expects to be able to meet near-term obligations, but refinancing risk grows over time — and interest payments alone are projected to consume over $600 million in cash in the next 12 months.