Liberty Latin America Ltd. Reports Mixed Results in 2025 Annual Report
Liberty Latin America Ltd., a prominent telecommunications provider with operations across Latin America and the Caribbean, released its 2025 annual report, revealing a year marked by both challenges and strategic advancements. The company's results were notably affected by Hurricane Melissa, which struck Jamaica in late October, alongside the impact of acquisitions and foreign exchange fluctuations.
1. Overview of Financial Performance
Liberty Latin America operates within various segments, including Liberty Caribbean, C&W Panama, Liberty Puerto Rico, and Liberty Costa Rica. As of December 31, 2025, the company reported substantial infrastructure, with fixed networks passing 4.69 million homes and serving nearly 3.84 million RGUs (Revenue Generating Units), which encompass broadband internet, video, and fixed-line telephony subscribers. The company also boasted 6.79 million mobile subscribers.
Revenue Breakdown
In 2025, Liberty Latin America generated total revenue of $4.44 billion, slightly down from $4.45 billion in 2024. The revenue distribution by geography highlighted a mixed performance, influenced primarily by Hurricane Melissa's aftermath and competitive market conditions.
Revenue by Geography:
- Puerto Rico: $1.12 billion (down 4.93%)
- C&W Panama: $1.56 billion (up 2.66%)
- Liberty Caribbean: $2.39 billion (down 4.09%)
- Jamaica: $409 million (down 1.49%)
- Costa Rica: $631.2 million (up 3.1%)
- Networks & Latam: $377.6 million (up 5.77%)
Segment Performance
Liberty Puerto Rico faced challenges with a revenue decline attributed to lower average RGUs and the termination of a government-sponsored program. However, ARPU (Average Revenue Per User) saw a slight increase due to price adjustments.
C&W Panama experienced a revenue uptick due to an increase in broadband internet RGUs and strong mobile subscriber growth following a competitor's exit from the market.
Liberty Networks reported revenue growth driven by managed services and B2B connectivity.
2. Financial Statements Overview
Income Statement Analysis
The company reported a net income of -$611.2 million in 2025, a slight improvement from -$657 million in 2024. The operating income turned positive at $108.2 million, signaling recovery from the operating loss of the previous year.
| Feb 2025 | Feb 2026 | |
|---|---|---|
Net Income | -657M | -611.2M |
Net Income to Non-controlling Interest | 29.7M | 56.9M |
Profit | -627.3M | -554.3M |
Net Income Continuing | -627.3M | -554.3M |
Income Tax Expense | -4.1M | -98.5M |
Pretax Income | -631.4M | -652.8M |
Non-operating Income | -583.1M | -761M |
Operating Income | -48.3M | 108.2M |
Revenue | 4.45B | 4.44B |
Costs and Expenses | 4.50B | 4.33B |
Cost of Revenue | 989.4M | 975.9M |
Operating Expenses | 3.51B | 3.35B |
Depreciation, Depletion & Amortization | 968.3M | 904.9M |
Other Operating Expenses | 2.54B | 2.45B |
The income statement revealed several key figures:
- Revenue: $4.44 billion
- Total Costs and Expenses: $4.33 billion
- Operating Expenses: $3.35 billion
Balance Sheet Highlights
Liberty Latin America ended 2025 with total assets of $12.22 billion, a decrease from $12.8 billion in 2024. Total liabilities remained stable at $11.16 billion. The company’s equity saw a decline, primarily due to the impairments recorded during the year.
| Feb 2025 | Feb 2026 | |
|---|---|---|
Total Assets | 12.8B | 12.22B |
Total Current Assets | 2.13B | 2.24B |
Cash and Equivalents | 654.3M | 783.9M |
Accounts Receivable | 704.3M | 653.6M |
Notes and Loans Receivable | 109.6M | 133M |
Prepaid Expenses | 79.8M | 79.8M |
Other Current Assets | 583.5M | 595.9M |
Total Non-current Assets | 10.66B | 9.97B |
Intangible Assets | 5.20B | 4.68B |
Net PP&E | 4.06B | 3.84B |
Other Non-current Assets | 1.39B | 1.44B |
Total Liabilities and Equity | 12.8B | 12.22B |
Total Liabilities | 11.17B | 11.16B |
Total Current Liabilities | 2.04B | 1.97B |
Accounts Payable and Accrued Liabilities | 1.32B | 1.34B |
Current Debt | 553.2M | 503.8M |
Current Deferred Revenue | 116.3M | 127.4M |
Other Current Liabilities | 48.6M | 0 |
Total Non-current Liabilities | 9.13B | 9.18B |
Long-term Debt | 7.61B | 7.87B |
Non-current Deferred Revenue | 88M | 81.9M |
Non-current Deferred Tax Liabilities | 580.3M | 411.6M |
Other Non-current Liabilities | 847.3M | 820.6M |
Total Equity and Non-controlling Interests | 1.62B | 1.06B |
Total Equity | 1.12B | 555.6M |
Non-controlling Interests | 505M | 507.9M |
Cash Flow Statement
The cash flow statement indicated a net change in cash of $129.7 million for 2025, a recovery from the negative cash flow of -$329.5 million in 2024. The cash flow from operating activities was robust at $805.9 million, despite the operating profit being negative at -$554.3 million.
| Feb 2025 | Feb 2026 | |
|---|---|---|
Net Change in Cash | -329.5M | 129.7M |
Effect of Exchange Rate Changes | -10.9M | -40.3M |
Net Cash from Operating Activities | 756.3M | 805.9M |
Operating Profit | -627.3M | -554.3M |
Adjustment to Operating Profit | 1.38B | 1.36B |
Net Cash from Investing Activities | -688.5M | -592.3M |
Business & Interest in Affiliates | 95.4M | 0 |
Investments | 47.3M | 80M |
Productive Assets | 540.4M | 500M |
Other Investing Activities | -5.4M | -12.3M |
Net Cash from Financing Activities | -386.4M | -43.6M |
Debt | -257.4M | 70.7M |
Dividends | 55.1M | 73.3M |
Equity Issuance/Repurchase | -82.9M | 0 |
Other Financing Activities | 9M | -41M |
3. Impacts of Hurricane Melissa
Hurricane Melissa's impact on Jamaica was significant, resulting in infrastructure damage that reduced the homes passed by 133,000 and RGUs by approximately 136,000. The company anticipates a lower revenue outlook for the fourth quarter of 2025 and into 2026 due to recovery efforts. The hurricane incurred a revenue decline of about $20 million and a $27 million drop in Adjusted OIBDA, although Liberty Latin America received $81 million in net proceeds from Weather Derivatives coverage.
4. Strategic Focus and Future Outlook
Liberty Latin America remains committed to organic revenue growth through bundled services and enhanced network quality. The company aims to maximize ARPU by increasing the penetration of video, broadband, and mobile services. With several strategic investments and an emphasis on operational resilience, Liberty Latin America is poised to navigate competitive pressures while seizing growth opportunities in the rapidly evolving telecommunications sector.
5. Conclusion
As Liberty Latin America moves forward, the company faces the dual challenge of recovering from Hurricane Melissa and navigating a competitive landscape. The strategic focus on enhancing service delivery and maintaining financial health will be critical as the company aims to bolster its market position in the years ahead.
