Ziply Fiber (fka Northwest Fiber) reported lower earnings for the first quarter of 2021, as it raised capex spending to improve network coverage, according to two sources familiar with the company.
The privately held company booked USD 136m of revenue in 1Q21, down from USD 145m in 1Q20, the sources said. Adjusted EBITDA was USD 52m, compared to USD 64m in 1Q20.
During the first quarter, Ziply spent USD 86m in capex, compared to USD 27m in the prior year.
At quarter-end, liquidity was USD 351m, comprising USD 251m of cash and USD 100m of revolver availability, according to the sources. Leverage was 4.6x based on USD 1.033bn of total debt and USD 225m of LTM adjusted EBITDA, they added.
Ziply’s USD 500m Libor+ 475bps term loan due 2027 is quoted today at 99.969/100.375, in line with recent levels, according to Markit.
The company’s USD 300m 6% senior unsecured notes due 2028 traded yesterday (2 June) at 99.5 to yield 6.089%, in line with recent levels, according to MarketAxess.
Ziply did not respond to a request for comment.