Nine Months 2022 Results

The enclosed information constitutes regulated information as defined in the Royal Decree of 14 November 2007 regarding the duties of issuers of financial instruments which have been admitted for trading on a regulated market. Inside information.

• Continued FMC customer expansion, reaching 804,500 subscribers at Sept. 30, 2022 (+15,600). Accelerated postpaid net additions to 17,900 and stable broadband customer base despite certain inorganic factors and an intensified competitive environment.
• Improved financial trends in Q3 2022, leading to 1% revenue growth year-to-date, & 230% increase in year-on-year net profit and broadly stable Adjusted EBITDAaL on a rebased basis, offsetting higher staff and energy costs.
• FY 2022 outlook unchanged, while the consolidation of Caviar Group as of Q4 2022 is not expected to have a material impact on our projected rebased growth rates.

Mechelen, October 27, 2022– Telenet Group Holding NV (“Telenet” or the “Company”) (Euronext Brussels: TNET) announces its unaudited consolidated results under International Financial Reporting Standards as adopted by the European Union (“EU IFRS”) for the nine months ended September 30, 2022.

HIGHLIGHTS

• Revenue of €1,952.1 million for the first nine months of 2022, up 1% compared to the same period last year with a clear acceleration in Q3 as a result of the mid-June 2022 price adjustment (+3% year-on-year to €660.5 million).
• Net profit of €996.1 million for the first nine months of 2022. The robust 230% year-on-year increase was attributable to the gain on disposal of assets related to the TowerCo transaction as well as a significantly improved financial result due to a non-cash gain on our derivatives.
• Adjusted EBITDA⁽²⁾ of €1,017.9 million for the first nine months of 2022, -1% year-on-year, impacted by inflationary headwinds on our staff-related expenses and higher energy prices. Improved trend in Q3 in line with our top line performance, up 3% year-on-year to €347.3 million.
• Adjusted EBITDAaL⁽²⁾ for the first nine months of 2022 reached €925.1 million, marking a 2% decline year-on-year. On a rebased⁽¹⁾ basis, Adjusted EBITDAaL was broadly stable over the comparable period.
• Accrued capital expenditures⁽³⁾ for the first nine months of 2022 reached €1,203.4 million and included the recognition of the recently acquired mobile spectrum licenses and the tower lease. Excluding the recognition of certain football broadcasting rights, mobile spectrum licenses and certain lease-related capital additions impacts, as per our FY 2022 guidance, our year-to-date accrued capital expenditures were €448.3 million, equivalent to approximately 23% of revenue, up 17% year-on-year.
• Adjusted EBITDA less property & equipment additions⁽⁴⁾ (previously referred to as Operating Free Cash Flow) of €569.6 million for the first nine months of 2022, -11% year-on-year driven by higher accrued capital expenditures as a result of increased capital intensity and a 1% contraction in our Adjusted EBITDA as explained above.
• Net cash from operating activities, net cash from investing activities and net cash used in financing activities of €784.7 million, €329.3 million and €307.9 million, respectively, for the first nine months of 2022. Adjusted Free Cash Flow⁽⁵⁾ of €291.1 million, -3% year-on-year, reflecting (i) €14.2 million higher direct acquisition costs and (ii) an €8.0 million lower contribution from our vendor financing, more than offsetting €9.0 million lower cash taxes paid relative the first nine months of last year.
• Robust debt and liquidity profile characterized by (i) no debt amortizations prior to March 2028, (ii) weighted average maturity of 5.8 years, (iii) fully hedged debt profile, (iv) full access to €555.0 million of untapped liquidity under our revolving credit facilities and (v) €945.6 million of cash and cash equivalents at September 30, 2022.
• Stable net total leverage at 3.5x at September 30, 2022 on a last two quarters' annualized EBITDAaL basis and net covenant leverage at 2.3x relative to our springing maintenance covenant of 6.0x.