Cable One Q4 Broadband Subscriber Loss of 10,700; $480M MBI Stake Deal
Cable One lost 10,700 residential broadband customers in Q4 while eero-powered in-home service adoption grew over 30% year-over-year and sell-in penetration topped 80%. The company aims to close the $480 million purchase of the remaining 55% of Mega Broadband Investments in October, resulting in pro forma leverage just above 4x.
1. Q4 Subscriber Trends
Cable One reported a net loss of approximately 10,700 residential broadband customers in Q4, reflecting improvements over earlier quarters but remaining negative due to competitive pressure from fixed wireless access and fiber overbuilds.
2. In-Home Service Adoption
Advanced in-home capabilities powered by an eero partnership grew over 30% year-over-year, with sell-in adoption exceeding 80%, as the company implements simplified pricing and updated offers to reduce churn.
3. Mobile Pilot Expansion
The company launched a mobile pilot in six markets in Q4, focusing on operational readiness across provisioning, billing and customer care, and plans a broader rollout across its footprint in late Q1 to bolster retention and acquisition.
4. Mega Broadband Investments Acquisition
Cable One exercised its option to acquire the remaining 55% of Mega Broadband Investments for approximately $480 million, with expected net indebtedness of $845 million to $895 million at close and pro forma leverage just above four times; integration planning is underway.