Author Topic: CTL - CenturyLink  (Read 117061 times)

Valuehalla

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Re: CTL - CenturyLink
« Reply #150 on: December 15, 2017, 09:57:30 AM »
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Valuehalla

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« Last Edit: December 23, 2017, 06:21:10 PM by Valuehalla »
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Valuehalla

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BRK FFH MKL LVLT CTL BAC WFC BMY MRK MCD MO PM

Valuehalla

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Re: CTL - CenturyLink
« Reply #153 on: February 07, 2018, 03:19:00 PM »
Temasek Holdings (Fund of Signapur Gov) holds 8,7 % of CTL on 5th Feb 2018

http://ir.centurylink.com/Cache/392090289.pdf

Temasek was an anker investor of LVLT for many years. So they are still on board.
Their former share of LVLT was 18 %.
LVLT shareholders own 49% of the new entity.
>> So that looks like no big change after the aquisition is done by Temasek.

ANKER INVESTORS ARE NOW:
Temasek                                      8,7 %
Corvex (Keith Meister)                   6,7 %
Longleaf (Mason Hawkins)             6,7 %
« Last Edit: February 07, 2018, 04:10:23 PM by Valuehalla »
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Valuehalla

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Re: CTL - CenturyLink
« Reply #154 on: February 08, 2018, 07:40:28 AM »
BlackRock Inc.

Today a 13G/A filling came out:

http://ofccolo.snl.com/cache/392108638.PDF

BlackRock holds on 31th December 2017 6,7 % of CTL, which is a strong increase:

From old CTL (standalone without LVLT) they were holding 4,25 % on 29th September 2017 according to yahoo

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gfp

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Re: CTL - CenturyLink
« Reply #155 on: February 08, 2018, 07:41:53 AM »
I imagine they held some LVLT as well and this just reflects the combined stake.  It's like getting excited that Vanguard has taken a big position in your company - it doesn't mean anything

BlackRock Inc.

Today a 13G/A filling came out:

http://ofccolo.snl.com/cache/392108638.PDF

BlackRock holds on 31th December 2017 6,7 % of CTL, which is a strong increase:

From old CTL (standalone without LVLT) they were holding 4,25 % on 29th September 2017 according to yahoo

Valuehalla

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Re: CTL - CenturyLink
« Reply #156 on: February 08, 2018, 09:17:58 AM »
Time to be excited about the share of BlackRock in new CTL:

Sure, the mentioned 6,7 % holding from BlackRock are for the combined new CTL entity.

BlackRock holdings in old standalone companies were:
Shares of CTL were 4,25 %     
Sahres of LVLT were 5,04 %
AVG = 4,637 % ( LVLT 49 % and CTL 51 % in new entity)

So its a clear increase! They increased the stake by 44 % !
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kab60

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Re: CTL - CenturyLink
« Reply #157 on: February 08, 2018, 09:44:36 AM »
And so somebody else must have sold... Really, it is a huge nonevent.

brker_guy

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Re: CTL - CenturyLink
« Reply #158 on: February 08, 2018, 11:02:06 AM »

Valuehalla

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Re: CTL - CenturyLink
« Reply #159 on: February 14, 2018, 02:00:57 PM »
Q4 Figures are out:

http://ir.centurylink.com/file/Index?KeyFile=392193775

They expect for 2018 a FCF after dividends of 805 M to 1,05 B, which mean a FCF in total of 3,15B to 3,35 B, compared to a marketcap of 18,79 B = ratio of just 5,6 to 5,7 = 16,8 % to 17,8 %

Dividend payout ratio lower than 73 %, so dividend is safe for 2018.

CTL was up app 10 % in aftertrading

LVLT
LVLT standalone figures were excellent:
- Total Revenue Q4=2,11B increased in Q4 3,8 % YoY.... and Core Network Revenue (Q4=2,017B) increased 4,3 % YoY and even 2,7 % from Q3 to Q4 !
- FCF very strong for Q4 353 M + 33 % YoY  (Q3 was already very strong with 369M), so it looks like that just LVLT standalone can provide 1,4 to 1,5 B to the FCF of the whole entity.
- LVLT Total revenue Q4 = 2,11 B

CTL

CTL standalone figures were good:
I compare the CTL revenue quarter to quarter, because there was the sale of the colocation & data centers in 2017: that makes it more transparent to elaborate, if and which part of the revenue is shrinking or not:
- Strategic revenue 1,905 B is stable (even slightly increasing by 0,7% from Q3 to Q4) as projected here in CoBF in the past >> see my post on 20th Nov.; so no lost in this revenue segment
- Legacy revenue 1,633 B is shrinking ( - 2,4 % from Q3 to Q4 >> = - 9,2 % shrinking YoY) as projected here in the CoBF in the past >> see my post on 20th Nov; so no surprise
- Other Revenue and Dataintegration revenue both app. stable Q to Q and YoY (313 M and 113 M)   
- CTL Total revenue Q4 = 3,964B

LVLT + CTL Total Revenue in Q4 2017 = 6,074 B

Conference Call:
- Taxreform will lower payments for taxes massively in the next 5 years
- Management is willing and able to pay the dividend
- Pointing out that LVLT had strong results in Q4
- No big surprises in the integration, which is on track, synergy targets will be reached
- They expect increasing EBITDA over the next few years and plan to drive down leverage-ratio in the coming years to 3 to 4 times ratio
- weighted average cost of debt is currently about 5.7% with 65% being fix rate and 35% being variable-rate debt
- 9B of NOLs
- Shrinking legacy consumer business is now 25 % of total revenue, they try to improve it: simplifying and cutting costs. No remarks to maybe sell this segment. The "Price for Life" product is successfull with more than 1 M subscribers. They want push that.

Transcript:
https://seekingalpha.com/article/4146897-centurylink-ctl-q4-2017-results-earnings-call-transcript?page=1

Everything looks good to me, I am happy to sit on a big position of CTL, waiting for the next dividend payment and an increase in stockprice.

 
« Last Edit: March 13, 2018, 09:12:18 AM by Valuehalla »
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