The Sunrise Holding Group
Condensed Combined Financial Statements
March 31, 2024
The Sunrise Holding Group | |
TABLE OF CONTENTS | |
Page | |
Number | |
Condensed Combined Balance Sheets as of March 31, 2024 and December 31, 2023 (unaudited) | |
Condensed Combined Statements of Operations for the Three Months Ended March 31, 2024 and 2023 | |
Condensed Combined Statements of Cash Flows for the Three Months Ended March 31, 2024 and 2023 | |
Notes to Condensed Combined Financial Statements (unaudited) | 9 |
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF | |
OPERATIONS | 32 |
The Sunrise Holding Group
CONDENSED COMBINED BALANCE SHEETS
(unaudited)
March 31, | December 31, | ||||
2024 | 2023 | ||||
in millions | |||||
ASSETS | |||||
Current assets: | |||||
Cash and cash equivalents | € | 14.8 | € | 6.0 | |
Trade receivables, net (notes 3 and 10) | 440.8 | 421.7 | |||
Related-partyreceivables (note 10) | 5.8 | 6.6 | |||
Derivative instruments (note 4) | 260.9 | 255.2 | |||
Prepaid expenses | 103.2 | 139.1 | |||
Other current assets (note 3) | 215.5 | 262.3 | |||
Total current assets | 1,041.0 | 1,090.9 | |||
Related-partyreceivables (note 10) | 49.6 | 159.3 | |||
Property and equipment, net (notes 6 and 8) | 2,655.1 | 2,787.6 | |||
Goodwill (note 6) | 6,239.2 | 6,535.6 | |||
Intangible assets subject to amortization, net (note 6) | 1,099.4 | 1,247.2 | |||
Operating lease right-of-use(ROU) assets (note 8) | 1,423.7 | 949.8 | |||
Other assets, net (notes 3, 4 and 10) | 295.2 | 487.6 | |||
Total assets | € | 12,803.2 | € | 13,258.0 | |
The accompanying notes are an integral part of these condensed combined financial statements.
1
The Sunrise Holding Group
CONDENSED COMBINED BALANCE SHEETS - (Continued)
(unaudited)
March 31, | December 31, | ||||
2024 | 2023 | ||||
in millions | |||||
LIABILITIES AND COMBINED EQUITY | |||||
Current liabilities: | |||||
Accounts payable (note 10) | € | 202.4 | € | 286.5 | |
Deferred revenue (note 3) | 133.1 | 72.7 | |||
Derivative instruments (note 4) | 116.6 | 193.5 | |||
Current portion of debt and finance lease obligations (notes 7 and 8) | 305.9 | 346.3 | |||
Current operating lease liabilities (note 8) | 100.5 | 74.6 | |||
Accrued capital expenditures | 78.5 | 72.9 | |||
Other accrued and current liabilities: | |||||
Third-party | 477.9 | 576.5 | |||
Related-party(note 10) | 41.5 | 53.3 | |||
Total current liabilities | 1,456.4 | 1,676.3 | |||
Long-term debt and finance lease obligations (notes 7 and 8) | 5,623.0 | 5,530.9 | |||
Derivative instruments (note 4) | 508.0 | 813.2 | |||
Long-termoperating lease liabilities (note 8) | 1,134.7 | 879.6 | |||
Other long-termliabilities (notes 3 and 10) | 288.4 | 334.3 | |||
Total liabilities | 9,010.5 | 9,234.3 | |||
Commitments and contingencies (notes 4, 7, 8, 9 and 11) | |||||
Combined equity: | |||||
Parent entities: | |||||
Contributions and accumulated earnings in excess of distributions | 2,675.1 | 2,816.3 | |||
Accumulated other comprehensive earnings, net of taxes | 1,095.4 | 1,185.1 | |||
Total combined equity attributable to parent entities | 3,770.5 | 4,001.4 | |||
Noncontrolling interests | 22.2 | 22.3 | |||
Total combined equity | 3,792.7 | 4,023.7 | |||
Total liabilities and combined equity | € | 12,803.2 | € | 13,258.0 | |
The accompanying notes are an integral part of these condensed combined financial statements.
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The Sunrise Holding Group
CONDENSED COMBINED STATEMENTS OF OPERATIONS
(unaudited)
Three months ended
March 31,
2024 | 2023 | ||||
in millions | |||||
Revenue (notes 3, 10 and 12) | € | 797.9 | € | 764.5 | |
Operating costs and expenses (exclusive of depreciation and amortization, shown separately | |||||
below): | |||||
Programming and other direct costs of services (notes 8 and 10) | 258.2 | 247.8 | |||
Other operating (notes 8 and 10) | 127.0 | 122.5 | |||
Selling, general and administrative (SG&A) (notes 8 and 10) | 156.5 | 149.6 | |||
Related-partyfees and allocations, net (note 10) | 6.3 | 19.6 | |||
Depreciation and amortization | 241.6 | 240.6 | |||
Impairment, restructuring and other operating items, net (note 8) | (0.1) | 0.4 | |||
789.5 | 780.5 | ||||
Operating income (loss) | 8.4 | (16.0) | |||
Non-operating income (expense): | |||||
Interest expense (note 10) | (99.5) | (87.1) | |||
Realized and unrealized gains (losses) on derivative instruments, net (note 4) | 397.5 | (3.0) | |||
Foreign currency transaction gains (losses), net | (452.0) | 15.6 | |||
Other income, net (note 10) | 8.1 | 3.7 | |||
(145.9) | (70.8) | ||||
Loss before income taxes | (137.5) | (86.8) | |||
Income tax benefit (note 9) | 7.4 | 18.6 | |||
Net loss | (130.1) | (68.2) | |||
Net earnings attributable to noncontrolling interests | (1.0) | (1.0) | |||
Net loss attributable to parent entities | € | (131.1) | € | (69.2) | |
The accompanying notes are an integral part of these condensed combined financial statements.
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The Sunrise Holding Group
CONDENSED COMBINED STATEMENTS OF COMPREHENSIVE LOSS
(unaudited)
Three months ended
March 31,
2024 | 2023 | ||||
in millions | |||||
Net loss | € | (130.1) | € | (68.2) | |
Other comprehensive loss, net of taxes: | |||||
Foreign currency translation adjustments | (100.6) | (14.9) | |||
Pension-relatedadjustments and other | 10.9 | (0.4) | |||
...........................................................................................................Other comprehensive loss | (89.7) | (15.3) | |||
Comprehensive loss | (219.8) | (83.5) | |||
Comprehensive earnings attributable to noncontrolling interests | (1.0) | (1.0) | |||
Comprehensive loss attributable to parent entities | € | (220.8) | € | (84.5) | |
The accompanying notes are an integral part of these condensed combined financial statements.
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The Sunrise Holding Group
CONDENSED COMBINED STATEMENTS OF EQUITY
(unaudited)
Parent entities | ||||||||||||||
Contributions | Accumulated | Total | ||||||||||||
and | combined | |||||||||||||
accumulated | other | equity | Non- | Total | ||||||||||
earnings in | comprehensive | attributable | ||||||||||||
excess of | earnings, | to parent | controlling | combined | ||||||||||
distributions | net of taxes | entities | interests | equity | ||||||||||
in millions | ||||||||||||||
Balance at January 1, 2023 | € | 3,187.7 | € | 1,109.1 | € | 4,296.8 | € | 17.8 | € | 4,314.6 | ||||
Net loss | (69.2) | - | (69.2) | 1.0 | (68.2) | |||||||||
Other comprehensive loss, net of taxes | - | (15.3) | (15.3) | - | (15.3) | |||||||||
Technology-related transfer pricing recovery fee | (13.3) | - | (13.3) | - | (13.3) | |||||||||
(note 10) | ||||||||||||||
Share-based compensation (note 10) | 3.4 | - | 3.4 | - | 3.4 | |||||||||
Capital charge in connection with the exercise or | (1.0) | - | (1.0) | - | (1.0) | |||||||||
vesting of share-based incentive awards (note 10) ... | ||||||||||||||
Other, net | 0.2 | - | 0.2 | (0.1) | 0.1 | |||||||||
Balance at March 31, 2023 | € | 3,107.8 | € | 1,093.8 | € | 4,201.6 | € | 18.7 | € | 4,220.3 | ||||
The accompanying notes are an integral part of these condensed combined financial statements.
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The Sunrise Holding Group
CONDENSED COMBINED STATEMENTS OF EQUITY- (Continued)
(unaudited)
Parent entities | ||||||||||||||
Contributions | Accumulated | Total | ||||||||||||
and | combined | |||||||||||||
accumulated | other | equity | Non- | Total | ||||||||||
earnings in | comprehensive | attributable | ||||||||||||
excess of | earnings, | to parent | controlling | combined | ||||||||||
distributions | net of taxes | entities | interests | equity | ||||||||||
in millions | ||||||||||||||
Balance at January 1, 2024 | € | 2,816.3 | € | 1,185.1 | € | 4,001.4 | € | 22.3 | € | 4,023.7 | ||||
Net loss | (131.1) | - | (131.1) | 1.0 | (130.1) | |||||||||
Other comprehensive loss, net of taxes | - | (89.7) | (89.7) | - | (89.7) | |||||||||
Technology-related transfer pricing recovery fee | (8.0) | - | (8.0) | - | (8.0) | |||||||||
(note 10) | ||||||||||||||
Capital charge in connection with the exercise or | (6.7) | - | (6.7) | - | (6.7) | |||||||||
vesting of share-based incentive awards (note 10) ... | ||||||||||||||
Share-based compensation (note 10) | 3.9 | - | 3.9 | - | 3.9 | |||||||||
Other, net | 0.7 | - | 0.7 | (1.1) | (0.4) | |||||||||
Balance at March 31, 2024 | € | 2,675.1 | € | 1,095.4 | € | 3,770.5 | € | 22.2 | € | 3,792.7 | ||||
The accompanying notes are an integral part of these condensed combined financial statements.
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The Sunrise Holding Group
CONDENSED COMBINED STATEMENTS OF CASH FLOWS
(unaudited)
Three months ended
March 31,
2024 | 2023 | ||||
in millions | |||||
Cash flows from operating activities: | |||||
Net loss | € | (130.1) | € | (68.2) | |
Adjustments to reconcile net earnings (loss) to net cash provided by operating activities: | |||||
Share-basedcompensation expense | 5.2 | 5.0 | |||
Related-partyfees and allocations, net | 6.3 | 19.6 | |||
Depreciation and amortization | 241.6 | 240.6 | |||
Impairment, restructuring and other operating items, net | (0.1) | 0.4 | |||
Realized and unrealized losses (gains) on derivative instruments, net | (397.5) | 3.0 | |||
Foreign currency transaction losses (gains), net | 452.0 | (15.6) | |||
Deferred income tax benefit | (8.6) | (19.0) | |||
Changes in operating assets and liabilities, net of the effects of acquisitions and dispositions... | (51.7) | 26.8 | |||
Net cash provided by operating activities | 117.1 | 192.6 | |||
Cash flows from investing activities: | |||||
Capital expenditures, net | (140.3) | (119.7) | |||
Repayments from related parties, net | 213.8 | 94.6 | |||
Cash paid in connection with acquisitions, net of cash acquired | (2.9) | (68.3) | |||
Net cash provided (used) by investing activities | € | 70.6 | € | (93.4) |
The accompanying notes are an integral part of these condensed combined financial statements.
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The Sunrise Holding Group
CONDENSED COMBINED STATEMENTS OF CASH FLOWS - (Continued)
(unaudited)
Three months ended
March 31,
2024 | 2023 | ||||
in millions | |||||
Cash flows from financing activities: | |||||
Repayments of related-partydebt, net | € | (136.3) | € | (9.0) | |
Operating-relatedvendor financing additions | 58.2 | 62.6 | |||
Repayments and repurchases of third-party debt and finance lease obligations: | |||||
Principal payments on operating-relatedvendor financing | (83.7) | (24.8) | |||
Principal payments on capital-relatedvendor financing | (12.3) | (70.3) | |||
Principal payments on finance leases | (2.9) | (0.7) | |||
Net cash paid related to derivative instruments | - | (57.3) | |||
Net cash used by financing activities | (177.0) | (99.5) | |||
Effect of exchange rate changes on cash and cash equivalents and restricted cash | (1.3) | 3.1 | |||
Net increase in cash and cash equivalents and restricted cash | 9.4 | 2.8 | |||
Cash and cash equivalents and restricted cash: | |||||
Beginning of period | 7.5 | 3.5 | |||
End of period | € | 16.9 | € | 6.3 | |
Cash paid for interest - third-party | € | 124.0 | € | 124.6 | |
Net cash paid for taxes | |||||
€ | 1.3 | € | 0.6 | ||
Details of end of period cash and cash equivalents and restricted cash: | |||||
Cash and cash equivalents | € | 14.8 | € | 5.3 | |
Restricted cash included in other assets, net | 2.1 | 1.0 | |||
Total cash and cash equivalents and restricted cash | |||||
€ | 16.9 | € | 6.3 | ||
The accompanying notes are an integral part of these condensed combined financial statements.
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Liberty Global Ltd. published this content on 16 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 16 May 2024 20:25:57 UTC.