APX Group Holdings, Inc., or Vivint Solar, reported financial and operational results for the third quarter ended September 30, 2015. The company’s quarterly revenue increased 14.8% to US$168.6 million, and has added near 90,000 new customers during July and September. Its smart house solution is expected to lead the business.
Third Quarter 2015 Financial and Portfolio Highlights
- Total Revenues Increased 14.8% to $168.6 Million
- Adjusted EBITDA 1 up 30.3% to $102.7 Million , Net Loss of $125.1 Million
- 20.7% Growth in Net New Subscribers Originations
- 79.6% Adoption Rate of Additional Smart Home Services
- LTM Attrition of 12.0%, 80bps Year over Year Improvement
In the quarter, Vivint Solar surpassed 1 million customers with a record Average RMR per Subscriber of $55.00. The company’s launch of the doorbell camera, cloud data storage and other new products and services helped to boost the additional services adoption rate to approximately 78% this year.
The total revenue in 3Q15 was US$168.6 million, and Adjusted EBITA of US$102.7 million, comparing to US$146.9 million and US$78.8 million in 3Q14. The total RMR has also been raised from US$49.00 to US$55.8 Q-o-Q.
“Vivint’s Adjusted EBITDA continued to grow faster (30.3%) than total revenues (14.8%) in the third quarter as we achieved a record $102.7 million in Adjusted EBITDA, gaining scale and momentum”, said Mark Davies , CFO of APX Group . “Vivint’s Net Service Margin increased to 73.6% year-to-date, as Net Service Cost per Subscriber dropped to $14.50 from $15.29 for the first nine months last year. The Company’s LTM account attrition showed marked year over year improvement demonstrated by an 80 basis point reduction to 12.0%. We continued to scale fixed costs, as total G&A YTD, normalized for the $12.2 million non-cash gain on the merger-related escrow adjustment recorded in the second quarter 2015, was down more than $9 million or 10.1% year over year. Overall, we’re pleased with our year to date 2015 financial performance, which represents both operational execution and the benefits of Vivint’s economic model.”
