Consolidated Communications Holdings, Inc. (NASDAQ:CNSL) Q4 2022 Earnings Conference Call February 28, 2023 8:30 AM ET
Company Participants
Philip Kranz - Senior Director, Investor Relations
Robert Udell - President, CEO & Director
Fred Graffam - EVP & CFO
Conference Call Participants
Gregory Williams - Cowen and Company
Michael Rollins - Citigroup
Robert Williams - Octagon Credit Investors
Operator
Ladies and gentlemen, good morning. My name is Abby, and I will be your conference operator today. At this time, I would like to welcome everyone to the Consolidated Communications Fourth Quarter Earnings Conference Call. Please be advised that today's conference is being recorded. [Operator Instructions].
Thank you. And I will now turn the call over to Philip Kranz, Senior Director of Investor Relations. Philip, you may begin your conference.
Philip Kranz
Good morning, and thank you for joining Consolidated Communications' fourth quarter 2022 earnings call. Our earnings release, financial statements and presentation are posted on the Investor Relations section of our website at ir.consolidated.com. Please review the safe harbor provisions on Slide 2 of the presentation. Today's discussion includes forward-looking statements about expected future events and financial results that involve risks and uncertainties that may cause actual results to differ materially from those expressed today. A discussion of factors that may affect future results is contained in Consolidated's filings with the SEC. In addition, during this call, we will refer to certain non-GAAP financial measures, which are defined and reconciled in our earnings presentation and press release.
With me today are Bob Udell, President and Chief Executive Officer; and Fred Graffam, our Chief Financial Officer. Following their prepared remarks, we will open the call up for questions.
I will now turn the call over to Bob Udell.
Robert Udell
Thank you, Philip, and good morning, everyone. Before I provide an update on the fourth quarter, I'll start on Slide 4 and discuss our journey from a copper-based telecom to a leading fiber broadband provider. In early 2021, after solidifying our capital structure, we started the most aggressive fiber expansion plan in our company's 128-year history. Over the last 2 years, we've made remarkable progress on this growth plan. Our mission is to turn technology into solutions, connecting people and enriching how they work and live. Our service commitment has never been stronger as we deliver world-class fiber broadband to the communities that need it the most, unserved and underserved alike.
Our commitment is born out of the belief that access to education, health care, employment, entertainment and the larger world is what creates vibrant communities and a better quality of life. During 2022, we achieved several key milestones that demonstrate progress on our ongoing transformation and puts us on a path to return to revenue growth. Our total consumer broadband connections grew in 2022, fueled by the addition of more than 40,000 fiber subscribers during the year. The increase in fiber net adds of more than 2.5x drove our 2021 cohort penetration rate of just over 15%, which exceeded our 1-year target. On the heels of another strong build year in 2022, we surpassed 1 million total gigabit fiber locations at year-end and now have extended fiber to nearly 40% of our addressable market. This is nearly a 4x increase from the start of our plan in 2021, an important inflection point.