Good morning, ladies and gentlemen, and thank you for standing by. Today's call is being recorded. I'll now turn the call over to Britta Reinhardt, Chief Commercial Officer, B2C, Liberty Caribbean.

Good morning and welcome to Liberty Latin America's second quarter 2026 investor call. At this time, all participants are in listen-only mode. Today's formal presentation materials can be found under the Investor Relations section of Liberty Latin America's website at www.lla.com. Following today's formal presentation, instructions will be given for a question and answer session. As a reminder, this call is being recorded. Today, remarks may include forward-looking statements, including the company's expectations with respect to its outlook and future growth prospects, and other information and statements that are not historical fact. Actual results may differ materially from those expressed or implied by these statements. For more information, please refer to the risk factors discussed in Liberty Latin America's most recently filed annual report on Form 10-K and quarterly report on Form 10-Q, along with the associated press release. Liberty Latin America disclaims any obligation to update any forward-looking statements or information to reflect any change in its expectations or in the conditions on which any such statement or information is based. In addition, on this call we will refer to certain non-GAAP financial measures which are reconciled to the most comparable GAAP financial measures which can be found in the appendices to this presentation which is accessible under the investors section of our website. I would now like to turn the call over to our CEO Mr. Balan Nair.

Thank you Britta and welcome everyone to Liberty Latin America's second quarter 2026 results presentation. I will be running through our group highlights and an overview of our operating results before chris noise of cfo reviews the company's financial performance we'll then get straight to your questions as always i'm joined by my executive team from across our operations and i'll invite them to contribute as needed during the q a following a prepared remarks as a point of housekeeping we will both be working from slides which you can find on our website at at www.lla.com. Starting on Slide 4 and our highlights. The second quarter showed continued solid operational trends across large parts of the We added 45,000 mobile postpaid and broadband subscribers in the second quarter, with all segments reporting positive contributions. Strong postpaid mobile trends have become a feature of our results, and this quarter we were also pleased to see improvements in broadband subscriber ads with momentum that extended across markets beyond the recovery in Jamaica. We all reported 3% year-over-year rebates adjusted or EBITDA growth in the second quarter. This represents an acceleration on Q1 trends and sets us up for a strong second half. We also reported another improvement in adjusted free cash flow before distribution to partners which, for the first half of 2026, was materially higher than in the same period last year. We already have cost efforts in flight, but we are excited, additionally, to have announced yesterday an AI-driven, cost-optimizing IT services deal with MDocs. This agreement will help sustain continued investment in AI capabilities, technologies, innovation, and digital transformation. And it will help drive further material OPEX and CAPEX reductions going forward, as we strive to continue expanding both adjusted OEBIDA margins and adjusted OEBIDA less P&E addition margins over the coming years. We estimate the NPV value of this deal to be worth north of $250 million. dollars following our announced intention at the time of our q1 earnings we successfully completed the distribution of 500 million dollars in preferred stock this represents an attractive cash return for shareholders who have held on to the paper in addition it represents us leaning into the levitt equity model as we have added gearing to the common equity this distribution should therefore be read as an indication of our growing confidence in the prospects of our business over the coming years. Turning to share repurchases, we have continued purchasing our common equity through Q2 and more actively in July. We continue to see a discount to fair value on our common stock. In part, we feel this persists given perceived headwinds from Puerto Rico, despite a clear commitment to fund Liberty Puerto Rico through local assets, as exemplified by our recent financing activities. However, we remain focused on value opportunities and appropriate capital allocation more broadly across the group, noting our recent sale agreement in Peru. Turning now to our operations. On slide 5, we review our Liberty Caribbean segment. While While we continue to see negative headwinds from Hurricane Melissa in Jamaica, the effect is clearly diminishing. On the top left of the slide, we show how Liberty Caribbean's postpaid subscriber base continue to expand, adding 11,000 postpaid subscribers, of which 6,000 were delivered in Jamaica in the second quarter and with a healthy contribution from our South Caribbean markets. In June, we were the first operator to launch 5G in Jamaica. The service covers approximately 70% of the population, and is available to our postpaid subscribers both on the residential and enterprise side, and should help maintain postpaid momentum. Our market-leading FMC offers continue to drive postpaid growth as we increase the penetration of our existing fixed subscriber base. We are also excited about our latest initiative in the Caribbean, Unbeatable Network, which is focused on the quality assurance of a fixed network as well as mobile connectivity enhancements helping to further drive FMC adoption. The unbeatable campaign is now live in Jamaica and Cayman and coming soon to other Liberty Caribbean markets as well as being deployed across the broader LLA group. In the Caribbean, it encompasses the unique concept of an always-on network both in fixed and mobile on the one hand fixed broadband is backed up by an automatic and seamless transition from home wi-fi to the mobile network to manage power outages further supported by wi-fi 6 and plume smart wi-fi for improved in-home connectivity on the other hand mobile connectivity is backed up by satellite through our starlink dtc partnership on the bottom left of the slide we show how the internet net ads performance have been quite consistent it is worth noting that the net ads figures exclude offline subscribers reconnected in the period in jamaica as a reminder these were offline customers we retain in our subscriber count through the outage period who are now back on the network and once again revenue generating in jamaica specifically we continue to recover revenue to its pre-hurricane levels. This reflects a combination of recovery in residential fixed and B2B, as well as a stronger performance in mobile. Overall, Liberty Caribbean is anchored by great products, upgraded networks, stable markets, and Jamaica recovery. Both our consumer and B2B segments are in good health. On slide 6, we review Cable & Wireless Panama, which as a segment provided the highest subscriber additions in the group in Q2 across postpaid and broadband. On mobile, we continue to see postpaid as a strong driver, reporting double-digit year-over-year subscriber growth. FMC continues to increase, running at over 40%. While we see ongoing prepaid to postpaid migration, we are still also growing the prepaid subscriber base in Panama. With the industry having had some pushback on prepaid price increases in Q1, recent regulatory commentary has been more supportive on the broader pricing environment, and in July, we initiated price increases on postpaid. Initial feedback has validated this approach, so far seeing lower customer care contact volumes and reduced churn relative to historical pricing actions. To further enhance our mobile service, in the second quarter we announced a partnership with Starlink, similar to the one we previously announced in Costa Rica. On the fixed side, we have shown a sharp increase in residential of broadband subscriber ads to 10,000 in the second quarter, reflecting successful commercial activities focused on quality first driving higher gross ads as well as a significant decline in churn versus Q1. We also registered strong net ads to both video and voice in the second quarter. As with Postpaid Mobile, we initiated fixed price increases in July and early feedback here has also been supportive we look forward to the roll out of our unbeatable campaign in Panama underpinned by always-on Wi-Fi in the home and strengthened with the mass Starlink launch for mobile on B2B we continue to see a healthy pipeline including activity around government project delivery and execution this is our typical cycle in B2B being second half waited. All in all, we are growing our operating metrics, we are innovating in products, and we are setting up for a good second half in Panama. Turning to Slide 7 and Liberty Networks, which recorded the best year-over-year revenue growth across the LLA Group in Q2. On our wholesale business, we recorded an increase in revenue growth to 14% year-over-year, driven this quarter by a healthy contribution from our project in El Salvador. We have a strong and productive working relationship with the government of El Salvador and have continued to deliver on the milestones required for the successful completion of this project. More broadly in wholesale, we see continued underlying demand for subsidy capacity from international and regional carriers and increasingly from hyperscalers. We are also recognizing recent changes in the geopolitical environment in Venezuela as providing opportunities to invest for further potential growth. Working alongside Kanteve, we are launching Phoenix, a submarine cable system that will have an extension of 378 kilometers and will provide 14 terabytes of capacity utilizing the Americas 2 route. This is a modest investment but will enable direct access to Caracas market which represents about half of Venezuela's total business traffic and the country's largest concentration of enterprise and carrier demand. While still early days for Venezuela, this positions Liberty Networks well with a third network connection point to support Venezuela's critical industries and a return to economic growth and broader prosperity for the country. Meanwhile, revenue growth in our enterprise business remains robust at low single-digit The Liberty Networks business continues to be a strong cash generator with a unique set of assets that provide a meshed and resilient grouping of network systems that we are carefully expanding with new and value-accredited routes. Turning to Slide 8 and Liberty Costa Rica, which remains one of our most dynamic markets and where cost-cutting efforts are starting to flow. On the fixed side, we continue to hold firm on volumes in the competitive fixed market, registering 2,000 broadband ads in the second quarter. Fix ARPU remains under some pressure, though sequentially fixed subscription revenue was relatively stable with volume support coming also from net ads to video and voice in the second quarter as we continue to nudge up our bundling ratio on the mobile side while we have seen somewhat more elevated competition and postpaid in recent quarters the lighter edition performance in q2 was additionally impacted by a planned and temporary pause as we migrated to new sales channels as part of our cost savings program. The run rate in July is already back to historic levels. We are also eagerly awaiting the commercial launch of Liberty Starlink in the second half of the year to help further differentiate our mobile offering. Anticipating this launch, we recently applied a price increase to reflect the improved offer coming soon which will be available to the majority of our customer base. Finally, and as Chris will talk to, we are beginning to see our cost reduction initiatives in Costa Rica come through in the numbers, helping drive strong year-over-year adjusted OEBIDA growth. Combined with our 5G mobile network, our nationwide 1 gigabit per second broadband network, a good economy, and our focus on repositioning B2B in this market, we are positive on the second half of this year, turning to Slide 9 and Liberty Puerto Rico. On the mobile side, we continue to advance our postpaid subscriber base, registering positive ads for the third consecutive quarter. Postpaid growth ads remain robust, while churn has improved quite significantly over the course of the first half. Our postpaid port-in data continues to improve and as of end of July, show we are net gainers versus both players in the market for the first time since the migration. Volumes here are being supported by a SIM-only offer, Liberty Simple, providing for attractive economics given the absence of subsidies. On prepaid, meanwhile, we are also seeing a more stable subscriber base and with the boost migration behind us, we can now turn our attention to growing the space over the coming quarters. On the residential fixed business, we continue to see better momentum through Q2. We registered a further reduction in broadband churn in Q2, having steadily improved now in each of the last three quarters. Fixed churn at Liberty Puerto Rico is one of the lowest across the LLA group. gross ads meanwhile additionally beginning to benefit from rapid growth in the much smaller usvi business within the segment at the start of q3 we went live in an above the line campaign on unbeatable network in puerto rico frequent power outages on the island suggest mobile backup to fix broadband should resonate well and further cement fixed broadband's customer stickiness We have also capitalized on our video superiority on the island. With the full lineup of local channels and a Spanish tier, we have delivered two consecutive quarters of positive video net ads. This turnaround is driven by both sides of the funnel. Growth ads are up approximately 50%, while churn has stabilized at healthier levels. On the back of this recovered base, we executed a $2 per month rate increase across the TV portfolio. This trend relies on the quality of the local content, and volume trends here are a marked contrast to current video trends seen in other markets such as the mainland US. And with that, I'll pass you over to Chris Noyes, our Chief Financial Officer, who will take you through our financial performance before we move on to your questions. Chris?

Thanks, Balan. Beginning on slide 11, Q2 2026 revenue was $1.1 billion, up 1% reported and flat on a rebase basis, while adjusted EBITDA was $436 million in the quarter, reflecting 3% rebase growth over Q2 2025. There are a number of high-level items to point out before we dig into the specific operations liberty networks was our strongest performer in the quarter including delivery of double digit re-based revenue growth liberty caribbean's results were impacted by the aforementioned hurricane melissa headwinds residential mobile service revenue expansion continues to be a bright spot across the group as we capitalize on fmc and prepaid to postpaid migration strategies. Focused savings initiatives across the group on both direct costs and OPEX are contributing to our consolidated adjusted OEBIDA margin of 40% in approximate 130 basis points year-over-year improvement. And finally, both consolidated revenue and adjusted OEBIDA grew sequentially over Q1-2026 results. Slide 12 recaps our Q2 results for the C&W credit silo. Starting with Liberty Caribbean, in Q2, LC reported $362 million in revenue and $165 million in adjusted EBITDA, reflecting rebased year-over-year declines. The principal driver of declines stemmed from Hurricane Melissa, which impacted LC by roughly $6 million net across both revenue and adjusted EBITDA. Notwithstanding this headwind, our recovery continues to progress very well and we are on tap for much improved results in q4 the key highlight in the quarter was continued success in residential mobile as lc delivered four percent rebase revenue growth on the back of fmc and pricing actions taken in the past quarters next moving to panama cwp generated 177 million dollars of revenue and 65 million dollars of adjusted oiboda during the quarter, with revenue flat and adjusted EBITDA down 5% year-over-year. In terms of revenue, lower B2B revenue in the quarter offset modest year-over-year growth in both residential mobile and fixed, which was supported by underlying subscriber momentum in postpaid and fixed subscribers. Adjusted EBITDA was impacted by lower B2B revenue and higher professional services costs, while the margin remained healthy at 37% in Q2. Turning to Liberty Networks, LN delivered $130 million in revenue and $67 million in adjusted OIBDA, representing rebase growth of 10% and 9% respectively. Rebased wholesale revenue increased 14%, supported by the second milestone on our El Salvador subsea project, and continued momentum in sales of lease capacity. Additionally, rebase enterprise revenue grew 3% with strength in IT services. Aggregating all three operating segments within the CNW credit silo, the silo generated $649 million in revenue, up 1% rebased, and $297 million in adjusted OIBDA, down 2% rebased. Moving to slide 13 and the Q2 results for our other two credit silos. On the left, Liberty, costa rica lcr delivered q2 revenue of 169 million dollars and adjusted oibida of 64 million dollars in q2 rebase revenue was flat in the quarter as residential mobile revenues growth of six percent was offset by continued year-over-year declines in both residential fixed and b2b however relative to q1's rebase decline in revenue lcr did demonstrate top line improvement in the quarter LCR delivered rebase-adjusted EBITDA growth of 7% in Q2 and margin expansion of approximately 200 basis points to 38%. This strong result reflects in part the positive impact from the operating team's cost out and efficiency program. Concluding with Liberty Puerto Rico on the right, LPR posted Q2 revenue of $288 million, dollars representing a five percent year-over-year rebase decline as both residential mobile and fix experienced single-digit declines while b2b was flat year-over-year a particular note sequentially residential mobile subscription revenue expanded modestly from q1 levels as postpaid subscriber momentum takes hold and given the improvement in rpu Adjusted EBITDA was $93 million, up 7% year-over-year on a rebase basis, and the adjusted EBITDA margin expanded to 32%, up from 29% last year. Turning to slide 14, on the left, P&E additions were $179 million in Q2 and $289 million year-to-date, representing 16% and 13% of revenue, respectively. As expected, Q2 spend was significantly higher than Q1 as a result of seasonality and phasing of key investment projects. We anticipate higher P&E additions in H2 compared to H1, but we still expect the full-year P&E additions as a percentage of revenue to be in the same envelope as 2025. Turning the right part of the slide, adjusted FCF before distributions increased to $83 million dollars in q2 and 19 million dollars for the first half these results reflect increases of 124 million dollars over q2 2025 and 164 million dollars over h1 2025 respectively drivers of this performance include stronger cash flow from operations including improved working capital as well as vendor financing phasing important to note that adjusted fcf in 2026 for puerto rico was a negative $48 million for Q2 and a negative $91 million for H1. For LLA, our 2026 adjusted FCF before distributions remained significantly weighted to Q4 performance, consistent with phasing as in prior years. However, after more favorable working capital timing in the first half, H2 likely won't be as robust as last year's second half, Due in part to proceeds we received in Q4 of last year from our weather derivatives program following Hurricane Melissa. Next to slide 15. On a consolidated basis, LLA had total debt of $8.5 billion, cash of $700 million, consolidated net leverage of 4.6 times, and borrowing capacity of around $900 million. Additionally, on the slide, one can see the relevant leverage and liquidity metrics for each of our standalone credit silos. Importantly, if we were to exclude LPR's net leverage, LLA's consolidated net leverage would fall by roughly a turn into the mid-threes. With respect to the Puerto Rico Reporting Group, the business continues to address its capital structure. During Q2, the business was able to utilize its own assets to secure additional funding for near-term liquidity needs. Specifically, LPR raised new financing through unrestricted subsidiaries, including a $140 million dollar 2030 revolving credit facility which replaces the prior rcf which was set to mature in q1 2027 and a 200 million dollar senior secured turnaround facility of which 150 million dollars has been drawn and 50 million dollars remains available moving to the top right of the slide in mid-june lla successfully distributed roughly 500 million dollars of notional value preferred stock to our common shareholders, this new instrument carries a 9% annual dividend, payable quarterly, and represents a highly attractive return for investors. In my view, the preferred is currently trading at a wide spread to both our CW and LCR debt, and we would encourage investors to take a closer look at this security. Post-preferred distribution and in line with our levered equity strategy, we have been active in repurchasing our common equity, including purchases through Q3 year-to-date. We have repurchased over $60 million of stock and have close to $140 million remaining under our authorization. No doubt, we will remain opportunistic buyers of our equity. Moving to our final slide, first, as highlighted by our results today, Q2 demonstrated continued progress. LLA reported robust postpaid mobile and broadband internet net additions. We returned to adjusted OIBIDA growth and delivered substantial year-over-year expansion in cash flow. As we look to rest of 2026, we intend to build upon our H-1 operational progress and lap the October 2025 Jamaica hurricane, all of which to set us up for a strong fourth quarter and positive momentum leading into 2027. Second, on product innovation and AI, we are leaning to these areas as Balan expressed. Not only can they help propel our top line, but should complement our cost takeout initiatives while also supporting improved customer experiences. We discussed exciting examples today, including the launching of our unbeatable network proposition and the signing of our IT services agreement. Third, capital allocation remains a priority for us. As discussed in May, we made the decision to lean into the levered equity model and re-gear our equity through the distribution of the preferred stock. This was a reflection of the confidence we have in our business, our desire to offer our shareholders a compelling cash return, and belief that this would unlock value for our shareholders. In closing, we remain focused on carrying out our value creation strategy over the coming quarters this includes deliver top line performance realize operational leverage through cost and capex optimization drive free cash flow and optimize our asset portfolio as exemplified by our recently announced peruvian exit taken together all of these items combined with our capital allocation approach should help us to close what we believe is a discount to our intrinsic value and further enhance shareholder returns. With that operator, let's open it up for questions.

The question and answer session will be conducted electronically. If you would like to ask a question regarding the company's operations, please do so by pressing star one to ask a question or star zero for operator assistance. If you're using a speakerphone, please make sure your mute function is turned off to allow your signal to reach our equipment. We'll pause for just a moment to give everyone an opportunity to signal for questions. Your first question comes from the line of Matthew Harrigan with Benchmark Stonex. Your line is open. Please go ahead.

Thank you. I guess, firstly, you kind of have not depressed, but depression valuations in U.S. cable stocks on account of Starlink, particularly with Charter. you know, how is your position there differentiated? I mean, you kind of regard them as a frenemy and you've got interesting partnership. And how does that partnership evolve over time, particularly when you get, you know, version three, you know, coming out? And obviously you've done some things on Spectrum already, but just a broad comment. And then I had one other question and I'll slide back into the queue.

Sure. Thanks, Matthew. You know, on the Starlink relationship, one, we're very positive on it. It helps bolster our products and makes the customer experience so much better. The way we look at this relationship is that it's an add-on to our existing product line. And I think what's unique in our market compared to others is, one, of course, as you pointed out, the spectrum availability. To remember, we are literally the one of the largest employers in many of the markets that we operate in and the government partners that we have and local, you know, authorities understand that and they understand that, you know, companies like ours actually contribute significantly to the economy of these businesses, of these countries. And therefore, you know, I think in a certain way, I think most of these markets are more ring-fenced than other markets where, you know, these satellite operators operate in. And so I think even in the long term, we see all these satellite guys as more partners and fill in the blanks type role as opposed to wholesale or large replacements of facilities actually on the ground.

And I guess the second question, you know, on Liberty Networks, and I know the business is lumpy, as has been shown in the past, and you're careful to point out to people, but it just feels like the growth curve is just really accelerating now. You know, Venezuela, obviously, in the hopper, just market by market, you know, El Salvador. Sure. And I know a few years ago, people were looking at the infrastructure investments and private equity and all that and saying, well, you could have a high-teen, mid-teen type multiple in that business. And even if you don't have a financial engineering event, it feels like you could have a really nice growth path there. I mean, do you have any internal goals or maybe not formal goals, but any animations on a high single digit, maybe even low double digit growth in that business for the rest of the decade? Because it just feels like there's just a cornucopia of activity there, to say the least.

You know, I think your instincts are correct on that for sure, which is why we kind of doubled down on a number of bills. The one coming out of Colombia into Mexico, Panama, coming back to Florida. We also have the on the Pacific side building out the El Salvador route. And as I mentioned earlier, we're building in new routes into Venezuela. We're quite bullish on that. And there are other opportunistic, you know, routes that we could be looking at as well. So these are, you know, the reason we really like this and why it's also considered infrastructure is the cash conversion on this business is extremely high. And the operating, you know, contribution margins are extremely high because when we build all these new routes, yes, we do spend the capex on it, but it doesn't increase our opex significantly. We have a couple of really strong managers, of course, led by Ray Collins, Carmine, Danilo. that there's a number of really strong managers we've moved over into this business unit because we think that not only not only because the opportunity is really good here but uh we think as well structurally i think this is one we're going to lean even more uh because clearly uh it it it gives us a much better return than uh our existing consumer business great thanks paul Thanks, Chris.

Your next question comes from the line of Ernesto Gonzalez with Morgan Stanley. Your line is open. Please go ahead.

Thank you for taking your question. It's two. First one is on the pace of execution of the remainder of the buyback program. Any comment on your thoughts on this would be greatly appreciated. And the second one is on Puerto Rico. Any updates on the strategic initiatives, including the potential spinoff of the unit? Thank you.

Hello, Ernesto. On the buyback, as Chris pointed out, we are going to be very opportunistic there. And as you can see, we really leaned into it in the last month or so after the PREF came out. And we'll continue to lean into it. But we are going to be very disciplined and smart about it. If you look at our prior stock purchases, buybacks, we've been very disciplined. And as a matter of fact, almost everything we've bought to date since the inception of LLA is in the money. And we are really kind of, you know, and like I said, we'll be very careful about this because there's many things in front of us, right? It's buybacks, delevering, looking at, you know, very creative M&A opportunities. And right now, you can see from the last month, buyback remains our focus. We really think our common equity is undervalued, and we're going to put our capital to work there. Your second question on LPR, Chris, I think, kind of alluded that as well. You know, it's a work in progress. We want to be very constructive with our counterparties on the debt side. And I think a resolution could come. You know, certainly we on the management team are working really hard to try to get to a resolution there. And on the spin, we indicated previously it's just one of the options that we have in front of us. And but clearly the Puerto Rico path today has a drag on our common equity. But listen, we've been very clear. we are not putting money into Puerto Rico. It is self-funded by the Puerto Rico operations. And we have a very strong Puerto Rico management team that is, you know, we've turned that business quite a bit around. Operationally, it is performing. And now we just need to work with our counterparties on the debt side. And I think we can find, you know, a meeting of the minds at some point between now and next year.

Really clear, just one follow-up. you mentioned potential M&A opportunities, any additional color on what type of assets you could be exploring?

We would only look at assets that are accretive to our current free cash flow generation. So two things that we would look at, you know, one, synergies, significant amount of synergies that can contribute to our free cash flow, and two, a glide path in any of these businesses that provide for future revenue growth as well. Those two are like the key things. And And then we balance it against where our stock is trading and which is a better use of our Right now, I can clearly tell you there is nothing out there that we see that's a better value than our own stock.

Really clear.

Thank you very much.

Your next question comes from the line of Roberto Versiani with Citigroup. Your line is open. Please go ahead.

Thank you for taking your questions. First on Puerto Rico, given the recent improvement in postpaid trends, could you talk a bit more about the current competitive environment, and especially in comparison to one year ago or like six months ago, and how sustainable you believe the current postpaid momentum is? And on a separate topic, could you discuss a bit more of the factors that drive your decisions around portfolio optimization or assets disposals? And within this context, what would be your long-term vision for the network's business? Thank you.

Sure. On Puerto Rico, you know, the improvements in our postpaid come from a number of different things one we really had to go back and improve all of our channels all of our operations and that was a project that we took on in you know the beginning of 25 and so our retail stores our call center inbound outbound everything got kind of you know re-engineered second we brought in a lot of new talent into the business and i'm very happy with the the team that we've assembled there in Puerto Rico. Very commercially minded, very operationally minded. So two things that happened there. Third, our product improved quite a bit. We invested quite a bit last year in the network. We fired up new spectrum and we really improved a lot of our network operations as well. So the product is extremely stable and very good. And with the new spectrum, we actually have the same spectrum position or volume as t-mobile and as a result once you start doing all these things and we and we got innovative on the on the commercial front as well where we have both a subsidized product and an unsubsidized product that is very economically viable for our customers and so once you mix all of that you know good things happen and we started to work on our churn so the operational improve improvements reduce churn the commercial improvements and the network improvements, improved sales, and we started turning positive. Our port-in-port-out ratio right now is looking very good, you know, and so both against T-Mobile and against Claro. They're both formidable competitors, make no mistake, but we are holding our own right now with both of them. So that's on Puerto Rico. The second question on portfolio optimization. We did announce our exit in Peru, and we feel really good about that. The counterparty there is clearly the Slim family and Claro. They're great partners. They've been our partners before, and I think it's really smart for them to consolidate that market in Peru. When we went into that market, clearly we had big ambitions there, but it quickly changed because it's just too many people, too many operators in that market. And we didn't see a path to acquiring any of the mobile operations there. So we said, you know, that's a market that we should probably exit. We're going to be very clear on markets that we want to participate in. It has to be rational. It has to be a market where the regulators are very pro-business or governments a pro-business. And so, you know, as we look at our existing portfolio, you know, listen, this is a Liberty company. Everything's for sale at the right price. And so, you know, and we've got inbounds on a number of things, but if it works, we'll do stuff. But not just on the sell side, but we are also actively looking at opportunities where we can deploy capital as well so we are going to be very very clear about both capital allocation and asset allocation thank you very clear just a quick follow-up in this context of optimization what what is your long-term vision for the networks business is is that a part of the business you were looking to um because holiday for example you know i think on the networks business clearly it has a much higher multiple on some of the parts and it's not a high multiple just because its infrastructure. It deserves a much higher multiple because of the cash conversion. So on a free cash flow yield basis, that should trade sending the teams for sure. And so as a standalone. And clearly, Chris and myself and our board will constantly think about how do we bring real clarity to the valuation of that business. Now, I can also tell you that there are opportunities, is both organically, like we are doing right now, building new routes and partnering with governments and building more routes and building more access into new cities, or inorganically, I mean, inorganically, where there are other assets out there that we could look at potentially for acquisition as well. But this is a business that we are quite excited about and led by a very good team.

Got it. Thank you so much.

Your next question comes from the line of David Lopez with New Street Research. Your line is open. Please go ahead.

Hi, thank you for the opportunity and congratulations on the robust quarter. A couple of questions, please. The first one would be on your partnership with Amdocs and the 250 million NPV you mentioned in the release. I was wondering if you can give a bit more color on this and especially on the timing and the phasing for these NPV. And the second question would be on free cash flow. So your generation was quite strong this quarter. I was wondering if you can comment on the remaining of the year. How are you thinking about the momentum? Is there like some timing issue or do you still expect a very strong Q4 as usual? Thank you.

Sure. I'll get to the MDOT's question. And I'll ask Chris to think about the free cash flow answer as well. On the MDocs, you know, this is really good work by my chief technologist as well as our IT team. We've been looking at our systems and most systems, you know, back office systems, you know, kind of act like a utility in a telecom company. And in many ways, it's made up of lots of legacy system with old code. and it becomes an operational project as opposed as to a transformational project. And what we were looking for is a partner that's done this in other places where they can take a lot of legacy systems, transform it, help us not only transform the technology, but transform our processes as well. And clearly with AI right now, we were looking with partners that are really leaning into AI. And MDocs, who, by the way, have been a partner with us, they are in our network. They understand our business really well. They are in telecoms. They have their own language models that are certainly just focused on the telecom industry. This is a very domain-specific AI transformation. And you want someone with domain-specific knowledge, both not only from a technology standpoint, but from an operational standpoint. So many reasons drove us to MDOT. And clearly, from that sense, we get to capture the cost savings. Instead of my management team working on that cost savings and working on that transformation, we find a partner that can almost guarantee us that cost savings and this transformation. So it'll make our company better. It takes costs out of our business. It de-riscs my legacy systems. You know, there's very little to not like about it. And in many ways, when you do something like this, you just have to pick someone who's trusted, who knows how to do this, who has been in the mobile business, has been in the fixed business, understands subscription billing. It's a very different world, and I think my team and my colleagues did a very good job with that. The timing on it is in the fourth quarter is when we begin the transition. We announced it within the company. A lot of our employees are going to move over to MDocs. There's a period where there's a handoff, but the immediate benefits and savings will start seeing in the fourth quarter this year already. On the free cash flow, you know, I can't tell you how happy I am with the numbers, the work that my team, you know, have been working on, on cost takeout, improving our operating margins, refocusing our products into more profitable products. So there's a lot of positive things to do. And going forward, I'll let Chris give you his commentary on that.

Yes. No doubt H1 was indeed strong and much improved relative to last year. We've continued to work on the working capital side, so we've been able to smooth out the phasing of that during the course of the year. So we are generating some cash earlier than we have typically had in the last number of years. In my prepared remarks, in terms of what I had communicated around the second half, no doubt Q4 is seasonally strong. It's always been strong for LLA. But I did make a pointed remark that we would expect H2, in terms of free cash flow, to be likely to be less robust than last year's second half. In part because, if folks recall, we did receive $81 million in weather derivative receipts in cash in the fourth quarter of last year. So we are comping against that. And in addition, I'd expect I would amortize and pay down some vendor financing in the second half. But we feel very good about just cash flow generation in the business. and as we set ourselves up for 2027. Thank you, Chris.

Very clear. Thank you.

Your next question comes from the line of Matthew Harrigan with Benchmark Stonex. Your line is open. Please go ahead.

Thank you. One more dangling question, if you don't mind. Jamaica, one of my favorite countries, can you update us on where you are relative to what was a $100 million free cash flow, albatross and the return to your run rate on the wave. And then secondly, you know, you listen to the news and you probably have more funky weather, bad weather stories than even Iran war stories right now, you know, really everywhere, Europe and all that, and now concerns in El Nino. When you look at Melissa, I mean, how confident are you? I know you have to deal with hurricanes as a given, but do you have any concerns about insurance and do you think you're going to have the availability, the parametric insurance, as you pointed out, that contributed substantially your Q4 cash flow last year. Obviously, those funds were subsequently used to rebuild Jamaica. But just any thoughts on the run rates and then any existential concerns on the weather? I know it's kind of an unfair question, but it's particularly relevant to your Caribbean business. Thanks.

Hey, Matthew. Sure. Happy to give you a perspective on Jamaica. One, the actual business operations itself is improving and we are getting very close to getting back to full strength. As a matter of fact, our mobile business have improved coming out of this and our market share have improved coming out of this. Our ARPU have improved coming out of this. A fixed business continues to rebuild. We are not yet back at 100% on our fixed business, but we anticipate to get pretty close to that. I think there are some homes that we will not rebuild back to, and it's just gone. But for the most part, we think we can get back to a pretty high level of penetration. And then on our B2B, we're pretty much back. On our B2B, most of our customers, the thing that we managed to on our B2B is really to bet that, and that's actually pretty much under control right now. So net-net, you can see from the second quarter in numbers, you know, Jamaica is getting closer and closer to where it was pre-hurricane. And I suspect by the time we get to the third quarter, we will get even better. And so we're on a good trajectory there. And it's no small part to the efforts of our team on the ground, led by a very capable young man, manager there, and my team in Miami as well, also led by an amazing young lady that's just completely focused on Jamaica for 2026. Now, on the weather, I'll talk a little bit about the weather and then I'll pass it on to Chris to talk about the insurance because, as you pointed out, everything we have, you know, we've got appropriate coverage and Chris kind of indicated, you know, the payout from last year just to remind everybody that we did get paid for the damage in Jamaica. On the weather front, you know, it's something that we track very closely. I mean, my team and I, I mean, starting in July, the NOAA website is like a permanent fixture on all of our screens. And as a matter of fact, next week, I'm taking my whole leadership team up to the NOAA headquarters up in Boulder and meeting with a lot of climatologists and hurricane experts. So we actually understand the weather patterns better. But, you know, there's something just beyond our control. The right way to handle this is through hedging it. And our parametric insurance plans have been actually very good. I don't see any issues with that going forward, but I'm going to let Chris talk about it.

Hi, Matt. Yeah. I mean, for upcoming season, you know, we are, you know, fully locked in terms of the parametric. You know, I think we were one of the, you know, kind of key global, you know, issues of the parametric. So, you know, we were able to do it in a, you know, even with the event we had in Jamaica with a very cost effective cover, you know, similar to prior years. So, you know, I think it's, you know, we feel good about what we have for the upcoming season. It's been done for several months, to be honest. Thanks, Chris.

That will conclude today's question and answer session. I'd like to hand back to Bala Nair for any additional or closing remarks.

Thank you, operator. And thank you, everybody, this morning for jumping on this call. We feel really positive about the business. Our focus on free cash flow and our focus on running the operations efficiently and very balanced against the needs of our customers and the needs of our shareholders. And I think we've struck that. And we feel really good about the future. If you look at our second quarter, we delivered positive net ads in both broadband and mobile, full speed. We delivered OEBITDA growth. We delivered free cash flow growth. We're paying out dividends. We're buying back stock. This team is very focused, very focused on our shareholders and very focused on value creation. And I want to thank you for your support.

Ladies and gentlemen, this concludes Liberty Latin America's second quarter 2026 investor As a reminder, a replay of the call will be available in the investor relations section of Liberty Latin America's website at www.lla.com. There you can also find a copy of today's presentation materials.