Liberty Latin America Ltd. (LILAK): ANSOFF MATRIX [Dec-2025 Updated]

You're looking at Liberty Latin America Ltd. (LILAK) and need to know exactly where the next dollar of growth comes from, right? Honestly, after two decades analyzing these markets, I've distilled their entire playbook into this Ansoff Matrix, mapping out clear actions from the safest bets to the biggest leaps. We're talking about building on that 30% Fixed-Mobile Convergence penetration from Q1 2025 and defending the 39% Adjusted OIBDA margin seen in Q3 2025, while simultaneously eyeing moves like launching 5G SA services in Costa Rica or even acquiring a regional FinTech platform. This isn't just theory; it's a concrete roadmap showing you how Liberty Latin America Ltd. (LILAK) plans to grow from here. Check out the specific steps below to see where the real opportunity-and the near-term risk-lies.

Liberty Latin America Ltd. (LILAK) - Ansoff Matrix: Market Penetration

Drive Fixed-Mobile Convergence (FMC) penetration past the Q1 2025 rate of over 30% in key markets.

• FMC penetration surpassed 30% across key markets by Q1 2025.
• In Q1 2025, FMC penetration saw a 4 percentage point rise year-over-year in some areas.
• Customers adopting FMC bundles reported a 17% increase in Average Revenue Per User (ARPU) in 2023.

Increase postpaid mobile net additions, building on the Q3 2025 strongest quarterly performance in three years.

• Q3 2025 delivered the strongest quarterly mobile postpaid additions in three years.
• Liberty Costa Rica contributed to adding almost 130,000 postpaid subscribers through the first 9 months of 2025, a 13% expansion on the Q4 2024 base.
• Liberty Latin America added close to 60,000 organic broadband and postpaid mobile net subscribers in Q1 2025 across key markets.

Leverage the nearly 100% Gigabit-ready fixed network to upsell existing broadband customers.

• The company is targeting nearly 100% Gigabit-ready fixed network coverage in 2025.
• By the end of 2024, 97% of fixed networks supported 1 Gbps speeds.

Execute cost reduction programs to maintain the Q3 2025 Adjusted OIBDA margin of 39%.

Liberty Latin America executed cost reduction programs to achieve an Adjusted OIBDA margin of 39% for the Q3 2025 quarter on a sequential basis. This was supported by rebased Adjusted OIBDA growth of 7% YoY for both Q3 and Year-to-Date (YTD) 2025.

Increase prepaid Average Revenue Per User (ARPU) through targeted price adjustments, especially in Jamaica.

• Performance was supported by higher prepaid ARPU following price increases, particularly in Jamaica.
• Hurricane Melissa impacted Jamaica in Q3 2025.

Liberty Latin America Ltd. (LILAK) - Ansoff Matrix: Market Development

You're looking at how Liberty Latin America Ltd. (LILAK) plans to grow by taking its existing services into new territories or new customer types. This Market Development quadrant is all about scale, and the numbers coming out of the latest reports show some clear action in the enterprise and mobile spaces.

Expanding Enterprise Connectivity Footprint

Liberty Networks is definitely pushing its enterprise connectivity and wholesale Points-of-Presence (PoPs) into new, high-potential areas. For instance, the enhanced PoP in Lima, Peru, marks a defining milestone for the company in that market. This move is part of a larger, ongoing $250 million five-year investment plan that started in 2023. With these additions, Liberty Networks now reaches a total of 96 wholesale PoPs across Latin America and the Caribbean. To give you a sense of the backbone supporting this, the company operates nearly 50,000 kilometers of submarine fiber optic cable and 17,000 kilometers of terrestrial networks, spanning over 30 countries. In Peru specifically, where Liberty owns 50% of Wow, the fixed broadband market is estimated to be worth $3.5 billion. Liberty allocated approximately $100 million in equity for that stake.

The focus on enterprise is paying off in the financials, too. For the third quarter of 2025, Liberty Latin America posted revenue of $1.1 billion, with rebased growth of 1% year-over-year. The CEO specifically highlighted a return to year-over-year revenue growth driven by improved B2B performance, noting better momentum on enterprise and government contracts.

Scaling Mobile Services with Spectrum Acquisition

You saw the strategic move to scale mobile services by utilizing the EchoStar spectrum buy. The aggregate asset purchase price for the spectrum assets in Puerto Rico and the US Virgin Islands (USVI) was a firm $255 million. The first installment paid on closing was $95 million. This deal brought in over 100 MHz of spectrum and approximately 85,000 pre-paid mobile subscribers. Before this, Liberty Puerto Rico had 834,800 mobile subscribers, with a prepaid base of 95,200. The acquisition boosts that prepaid base to around 180,200. The clear goal here is to drive fixed-mobile convergence (FMC) penetration, which was sitting at around 25% at the time of the deal announcement. To be fair, Liberty Puerto Rico's reported revenue was down 3% on a reported basis in Q3 2025, but the CEO pointed to the new Liberty Mix plan supporting ARPU with a 40% increase in September versus the month prior to launch.

Central American 5G Blueprint Deployment

The blueprint for underserved Central American markets is being executed via the new 5G Standalone (SA) network in Costa Rica. Liberty and Ericsson switched on the first 5G SA mobile service in Costa Rica and Central America in July 2025. This deployment uses a fully 5G-native infrastructure, not relying on 4G elements. The network implementation covers more than 1,400 sites and reaches around 3.7 million subscribers. This move sets a regional benchmark, as a 2022 study by Ericsson and Analysys Mason predicted 5G could boost Costa Rica's GDP by up to 0.46% by 2035. Furthermore, the company plans to expand next-generation mobile technology to new markets within the next 24 months.

Subsea Capacity Deals

Aggressively pursuing wholesale capacity deals is being supported by major subsea cable rollouts. Liberty Networks launched the MAYA-1.2 subsea cable system, which effectively doubles the capacity of the existing MAYA-1 system. This newly configured system spans 2,386 km and is expected to be complete by the first half of 2026. The capacity expansion on MAYA-1.2 offers up to 4 terabits per second (Tbps) in each direction, which is more than double the prior capacity. This work complements the MANTA project, a new pan-regional subsea cable system. The MANTA system contract entered into force in March 2025, with SubCom awarded the design, manufacture, and installation.

Here are the key operational and financial results from Q3 2025 that underpin this market development strategy:

• Q3 2025 Reported Revenue was $1.1 billion.
• Q3 2025 Adjusted OIBDA was $433 million.
• Rebased Adjusted OIBDA expanded by 7% year-over-year in Q3 2025.
• LLA plans to invest 14% of its revenue in capital expenditures in 2025.
• Fixed-Mobile Convergence (FMC) penetration was over 30% across key markets as of Q1 2025.

Finance: draft 13-week cash view by Friday.

Liberty Latin America Ltd. (LILAK) - Ansoff Matrix: Product Development

Monetize the new 5G Standalone (5G SA) network for the 3.7 million subscribers in Costa Rica.

Liberty Latin America Ltd. launched Costa Rica's first 5G Standalone (5G SA) network, which is powered by Ericsson's core and Radio Access Network (RAN) technologies. This network implementation covers more than 1,400 sites across the nation, reaching 3.7 million subscribers. The deployment promises faster speeds, lower latency, and improved reliability for these subscribers.

Introduce Fixed Wireless Access (FWA) services using 5G to homes not yet passed by fiber.

The new 5G SA network specifically enhances Fixed Wireless Access (FWA) capabilities, offering high-speed internet options to homes that are not yet passed by existing fiber or cable connections. This is a direct product extension leveraging the new infrastructure investment.

Launch advanced managed services and cloud solutions for the growing B2B and enterprise segment.

The B2B segment showed better momentum in Q3 2025. Liberty Networks, a key part of this, saw revenue increase by 6% on both a reported and rebased basis. This growth was fueled by expansion in both wholesale and enterprise businesses, with subsea capacity revenue being a key driver of performance. The overall Group Adjusted OIBDA margin reached 39% for the quarter.

Offer enhanced cybersecurity and DDoS Protection services via Liberty Networks' new PoPs.

The increased digitalization across Latin America, with many organizations adopting cloud strategies by 2025, elevates the need for security products. In 2024, there was a reported 15% increase in cyberattacks targeting critical infrastructure in Latin America. Fortinet has detected 14 billion cyberattack attempts annually in the region. Offering enhanced cybersecurity and DDoS Protection services directly addresses this heightened threat landscape.

Develop and bundle new video/content streaming packages to reduce video churn in residential segments.

While specific video churn numbers aren't detailed, customer price sensitivity, which directly influences churn rates, remains a factor in Latin America. Liberty Latin America has been focused on customer value propositions recently introduced in the market. Furthermore, the company benefited from selected price increases over the last year, which contributed to revenue performance.

Here's a quick look at Liberty Latin America Ltd.'s Q3 2025 performance, which underpins the environment for these product developments:

The focus on product development is supported by the overall group performance, which saw the strongest quarterly mobile postpaid additions in three years, led by Costa Rica.

• Postpaid additions in Q3 were the highest in three years.
• The Group expects cost reduction programs to carry on into 2026.
• Fixed residential revenue increased by 5% on a rebased basis.
• Residential mobile and B2B revenue both increased by 2% on a rebased basis.

Finance: draft 13-week cash view by Friday.

Liberty Latin America Ltd. (LILAK) - Ansoff Matrix: Diversification

You're looking at how Liberty Latin America Ltd. (LILAK) moves beyond core telecom services into new areas. This diversification strategy builds on existing scale, which as of September 30, 2025, included 6.7 million mobile subscribers and 4.0 million fixed RGUs (Revenue Generating Units) across over 20 countries.

To acquire a regional FinTech platform for mobile payment and financial services in the Caribbean, Liberty Latin America Ltd. (LILAK) has a strong mobile base to leverage. The company saw its strongest quarterly mobile postpaid additions in three years in Q3 2025. The overall nine-month revenue ended September 30, 2025, was $4.4 billion.

For investing in Smart City and IoT infrastructure projects across Panama and Chile, the existing network investment provides a platform. Liberty Networks, which includes wholesale and enterprise businesses, saw revenue increase by 6% on a reported and rebased basis in Q3 2025. Liberty Latin America Ltd. (LILAK) is investing $250 million over five years in critical connectivity infrastructure, including new subsea cable systems.

Developing a defintely separate data center and cloud hosting business unit across the region aligns with the growth in Liberty Networks. The company is targeting near 100% of its fixed network to be 1 Gbps-ready in 2025, up from 97% at the end of 2024. A key objective is to derive 30% of sales from high-growth digital services by 2025.

Entering a new South American country via M&A, targeting a non-telecom infrastructure asset, is supported by the company's focus on unlocking value. Liberty Latin America Ltd. (LILAK) reported 4.8 million Homes Passed as of September 30, 2025. The company is focused on unlocking the significant sum-of-the-parts discount embedded in the stock.

Partnering with a global content provider to co-produce local, exclusive Latin American content would tap into the B2B segment. Revenue from B2B increased by 2% on a rebased basis in Q3 2025. The company returned to positive Operating Income in Q3 2025, with a 7% YoY rebased Adjusted OIBDA growth for the quarter and year-to-date.

Here are some key financial and operational metrics from the first nine months of 2025 that frame the diversification context:

The underlying performance in core segments provides the financial footing for these new ventures:

• C&W Panama revenue increased by 6% on a reported and rebased basis in Q3 2025.
• Liberty Caribbean revenue grew 3% on both a reported and rebased basis in Q3 2025.
• Liberty Costa Rica revenue grew 3% on a rebased basis in Q3 2025.
• H1 2025 Adjusted OIBDA was $822 million.
• Over 40,000 organic broadband and postpaid mobile subscriber net adds in Q1 2025.
• Fixed residential revenue increased by 5% in Q3 2025.