Charter Communications (CHTR) Q2 2026 earnings summary

Executive summary

• Revenue declined 1.7% year-over-year to $13.5 billion in Q2 2026, mainly due to lower residential revenue, with commercial revenue up 1.5% and mobile lines growing by 406,000 to 12.5 million, a 16% annual increase.

• Adjusted EBITDA fell 4.3% year-over-year to $5.4 billion, or 3.2% excluding Cox transition expenses; net income attributable to shareholders was $1.3 billion, with EPS at $10.76.

• Internet customers declined by 172,000 in Q2, while video customer losses improved to 21,000, and total customer relationships fell 1.7% year-over-year.

• The Cox acquisition is expected to close mid-to-late August, with integration plans, synergy targets, and significant transition expenses incurred.

• Free cash flow for Q2 was $969 million, down from the prior year, with capital expenditures at $2.9 billion, flat year-over-year.

Financial highlights

• Consolidated Q2 revenue was $13.5 billion, down 1.7% year-over-year; residential revenue declined 3.5%, while commercial revenue increased 1.5%.

• Adjusted EBITDA was $5.4 billion, down 4.3% year-over-year, or 3.2% excluding Cox transition expenses.

• Free cash flow was $969 million for Q2 2026, with capital expenditures at $2.9 billion.

• Net income attributable to shareholders was $1.3 billion, with a net income margin of 9.6%.

• Repurchased $1.2 billion in debt and $838 million in shares during Q2.

Outlook and guidance

• Full-year 2026 capital expenditures, excluding Cox, are expected to total approximately $11.4 billion, with a downward trajectory to $7.5–8.0 billion by 2028–2029.

• Standalone EBITDA for 2026 expected to decline around 1% year-over-year, excluding transition costs.

• Free cash flow is expected to grow rapidly as capex declines in future years.

• Share repurchases paused through Q3 due to Cox closing and liability management, expected to resume in Q4.