EchoStar (ECHO) Q3 2026 earnings summary

Executive summary

• Q3 revenue was $1.128B, down 68.8% YoY, primarily reflecting deconsolidation of most Pay-TV, Other, and Broadband and Satellite Services operations.

• Net income was $2.782B and diluted EPS was $7.97; results included a $3.107B AT&T transaction gain and a $439M deconsolidation gain.

• Reporting scope shifted materially after subsidiary Chapter 11 filings; DISH DBS emerged on Oct. 1, 2026 and is to be reconsolidated prospectively.

Financial highlights

• Q3 total revenue was $1.128B versus $3.614B YoY; operating income was $148M versus an operating loss of $16.642B.

• 9M revenue was $8.371B, down 25.3% YoY; operating income was $1.054B versus a loss of $16.943B.

• 9M net income was $11.097B, including $10.168B of deconsolidation gains and a $3.107B AT&T transaction gain; diluted EPS was $31.74.

• 9M operating cash flow was $341M; free cash flow was $51M and adjusted free cash flow was $652M, including the $414M SpaceX interest reimbursement and $187M of estimated non-recurring tax payments.

Outlook and guidance

• Expected to fund the next 12 months of working capital, capex, investments, and debt service with operating cash flow and existing restricted and unrestricted cash, cash equivalents, and marketable securities.

• Capital expenditures, including capitalized interest, were expected to continue decreasing during 2026.

• The DISH DBS emergence and prospective reconsolidation were expected to positively affect operational liquidity.

• SpaceX spectrum acquisition closing remained targeted for Nov. 30, 2027, subject to closing conditions; consideration is approximately $20B, including up to $11B in SpaceX stock.