Telephone and Data Systems (TDS) Q4 2025 earnings summary

Executive summary

• 2025 was a transformative year, marked by the divestiture of wireless operations, major spectrum sales, and the launch of Array as a standalone tower company, strengthening the balance sheet and positioning for fiber and tower growth.

• Grew TDS Telecom's fiber business to 1.06 million addresses and increased the long-term fiber goal to 2.1 million.

• Appointed new CEOs across divisions and focused on strengthening corporate culture and capital structure.

Financial highlights

• TDS Telecom Q4 2025 operating revenues were $261M, down 1% year-over-year; full year 2025 revenues were $1.038B, down 2%.

• Adjusted EBITDA for TDS Telecom was $85M in Q4 2025 (up 6% YoY) and $330M for the year (down 6% YoY).

• Array Q4 2025 site rental revenues rose 96% YoY to $49.8M; total operating revenues for 2025 were $163M, up 58%.

• Q4 2025 net income attributable to common shareholders was $37.2M ($0.32/share), up from $1.0M ($0.01/share) year-over-year.

• Free cash flow for 2025 was $(54.2)M, an improvement from $(70.9)M in 2024.

Outlook and guidance

• TDS Telecom 2026 guidance: revenues of $1.015–$1.055 billion, Adjusted EBITDA of $310–$350 million, and CapEx of $550–$600 million.

• Array 2026 guidance: operating revenue of $200–$215 million, Adjusted EBITDA of $200–$215 million, and CapEx of $25–$35 million.

• Targeting 200,000–250,000 new fiber service addresses in 2026, up from 140,000 in 2025.