Phone and Knowledge Techniques, Inc. (NYSE: TDS) reported fourth-quarter and full-year 2025 outcomes on February 20, 2026. For the fourth quarter ended December 31, 2025, complete working revenues from persevering with operations reached $330.7 million, up 12% 12 months over 12 months from $295.3 million. Web revenue attributable to TDS widespread shareholders from persevering with operations totaled $37.2 million, or $0.32 per diluted share. For the total 12 months 2025, working revenues from persevering with operations had been $1,228.2 million, down from $1,297.0 million in 2024, whereas internet revenue attributable to TDS widespread shareholders from persevering with operations improved to $48.2 million, or $0.39 per diluted share, from a lack of $141.4 million, or $1.24 per share.
Firm Description
Phone and Knowledge Techniques, Inc. gives broadband, video, and voice providers primarily via its TDS Telecom section, specializing in fiber enlargement to residential and enterprise clients in rural and suburban markets throughout america. Following the divestiture of its wi-fi operations, the corporate additionally operates Array Digital Infrastructure, Inc., which manages tower property and spectrum leasing. The enterprise targets connectivity options in underserved areas, emphasizing fiber-to-the-premises development and infrastructure monetization.
Inventory Response
TDS shares rose following the earnings launch. The inventory closed at $45.18 on February 18, 2026, previous to the announcement. Put up-results buying and selling confirmed positive aspects, with shares advancing over 5% in pre-market and early buying and selling on February 20, reflecting the EPS beat, income enhance within the quarter, and optimistic fiber outlook amid the profitability enchancment.
Fourth-Quarter 2025 Outcomes
Whole working revenues from persevering with operations elevated 12% 12 months over 12 months to $330.7 million from $295.3 million, pushed by fiber subscriber development and contributions from the repositioned enterprise post-wireless divestiture. Telecom working revenues decreased 1% 12 months over 12 months, although adjusted metrics confirmed resilience excluding divestitures. Adjusted EBITDA improved 6% within the quarter attributable to decrease bills. Web revenue from persevering with operations mirrored the sturdy turnaround.
Full-12 months 2025 Outcomes
Whole working revenues from persevering with operations declined to $1,228.2 million from $1,297.0 million in 2024, impacted by legacy declines, divestitures, and copper/cable market pressures. Adjusted EBITDA declined 6% for the 12 months, influenced by divestiture results and a first-quarter non-cash stock-based compensation adjustment. The corporate achieved a big revenue swing, with internet revenue from persevering with operations at $48.2 million in contrast with a prior-year loss, supported by strategic restructuring together with spectrum gross sales and share repurchases.
Earnings Name Highlights
Chief executives emphasised the transformative 12 months, together with the wi-fi divestiture, creation of Array as a standalone tower and spectrum platform, and acceleration of fiber enlargement. Key themes included fiber program development regardless of lacking the 2025 tackle aim by 10,000, advantages from transformation initiatives mitigating pressures, and powerful fourth-quarter adjusted EBITDA positive aspects from price controls. Administration highlighted share repurchases totaling 2.8 million shares in 2025 and the $10.25 per share particular dividend paid in early 2026 from spectrum proceeds. Discussions targeted on fiber because the core development driver and positioning for sustainable broadband in focused markets.
Outlook
For 2026, TDS Telecom guides complete working revenues of $1,015 million to $1,055 million and adjusted OIBDA of $300 million to $340 million, with adjusted EBITDA within the $310 million to $350 million vary in some references. The corporate targets 200,000 to 250,000 new marketable fiber addresses, representing a big enhance from 2025 additions. Array initiatives revenues of $200 million to $215 million and adjusted EBITDA of $50 million to $65 million.
Geopolitical and Tariff Publicity
TDS maintains restricted direct publicity to geopolitical dangers or tariff impacts. Operations are primarily home, targeted on U.S. broadband and infrastructure. No materials results from commerce tensions, tariffs, or worldwide supply-chain disruptions had been famous within the outcomes, steering, or name commentary, although broader macroeconomic elements may affect capital spending or buyer demand.
SWOT Evaluation
Strengths
- Accelerating fiber enlargement and subscriber development; profitable pivot post-wireless divestiture with improved profitability; sturdy money era from spectrum gross sales enabling dividends and repurchases; targeted on high-growth broadband in rural/suburban markets.
Weaknesses
- Income stress from legacy copper/cable declines and divestiture impacts; shortfalls in prior fiber tackle addition targets; dependency on continued execution in fiber buildout amid increased capex.
Alternatives
- Vital upside in fiber penetration and marketable addresses; potential for infrastructure monetization through Array; demand for dependable broadband in underserved U.S. areas; advantages from transformation price financial savings.
Threats
- Aggressive pressures in telecom from bigger suppliers; macroeconomic slowdowns affecting client spending on providers; regulatory or funding modifications impacting broadband enlargement; execution dangers on bold 2026 fiber objectives.
