Array Digital Infrastructure, Inc. Q4 FY2025 earnings call

Walter Carlson mentioned 2025 was transformative with largest transaction, divesting wireless operations strengthening Array and TDS. Vicki L. Villacrez discussed spectrum transactions, repaying debt, capital allocation plan including investment in fiber, M&A evaluation, and shareholder returns. Ken Dixon updated fiber strategy progress, 2025 performance, and 2026 priorities like delivering fiber build plan, driving sales, creating best-in-class customer experience, and executing business transformation. Chris walked through 2025 results and 2026 financial outlook. Anthony Carlson talked about Array's business portfolio, spectrum monetization progress, T-Mobile MLA integration, colocation revenue, and 2026 guidance

TDS Telecom: In Q4 2025, added 58,000 new marketable fiber addresses, up sequentially over Q3 and 39% YOY; full year 2025 delivered 140,000 new marketable fiber addresses. Residential fiber net adds in Q4 were over 15,000, up 11% YOY, totaling ~45,000 for the year. Average residential revenue per connection up 2% YOY. Total operating revenues decreased 1% Q4 and 2% full year; excluding divestitures, revenues flat. Adjusted EBITDA improved 6% Q4 but declined 6% full year. Capital expenditures in 2025 were $406,000,000. For 2026, forecast total telecom revenues $1,015,000,000 - $1,055,000,000, adjusted EBITDA $310,000,000 - $350,000,000, fiber service addresses 200,000 - 250,000, capital expenditures $550,000,000 - $600,000,000. Array Digital Infrastructure, Inc.: Q4 was first full quarter of T-Mobile MLA revenue. Cash site rental revenue in Q4 increased 64% YOY from all customers, 8% excluding T-Mobile MLA committed sites, 96% including T-Mobile interim site revenue. Full year 2025 recognized ~$7,000,000 site rental revenue from DISH MLA. Guidance for 2026: total operating revenue $200,000,000 - $215,000,000, adjusted EBITDA $100,000,000 - $215,000,000, adjusted OIBDA $50,000,000 - $65,000,000, capital expenditures $25,000,000 - $35,000,000

TDS Telecom 2026 guidance: total telecom revenues $1,015,000,000 - $1,055,000,000; adjusted EBITDA $310,000,000 - $350,000,000; fiber service addresses 200,000 - 250,000; capital expenditures $550,000,000 - $600,000,000. Array Digital Infrastructure, Inc. 2026 guidance: total operating revenue $200,000,000 - $215,000,000; adjusted EBITDA $100,000,000 - $215,000,000; adjusted OIBDA $50,000,000 - $65,000,000; capital expenditures $25,000,000 - $35,000,000

Uncertainty with T-Mobile MLA and timing of interim site terminations, potential for incremental committed sites; elevated SG&A expenses and wind down; DISH's assertions about master lease agreement and failure to make contractually required payments; uncertainty around ground lease purchase volume affecting Array's capital expenditures

Q: About DISH in Array's 2026 guidance and application pipeline growth, A: DISH out of guidance, optimistic about growth prospects with T-Mobile MLA and other elements.

Q: On TDS Telecom's fiber long-term target, definition, pacing, A: Long-term around 2029 - 2030, raised target to 2,100,000 with A-CAM and expansion programs.

Q: Shaping of in-year fiber service delivery, spectrum monetization, buyback, A: Confident in 2026 fiber build with record crew counts, C-band spectrum attractive, board determines capital allocation.

Q: TDS Telecom video on go-forward basis, A: Video important for bundled customers, margins healthy.

Q: Array's naked towers and noncontrolling interests monetization, A: Latent value in naked towers, noncontrolling interests cash flows attractive.

Q: TDS Telecom 2026 build lessons and Array's tenancy ratio initiatives, A: TDS focused on crew counts, Array insourced sales, new deals improving tenancy ratio.

Q: Array's C-band spectrum monetization, A: Valuable, not in hurry to sell, but active in pursuing monetization opportunities