Array reports third quarter 2025 results

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November 7, 2025 7:30 AM UTC

CHICAGO, Nov. 7, 2025 /PRNewswire/ -- 

As previously announced, Array will hold a teleconference on November 7, 2025, at 9:00 a.m. CST. Listen to the call live via the Events & Presentations page of investors.arrayinc.com.

Array Digital Infrastructure, Inc. (NYSE: AD) reported total operating revenues from continuing operations of $47.1 million for the third quarter of 2025, versus $25.7 million for the same period one year ago. Net income (loss) attributable to Array shareholders and related diluted earnings (loss) per share from continuing operations were $108.8 million and $1.25, respectively, for the third quarter of 2025 compared to $(95.9) million and $(1.12), respectively, in the same period one year ago.

Recent Highlights*

  • Closed on the sale of wireless operations and select spectrum assets to T-Mobile on August 1, 2025
  • Paid a $23 per share special dividend on August 19, 2025
  • Commenced T-Mobile MLA on August 1, 2025, helping to drive a 68% increase in Site rental revenues, excluding non-cash amortization
  • Entered into additional spectrum sales expected to result in aggregate proceeds of $178 million
  • Announced appointment of Anthony Carlson as President and CEO effective November 16, 2025

* Comparisons are 3Q'24 to 3Q'25 unless otherwise noted

"We are off to a great start as an independent tower company," said Doug Chambers, Array Interim President and CEO.  "The new T-Mobile MLA commenced on August 1, and the team has been doing an outstanding job on the implementation effort. This new MLA drove a 68 percent year-over-year increase in Site rental revenue, excluding non-cash amortization.  We have also made great progress monetizing our spectrum as we entered into additional agreements to sell our remaining spectrum and have now closed or signed agreements to monetize 70 percent of our spectrum portfolio."

Pending transactions
 Subsequent to the August 1, 2025 close of the sale of wireless operations, Array has reached additional agreements with T-Mobile for 700 MHz spectrum licenses, AWS and a portion of the 600 MHz put/call totaling $178 million in aggregate expected proceeds, subject to closing conditions and regulatory approvals.

On October 17, 2024, Array, and certain subsidiaries of Array, entered into a License Purchase Agreement with Verizon Communications, Inc. (Verizon) to sell certain AWS, Cellular and PCS wireless spectrum licenses, subject to receipt of regulatory approvals, and agreed to grant Verizon certain rights to lease such licenses prior to the transaction close.

On November 6, 2024, Array, and certain subsidiaries of Array, entered into a License Purchase Agreement with New Cingular Wireless PCS, LLC (AT&T), a subsidiary of AT&T Inc. to sell certain 3.45 GHz and 700 MHz wireless spectrum licenses, subject to receipt of regulatory approvals, and agreed to grant AT&T certain rights to lease and sub-lease such licenses prior to the transaction close.

Leadership Transition at Array
 As separately announced, Anthony Carlson will become President and CEO of Array on November 16, succeeding Interim President and CEO Doug Chambers.    

"Now that we have Array established as a standalone tower company, we are ready to announce its next step in leadership, selecting Anthony Carlson to be Array's President and CEO," said Walter Carlson, Chairman of the Array Board of Directors.  "Anthony's substantial and increasing responsibilities at UScellular and TDS Telecom over the past six years provide him with the right foundation to lead Array's growing tower business and provide strategic vision to its operations."   

See separately issued announcement on November 7, 2025 for more information on our leadership transition.

Conference Call Information
Array will hold a conference call on November 7, 2025 at 9:00 a.m. Central Time.

Before the call, certain financial and statistical information to be discussed during the call will be posted to investors.arrayinc.com. The call will be archived on the Events & Presentations page of investors.arrayinc.com.

About Array
Array Digital Infrastructure, Inc. is a leading owner and operator of shared wireless communications infrastructure in the United States. With over 4,400 cell towers in locations from coast to coast, Array enables the deployment of 5G and other wireless technologies throughout the country. As of September 30, 2025, Telephone and Data Systems, Inc. owned approximately 82% of Array.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995:  All information set forth in this news release, except historical and factual information, represents forward-looking statements. This includes all statements about the company's plans, beliefs, estimates, and expectations. These statements are based on current estimates, projections, and assumptions, which involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Important factors that may affect these forward-looking statements include, but are not limited to: the manner in which Array's remaining business is conducted; strategic decisions regarding the tower business; Array's reliance on a small number of tenants for a substantial portion of its revenues; extreme weather events; whether the additional spectrum license sales to T-Mobile and the previously announced spectrum license sales to Verizon and AT&T will be consummated and the impact of the ongoing government shutdown on timing of closing these transactions; whether Array can monetize the remaining spectrum assets; competition in the tower industry; and significant investments in wireless operating entities Array does not control. Investors are encouraged to consider these and other risks and uncertainties that are more fully described under "Risk Factors" in the most recent filing of Array's Form 10-K, as updated by any Array Form 10-Q filed subsequent to such Form 10-K.

For more information about Array, visit: investors.arrayinc.com

Array Digital Infrastructure, Inc.

Summary Operating Data (Unaudited)


Three Months Ended
September 30, 2025

Capital expenditures from continuing operations (thousands)

$                                  7,927

Owned towers

4,449

Number of colocations1

4,517

Tower tenancy rate2

1.02



1

Represents instances where a third-party rents or leases space on a company-owned tower. Excludes Interim Sites whereby T-Mobile is leasing up to 1,800 sites for a period of up to 30 months subject to the terms and conditions of the MLA.

2

Calculated as total number of colocations divided by total number of towers. Excludes Interim Sites whereby T-Mobile is leasing up to 1,800 sites for a period of up to 30 months subject to the terms and conditions of the MLA.

 

Array Digital Infrastructure, Inc.

Consolidated Statement of Operations Highlights

(Unaudited)






Three Months Ended

September 30,


Nine Months Ended

September 30,


2025


2024


2025

vs. 2024


2025


2024


2025

vs. 2024

(Dollars and shares in thousands, except per share amounts)












Operating revenues












Site rental

$  45,838


$  25,669


79 %


$  99,663


$  76,591


30 %

Services

1,281


70


NM


2,969


254


NM

Total operating revenues

47,119


25,739


83 %


102,632


76,845


34 %













Operating expenses












Cost of operations (excluding Depreciation, amortization and
accretion reported below)

20,976


18,263


15 %


56,662


52,822


7 %

Selling, general and administrative

20,525


21,176


(3) %


69,063


78,997


(13) %

Depreciation, amortization and accretion

11,868


12,237


(3) %


35,860


35,058


2 %

Loss on impairment of licenses

47,679


136,234


(65) %


47,679


136,234


(65) %

(Gain) loss on asset disposals, net

707


196


N/M


620


590


5 %

(Gain) loss on license sales and exchanges, net

(1,323)


(2,200)


40 %


(6,123)


4,360


N/M

Total operating expenses

100,432


185,906


(46) %


203,761


308,061


(34) %













Operating income (loss)

(53,313)


(160,167)


67 %


(101,129)


(231,216)


56 %













Other income (expense)












Equity in earnings of unconsolidated entities

69,811


43,109


62 %


147,453


123,445


19 %

Interest and dividend income

8,909


3,552


N/M


15,267


9,076


68 %

Interest expense

(8,855)


(4,241)


N/M


(16,233)


(9,201)


(76) %

Short-term imputed spectrum lease income

30,413


—


N/M


30,413


—


N/M

Other, net

254


—


N/M


253


—


N/M

Total other income (expense)

100,532


42,420


N/M


177,153


123,320


44 %













Income (loss) before income taxes

47,219


(117,747)


N/M


76,024


(107,896)


N/M

Income tax expense (benefit)

(62,701)


(22,046)


N/M


(54,479)


(15,600)


N/M

Net income (loss) from continuing operations

109,920


(95,701)


N/M


130,503


(92,296)


N/M

Less: Net income from continuing operations attributable to
noncontrolling interests, net of tax

1,084


204


N/M


2,210


5,276


(58) %

Net income (loss) from continuing operations attributable
to Array shareholders

108,836


(95,905)


N/M


128,293


(97,572)


N/M













Net income (loss) from discontinued operations

(130,492)


17,320


N/M


(99,193)


55,712


N/M

Less: Net income from discontinued operations attributable
to noncontrolling interests, net of tax

16,809


567


N/M


17,822


2,091


N/M

Net income (loss) from discontinued operations attributable
to Array shareholders

(147,301)


16,753


N/M


(117,015)


53,621


N/M













Net income (loss)

(20,572)


(78,381)


74 %


31,310


(36,584)


N/M

Less: Net income attributable to noncontrolling interests, net
of tax

17,893


771


N/M


20,032


7,367


N/M

Net income (loss) attributable to Array shareholders

$ (38,465)


$ (79,152)


51 %


$  11,278


$ (43,951)


N/M













Basic weighted average shares outstanding

86,251


85,832


—


85,726


85,717


—













Basic earnings (loss) per share from continuing operations
attributable to Array shareholders

$      1.26


$     (1.12)


N/M


$      1.50


$     (1.14)


N/M

Basic earnings (loss) per share from discontinued
operations attributable to Array shareholders

$     (1.71)


$      0.20


N/M


$     (1.37)


$      0.63


N/M

Basic earnings (loss) per share attributable to Array
shareholders

$     (0.45)


$     (0.92)


51 %


$      0.13


$     (0.51)


N/M













Diluted weighted average shares outstanding

86,846


85,832


1 %


87,842


85,717


2 %













Diluted earnings (loss) per share from continuing
operations attributable to Array shareholders

$      1.25


$     (1.12)


N/M


$      1.46


$     (1.14)


N/M

Diluted earnings (loss) per share from discontinued
operations attributable to Array shareholders

$     (1.69)


$      0.20


N/M


$     (1.33)


$      0.63


N/M

Diluted earnings (loss) per share attributable to Array
shareholders

$     (0.44)


$     (0.92)


52 %


$      0.13


$     (0.51)


N/M


N/M - Percentage change not meaningful

 

Array Digital Infrastructure, Inc.

Consolidated Statement of Cash Flows

(Unaudited)


Nine Months Ended

September 30,


2025


2024

(Dollars in thousands)




Cash flows from operating activities




Net income (loss)

$             31,310


$            (36,584)

Net income (loss) from discontinued operations

(99,193)


55,712

Net income (loss) from continuing operations

130,503


(92,296)

Add (deduct) adjustments to reconcile net income (loss) to net cash flows from operating
activities




Depreciation, amortization and accretion

35,860


35,058

Bad debts expense

1,655


(1,748)

Stock-based compensation expense

1,560


2,079

Deferred income taxes, net

(81,087)


(35,055)

Equity in earnings of unconsolidated entities

(147,453)


(123,445)

Distributions from unconsolidated entities

149,732


106,458

Loss on impairment of licenses

47,679


136,234

(Gain) loss on asset disposals, net

620


590

(Gain) loss on license sales and exchanges, net

(6,123)


4,360

Other operating activities

338


90

Changes in assets and liabilities from operations




Accounts receivable

(5,157)


6,620

Accounts payable

22,231


(39,865)

Customer deposits and deferred revenues

(28,880)


(510)

Accrued taxes

(11,713)


4,592

Accrued interest

2,372


(265)

Other assets and liabilities

(89,627)


(22,435)

Net cash provided by (used in) operating activities - continuing operations

22,510


(19,538)

Net cash provided by operating activities - discontinued operations

380,388


781,019

Net cash provided by operating activities

402,898


761,481





Cash flows from investing activities




Cash paid for additions to property, plant and equipment

(18,597)


(13,371)

Cash paid for licenses

(4,175)


(16,562)

Cash received from divestitures

5,439


—

Other investing activities

1,301


—

Net cash provided by (used in) investing activities - continuing operations

(16,032)


(29,933)

Net cash provided by (used in) investing activities - discontinued operations

2,462,399


(385,077)

Net cash provided by (used in) investing activities

2,446,367


(415,010)





Cash flows from financing activities




Issuance of long-term debt

325,000


40,000

Repayment of long-term debt

(875,250)


(203,000)

Tax withholdings, net of cash receipts, for stock-based compensation awards

(63,506)


(11,522)

Repurchase of Common Shares

(21,360)


(25,628)

Dividends paid to Array shareholders

(1,986,719)


—

Payment of debt issuance costs

(5,668)


—

Distributions to noncontrolling interests

(26,811)


(4,060)

Other financing activities

(7,930)


(2,316)

Net cash used in financing activities - continuing operations

(2,662,244)


(206,526)

Net cash used in financing activities - discontinued operations

(20,537)


(31,579)

Net cash used in financing activities

(2,682,781)


(238,105)





Net increase in cash, cash equivalents and restricted cash

166,484


108,366





Cash, cash equivalents and restricted cash




Beginning of period

159,142


179,914

End of period

$           325,626


$           288,280

 

Array Digital Infrastructure, Inc.

Consolidated Balance Sheet Highlights

(Unaudited)


ASSETS






September 30, 2025


December 31, 2024

(Dollars in thousands)




Current assets




Cash and cash equivalents

$                        325,626


$                        143,730

Accounts receivable, net

19,683


12,729

Prepaid expenses

2,981


7,060

Income taxes receivable

—


123

Current assets of discontinued operations

—


1,163,032

Other current assets

3,954


18,196

Total current assets

352,244


1,344,870





Non-current assets held for sale

1,585,258


12





Non-current assets of discontinued operations

—


4,499,069





Licenses

1,648,604


3,281,508





Investments in unconsolidated entities

452,174


453,938





Property, plant and equipment, net

386,834


384,021





Operating lease right-of-use assets

477,744


465,274





Other assets and deferred charges

15,469


20,289





Total assets

$                     4,918,327


$                   10,448,981

 

Array Digital Infrastructure, Inc.

Consolidated Balance Sheet Highlights

(Unaudited)


LIABILITIES AND EQUITY






September 30, 2025


December 31, 2024

(Dollars in thousands, except per share amounts)




Current liabilities




Current portion of long-term debt

$                            2,031


$                          22,000

Accounts payable

69,157


36,454

Customer deposits and deferred revenues

122,090


1,716

Accrued taxes

289,836


27,077

Accrued compensation

4,620


89,476

Short-term operating lease liabilities

15,600


16,133

Current liabilities of discontinued operations

20,242


671,575

Other current liabilities

15,453


19,340

Total current liabilities

539,029


883,771





Non-current liabilities of discontinued operations

—


2,310,660





Deferred liabilities and credits




Deferred income tax liability, net

320,689


728,229

Long-term operating lease liabilities

513,421


495,736

Other deferred liabilities and credits

336,135


221,376





Long-term debt, net

671,902


1,201,725





Noncontrolling interests with redemption features

—


15,831





Equity




Array shareholders' equity




Series A Common and Common Shares, par value $1.00 per share

88,074


88,074

Additional paid-in capital

1,795,035


1,782,219

Treasury shares

(85,618)


(111,589)

Retained earnings

732,333


2,818,002

Total Array shareholders' equity

2,529,824


4,576,706





Noncontrolling interests

7,327


14,947





Total equity

2,537,151


4,591,653





Total liabilities and equity

$                     4,918,327


$                   10,448,981

Array Digital Infrastructure, Inc.
 EBITDA, Adjusted EBITDA, Adjusted OIBDA and AFCF Reconciliations
 (Unaudited)

EBITDA, Adjusted EBITDA and Adjusted OIBDA

EBITDA, Adjusted EBITDA and Adjusted OIBDA are defined as net income adjusted for the items set forth in the reconciliations below. EBITDA, Adjusted EBITDA and Adjusted OIBDA are not measures of financial performance under Generally Accepted Accounting Principles in the United States (GAAP) and should not be considered as alternatives to Net income or Cash flows from operating activities, as indicators of cash flows or as measures of liquidity. Array does not intend to imply that any such items set forth in the reconciliations below are infrequent or unusual; such items may occur in the future. Management uses Adjusted EBITDA and Adjusted OIBDA as measurements of profitability, and therefore reconciliations to Net income are deemed appropriate. Management believes Adjusted EBITDA and Adjusted OIBDA are useful measures of Array's operating results before significant recurring non-cash charges, nonrecurring expenses, gains and losses, and other items as presented below as they provide additional relevant and useful information to investors and other users of Array's financial data in evaluating the effectiveness of its operations and underlying business trends in a manner that is consistent with management's evaluation of business performance. Adjusted EBITDA shows adjusted earnings before interest, taxes, depreciation, amortization and accretion, gains and losses, and expenses related to the strategic alternatives review of Array while Adjusted OIBDA reduces this measure further to exclude Equity in earnings of unconsolidated entities and Interest and dividend income in order to more effectively show the performance of operating activities excluding investment activities. The following tables reconcile EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measure, Net income (loss) and Income (loss) before income taxes.

Three Months Ended

September 30,


Nine Months Ended

September 30,


2025


2024


2025


2024

(Dollars in thousands)








Net income (loss) from continuing operations (GAAP)

$       109,920


$        (95,701)


$       130,503


$        (92,296)

Add back or deduct:








Income tax expense (benefit)

(62,701)


(22,046)


(54,479)


(15,600)

Income (loss) before income taxes (GAAP)

47,219


(117,747)


76,024


(107,896)

Add back:








Interest expense

8,855


4,241


16,233


9,201

Depreciation, amortization and accretion expense

11,868


12,237


35,860


35,058

EBITDA (Non-GAAP)

67,942


(101,269)


128,117


(63,637)

Add back or deduct:








Expenses related to strategic alternatives review

489


1,253


2,349


19,913

Loss on impairment of licenses

47,679


136,234


47,679


136,234

(Gain) loss on asset disposals, net

707


196


620


590

(Gain) loss on license sales and exchanges, net

(1,323)


(2,200)


(6,123)


4,360

Short-term imputed spectrum lease income

(30,413)


—


(30,413)


—

Adjusted EBITDA (Non-GAAP)

85,081


34,214


142,229


97,460

Deduct:








Equity in earnings of unconsolidated entities

69,811


43,109


147,453


123,445

Interest and dividend income

8,909


3,552


15,267


9,076

Other, net

254


—


253


—

Adjusted OIBDA (Non-GAAP)

$            6,107


$        (12,447)


$        (20,744)


$        (35,061)

Adjusted Free Cash Flow (AFCF)

AFCF is a non-GAAP measure defined as Net income from continuing operations adjusted for the items set forth in the reconciliation below. AFCF is not a measure of financial performance under GAAP and should not be considered as an alternative to Net income from continuing operations or as an indicator of cash flows.

Management believes AFCF is a useful measure of Array's cash generated from operations and investments. The following table reconciles AFCF to the corresponding GAAP measure, Net income from continuing operations. This measure will only be presented prospectively as following the sale of Array's wireless operations to T-Mobile on August 1, 2025, the primary business operations for Array changed from providing wireless communications services to a standalone tower company. In addition, Array continues to own noncontrolling interests in investments that earn significant income, and generate significant cash flows.

Three Months Ended
September 30, 2025

(Dollars in thousands)


Net income from continuing operations (GAAP)

$                           109,920

Add back or deduct:


Deferred income taxes

(80,572)

Short-term imputed spectrum lease income

(30,413)

Amortization of deferred debt charges

274

Equity in earnings of unconsolidated entities

(69,811)

Distributions from unconsolidated entities

61,794

(Gain) loss on license sales and exchanges, net

(1,323)

(Gain) loss on asset disposals, net

707

Loss on impairment of licenses

47,679

Depreciation, amortization and accretion

11,868

Expenses related to strategic alternatives review

489

Straight line and other non-cash revenue adjustments

(3,872)

Straight line expense adjustment

1,559

Maintenance and other capital expenditures

(2,374)

Adjusted Free Cash Flow from continuing operations (Non-GAAP)

$                             45,925

 

Cision View original content:https://www.prnewswire.com/news-releases/array-reports-third-quarter-2025-results-302608050.html

SOURCE Array Digital Infrastructure, Inc.


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