Array reports third quarter 2025 results
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*
* 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 colocations 1
4,517
Tower tenancy rate 2
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
SOURCE Array Digital Infrastructure, Inc.