Array reports fourth quarter and full year 2025 results

Array issues 2026 guidance

CHICAGO, Feb. 20, 2026 /PRNewswire/ --

As previously announced, Array will hold a teleconference on February 20, 2026, at 9:00 a.m. CST. Listen to the call live via the Events & Presentations page of investors.arrayinc.com.

Array Digital Infrastructure, Inc. SM (NYSE: AD) reported fourth quarter and full year 2025 operating results.

"After a transformative 2025, Array enters 2026 with strong momentum," said Anthony Carlson, President and CEO. "The organization remains laser-focused on a smooth T-Mobile MLA integration and increasing tower tenancy. Further, we continue to make progress on monetizing our spectrum, including closing on the previously announced AT&T transaction in mid-January."

Highlights

*Comparisons are Year Ended December 31, 2025 to Year Ended December 31, 2024

Array reported total operating revenues from continuing operations of $60.3 million for the fourth quarter of 2025, versus $26.1 million for the same period one year ago. Net income attributable to Array shareholders and related diluted earnings per share from continuing operations were $41.4 million and $0.48, respectively, for the fourth quarter of 2025 compared to $11.7 million and $0.13, respectively, in the same period one year ago.

Array reported total operating revenues from continuing operations of $163.0 million and $102.9 million for the years ended 2025 and 2024, respectively. Net income (loss) attributable to Array shareholders and related diluted earnings (loss) per share from continuing operations were $169.7 million and $1.94, respectively, for the year ended 2025 compared to $(85.9) million and $(1.00), respectively, for the year ended 2024.

"As I look forward, our priorities remain the same – support the T-Mobile integration, grow colocation revenue, optimize our ground leases, and monetize our remaining spectrum," Carlson continued.

Pending transactions

Subsequent to the August 1, 2025 close of the sale of wireless operations, Array 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 customary 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 and agreed to grant Verizon certain rights to lease such licenses prior to the transaction close. The transaction is expected to close in the second or third quarter of 2026, subject to regulatory approval and other customary closing conditions, and the termination of the T-Mobile Short-Term Spectrum Manager Lease Agreement.

2026 Estimated Results

Array's current estimates of full-year 2026 results are shown below. Such estimates represent management's view as of February 20, 2026 and should not be assumed to be current as of any future date. Array undertakes no duty to update such estimates, whether as a result of new information, future events, or otherwise. There can be no assurance that final results will not differ materially from estimated results.

2026 Estimated

Results

Actual Results for

the Year Ended

December 31, 2025

(Dollars in millions)

Total operating revenues

$200-$215

$163

Adjusted OIBDA 1 (Non-GAAP)

$50-$65

Adjusted EBITDA 1 (Non-GAAP)

$200-$215

$194

Capital expenditures

$25-$35

$30

The following tables reconcile EBITDA, Adjusted EBITDA, and Adjusted OIBDA to the corresponding GAAP measures, Net income (loss) from continuing operations or Income (loss) before income taxes. In providing 2026 estimated results, Array has not completed the below reconciliation to Net income because it does not provide guidance for income taxes. Although potentially significant, Array believes that the impact of income taxes cannot be reasonably predicted; therefore, Array is unable to provide such guidance.

2026 Estimated

Results

Actual Results for

the Year Ended

December 31, 2025

Actual Results for

the Year Ended

December 31, 2024

(Dollars in millions)

Net income (loss) from continuing operations (GAAP)

N/A

$ 172

$ (80)

Add back:

Income tax benefit

N/A

(31)

(19)

Income (loss) before income taxes (GAAP)

$780-$795

$ 141

$ (100)

Add back or deduct:

Interest expense

Depreciation, amortization and accretion

EBITDA (Non-GAAP) 1

$875-$890

$ 218

$ (40)

Add back or deduct:

Expenses related to strategic alternatives review

—

Loss on impairment of licenses

—

136

(Gain) loss on asset disposals, net

—

(Gain) loss on license sales and exchanges, net

(595)

(6)

Short-term imputed spectrum lease income

(80)

(69)

—

Adjusted EBITDA (Non-GAAP) 1

$200-$215

$ 194

$ 122

Deduct:

Equity in earnings of unconsolidated entities

140

174

161

Interest and dividend income

Adjusted OIBDA (Non-GAAP) 1

$50-$65

$ 1

$ (51)

Numbers may not foot due to rounding.

EBITDA, Adjusted EBITDA and Adjusted OIBDA are defined as net income adjusted for the items set forth in the reconciliation above. 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 reconciliation above 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 above 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 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.

Conference Call Information

Array will hold a conference call on February 20, 2026 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. Array owns 4,450 cell towers in 19 states and enables the deployment of 5G and other wireless technologies throughout the country. As of December 31, 2025, Telephone and Data Systems, Inc. owned approximately 82.0% 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; whether the additional spectrum license sales to T-Mobile and the previously announced spectrum license sales to Verizon will be consummated; whether Array can monetize the remaining spectrum assets; competition in the tower industry; economic and business risks associated with fixed rate annual escalators on colocation revenue contracts; Array's reliance on a small number of tenants for a substantial portion of its revenues; the ability to attract people of outstanding talent; inability to protect Array's real estate rights, with respect to land leases; advances or changes in technology; impacts of costs, integration problems or other factors associated with acquisitions, divestitures or exchanges of properties; uncertainties in Array's future cash flows and liquidity and access to the capital markets; the ability to make payments on indebtedness or comply with the terms of debt covenants; conditions in the U.S. telecommunications industry; the value of assets and investments, including significant investments in wireless operating entities Array does not control; pending and future litigation; cyber-attacks or other breaches of network or information technology security; control by the TDS; disruption in credit or other financial markets; deterioration of U.S. or global economic conditions; and extreme weather events. 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.

Array Digital Infrastructure, Inc.

Summary Operating Data (Unaudited)

As of or for the Quarter Ended

12/31/2025

9/30/2025

Capital expenditures from continuing operations (thousands)

$ 12,933

$ 7,927

Owned towers

4,450

4,449

Number of colocations 1

4,572

4,517

Tower tenancy rate 2

1.03

1.02

Represents instances where a third-party leases space on a company-owned tower. Includes T-Mobile MLA committed site minimum of 2,015. 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.

Calculated as total number of colocations divided by total number of towers. Includes T-Mobile MLA committed site minimum of 2,015. 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

December 31,

Year Ended

December 31,

2025

2024

2025 vs.

2024

2025

2024

2025 vs.

2024

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

Operating revenues

Site rental

$ 54,990

$ 26,019

N/M

$ 154,654

$ 102,610

51 %

Services

5,338

N/M

8,307

323

N/M

Total operating revenues

60,328

26,089

N/M

162,961

102,933

58 %

Operating expenses

Cost of operations (excluding Depreciation, amortization and

accretion reported below)

22,823

20,174

13 %

79,485

72,997

9 %

Selling, general and administrative

15,381

23,559

(35) %

84,444

102,556

(18) %

Depreciation, amortization and accretion

12,402

12,156

2 %

48,262

47,212

2 %

Loss on impairment of licenses

—

N/M

47,679

136,234

(65) %

(Gain) loss on asset disposals, net

1,125

219

N/M

1,746

809

N/M

(Gain) loss on license sales and exchanges, net

—

(900)

N/M

(6,123)

3,460

N/M

Total operating expenses

51,731

55,208

(6) %

255,493

363,268

(30) %

Operating income (loss)

8,597

(29,119)

N/M

(92,532)

(260,335)

64 %

Other income (expense)

Equity in earnings of unconsolidated entities

26,301

37,919

(31) %

173,754

161,364

8 %

Interest and dividend income

3,649

2,579

41 %

18,917

11,656

62 %

Interest expense

(11,989)

(3,203)

N/M

(28,222)

(12,405)

N/M

Short-term imputed spectrum lease income

38,619

—

N/M

69,033

—

N/M

Other, net

(81)

—

N/M

169

—

N/M

Total other income

56,499

37,295

51 %

233,651

160,615

45 %

Income (loss) before income taxes

65,096

8,176

N/M

141,119

(99,720)

N/M

Income tax expense (benefit)

23,332

(3,656)

N/M

(31,148)

(19,256)

(62) %

Net income (loss) from continuing operations

41,764

11,832

N/M

172,267

(80,464)

N/M

Less: Net income from continuing operations attributable to

noncontrolling interests, net of tax

404

136

N/M

2,615

5,411

(52) %

Net income (loss) from continuing operations attributable

to Array shareholders

41,360

11,696

N/M

169,652

(85,875)

N/M

Net income (loss) from discontinued operations

(3,882)

(6,826)

43 %

(103,074)

48,886

N/M

Less: Net income from discontinued operations attributable

to noncontrolling interests, net of tax

—

322

N/M

17,822

2,414

N/M

Net income (loss) from discontinued operations

attributable to Array shareholders

$ (3,882)

$ (7,148)

46 %

$ (120,896)

$ 46,472

N/M

Net income (loss)

$ 37,882

$ 5,006

N/M

$ 69,193

$ (31,578)

N/M

Less: Net income attributable to noncontrolling interests, net

of tax

404

458

(12) %

20,437

7,825

N/M

Net income (loss) attributable to Array shareholders

$ 37,478

$ 4,548

N/M

$ 48,756

$ (39,403)

N/M

Basic weighted average shares outstanding

86,449

85,381

1 %

85,908

85,633

–

Basic earnings (loss) per share from continuing operations

attributable to Array shareholders

$ 0.48

$ 0.14

N/M

$ 1.98

$ (1.00)

N/M

Basic earnings (loss) per share from discontinued

operations attributable to Array shareholders

$ (0.05)

$ (0.09)

46 %

$ (1.41)

$ 0.54

N/M

Basic earnings (loss) per share attributable to Array

shareholders

$ 0.43

$ 0.05

N/M

$ 0.57

$ (0.46)

N/M

Diluted weighted average shares outstanding

86,514

88,322

(2) %

87,293

85,633

2 %

Diluted earnings (loss) per share from continuing

operations attributable to Array shareholders

$ 0.48

$ 0.13

N/M

$ 1.94

$ (1.00)

N/M

Diluted earnings (loss) per share from discontinued

operations attributable to Array shareholders

$ (0.04)

$ (0.08)

45 %

$ (1.38)

$ 0.54

N/M

Diluted earnings (loss) per share attributable to Array

shareholders

$ 0.43

$ 0.05

N/M

$ 0.56

$ (0.46)

N/M

N/M - Percentage change not meaningful

Array Digital Infrastructure, Inc.

Consolidated Statement of Cash Flows

(Unaudited)

Year Ended December 31,

2025

2024

(Dollars in thousands)

Cash flows from operating activities

Net income (loss)

$ 69,193

$ (31,578)

Net income (loss) from discontinued operations

(103,074)

48,886

Net income (loss) from continuing operations

172,267

(80,464)

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

activities

Depreciation, amortization and accretion

48,262

47,212

Bad debts expense

1,689

(1,729)

Stock-based compensation expense

1,819

2,728

Deferred income taxes, net

(37,733)

(16,716)

Equity in earnings of unconsolidated entities

(173,754)

(161,364)

Distributions from unconsolidated entities

215,599

168,701

Loss on impairment of licenses

47,679

136,234

(Gain) loss on asset disposals, net

1,746

809

(Gain) loss on license sales and exchanges, net

(6,123)

3,460

Other operating activities

1,285

121

Changes in assets and liabilities from operations

Accounts receivable

(6,628)

4,856

Accounts payable

(9,339)

(35,473)

Customer deposits and deferred revenues

(65,025)

(352)

Accrued taxes

(15,954)

(38,510)

Other assets and liabilities

(100,661)

8,857

Net cash provided by operating activities - continuing operations

75,129

38,370

Net cash provided by operating activities - discontinued operations

125,707

844,095

Net cash provided by operating activities

200,836

882,465

Cash flows from investing activities

Cash paid for additions to property, plant and equipment

(27,200)

(18,466)

Cash paid for licenses

(4,175)

(19,198)

Cash received from divestitures

5,439

—

Other investing activities

1,301

—

Net cash used in investing activities - continuing operations

(24,635)

(37,664)

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

2,462,399

(518,572)

Net cash provided by (used in) investing activities

2,437,764

(556,236)

Cash flows from financing activities

Issuance of long-term debt

325,000

40,000

Repayment of long-term debt

(875,250)

(248,000)

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

(63,446)

(11,246)

Repurchase of Common Shares

(21,360)

(54,091)

Dividends paid to Array shareholders

(1,986,719)

—

Payment of debt issuance costs

(6,418)

—

Distributions to noncontrolling interests

(27,612)

(4,716)

Other financing activities

(8,000)

(2,316)

Net cash used in financing activities - continuing operations

(2,663,805)

(280,369)

Net cash used in financing activities - discontinued operations

(20,537)

(66,632)

Net cash used in financing activities

(2,684,342)

(347,001)

Net decrease in cash, cash equivalents and restricted cash

(45,742)

(20,772)

Cash, cash equivalents and restricted cash

Beginning of period

159,142

179,914

End of period

$ 113,400

$ 159,142

Array Digital Infrastructure, Inc.

Consolidated Balance Sheet Highlights

(Unaudited)

ASSETS

December 31,

2025

2024

(Dollars in thousands)

Current assets

Cash and cash equivalents

$ 113,400

$ 143,730

Accounts receivable, net

21,656

12,729

Prepaid expenses

3,216

7,060

Current assets of discontinued operations

—

1,163,032

Other current assets

6,515

18,319

Total current assets

144,787

1,344,870

Non-current assets held for sale

1,591,675

Non-current assets of discontinued operations

—

4,499,069

Licenses

1,642,187

3,281,508

Investments in unconsolidated entities

412,608

453,938

Property, plant and equipment, net

388,999

384,021

Operating lease right-of-use assets

472,995

465,274

Other assets and deferred charges

24,837

20,289

Total assets

$ 4,678,088

$ 10,448,981

Array Digital Infrastructure, Inc.

Consolidated Balance Sheet Highlights

(Unaudited)

LIABILITIES AND EQUITY

December 31,

2025

2024

(Dollars in thousands, except per share amounts)

Current liabilities

Current portion of long-term debt

$ 4,063

$ 22,000

Accounts payable

38,395

36,454

Customer deposits and deferred revenues

85,945

1,716

Accrued taxes

16,884

27,077

Accrued compensation

4,322

89,476

Short-term operating lease liabilities

15,294

16,133

Current liabilities of discontinued operations

20,242

671,575

Other current liabilities

14,843

19,340

Total current liabilities

199,988

883,771

Non-current liabilities of discontinued operations

—

2,310,660

Deferred liabilities and credits

Deferred income tax liability, net

387,030

728,229

Long-term operating lease liabilities

509,876

495,736

Other deferred liabilities and credits

336,379

221,376

Long-term debt, net

670,258

1,201,725

Noncontrolling interests with redemption features

—

15,831

Total equity

2,574,557

4,591,653

Total liabilities and equity

$ 4,678,088

$ 10,448,981

Array Digital Infrastructure, Inc.

EBITDA, Adjusted EBITDA, Adjusted OIBDA and AFCF Reconciliations

(Unaudited)

EBITDA, Adjusted EBITDA and Adjusted OIBDA

The following tables reconcile EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measure, Net income (loss) from continuing operations and Income (loss) before income taxes.

Three Months Ended

December 31,

Year Ended

December 31,

2025

2024

2025

2024

(Dollars in thousands)

Net income (loss) from continuing operations (GAAP)

$ 41,764

$ 11,832

$ 172,267

$ (80,464)

Add back or deduct:

Income tax expense (benefit)

23,332

(3,656)

(31,148)

(19,256)

Income (loss) before income taxes (GAAP)

65,096

8,176

141,119

(99,720)

Add back:

Interest expense

11,989

3,203

28,222

12,405

Depreciation, amortization and accretion

12,402

12,156

48,262

47,212

EBITDA (Non-GAAP)

89,487

23,535

217,603

(40,103)

Add back or deduct:

Expenses related to strategic alternatives review

1,607

2,444

21,521

Loss on impairment of licenses

—

47,679

136,234

(Gain) loss on asset disposals, net

1,125

219

1,746

809

(Gain) loss on license sales and exchanges, net

—

(900)

(6,123)

3,460

Short-term imputed spectrum lease income

(38,619)

—

(69,033)

—

Adjusted EBITDA (Non-GAAP)

52,088

24,461

194,316

121,921

Deduct:

Equity in earnings of unconsolidated entities

26,301

37,919

173,754

161,364

Interest and dividend income

3,649

2,579

18,917

11,656

Other, net

(81)

—

169

—

Adjusted OIBDA (Non-GAAP)

$ 22,219

$ (16,037)

$ 1,476

$ (51,099)

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 its noncontrolling investment interests. The following table reconciles AFCF to the corresponding GAAP measure, Net income from continuing operations. This measure is presented following the sale of Array's wireless operations to T-Mobile on August 1, 2025, at which time the primary business operations for Array changed from providing wireless communications services to a standalone tower company. Array modified its AFCF metric for the three months ended December 31, 2025 to adjust for cash taxes paid in the quarter, which management believes best reflects cash generated from operations and investments. Under the modified presentation, the comparative calculation of AFCF for the three months ended September 30, 2025 would have been $63.4 million.

Three Months Ended

December 31, 2025

(Dollars in thousands)

Net income from continuing operations (GAAP)

$ 41,764

Add back or deduct:

Income tax expense

23,332

Cash paid for income taxes

(191)

Stock-based compensation expense

259

Short-term imputed spectrum lease income

(38,619)

Amortization of deferred debt charges

946

Equity in earnings of unconsolidated entities

(26,301)

Distributions from unconsolidated entities

65,867

(Gain) loss on asset disposals, net

1,125

Depreciation, amortization and accretion

12,402

Expenses related to strategic alternatives review

Straight line and other non-cash revenue adjustments

(5,190)

Straight line expense adjustment

1,398

Maintenance and other capital expenditures

(2,025)

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

$ 74,862

SOURCE Array Digital Infrastructure, Inc.