Array reports third quarter 2026 results
Affirms guidance for 2026
CHICAGO, Nov. 6, 2026 /PRNewswire/ --
As previously announced, Array will hold a teleconference on November 6, 2026, at 9:00 a.m. CT. Listen to the call live via the Events & Presentations page of investors.arrayinc.com.
Array Digital Infrastructure, Inc. (NYSE:AD) reported third quarter operating results.
"As Array marks its first year as a tower company, we continue to make meaningful progress against our 2026 strategic priorities," said Anthony Carlson, President and CEO. "Our team remains intensely focused on maximizing the value of our tower portfolio by driving tenant growth and enhancing operational efficiency. These efforts are strengthening the earnings power of our assets and positioning the company for long-term value creation."
Highlights*
- Optimizing tower operations
- Site rental revenues grew 14% year over year
- Delivered consecutive quarter-over-quarter colocation growth
- Continuing to close pending sales of wireless spectrum
- Received regulatory approval for remaining pending transactions in October, closings remain subject to FCC finality and other customary closing conditions
- Reaffirming 2026 financial guidance
* Comparisons are 3Q'25 to 3Q'26 unless otherwise noted.
Array reported total operating revenues from continuing operations of $53.9 million for the third quarter of 2026, versus $47.1 million for the same period one year ago. Net income attributable to Array shareholders and diluted earnings per share from continuing operations were $69.6 million and $0.81, respectively, for the third quarter of 2026 compared to $108.8 million and $1.25, respectively, in the same period one year ago.
Pending transactions
Subsequent to the August 1, 2025 close of the sale of its wireless operations, Array reached additional agreements with T-Mobile for the sale of spectrum. A significant portion of these closed in May 2026 with approximately $30 million related to 600 MHz and 700 MHz licenses remaining. These remaining transactions received regulatory approval on October 7, 2026 and are expected to close in 2026, subject to FCC finality and other customary closing conditions.
Recent Development
On May 7, 2026, TDS delivered to the Array Board of Directors a letter setting forth a non-binding proposal to acquire all of the outstanding Array Common Shares that are not owned by TDS (the "Array Proposal"). On September 1, 2026, TDS announced that it is no longer pursuing the Array Proposal. For additional information, see TDS' Current Report on Form 8-K filed with the U.S. Securities and Exchange Commission on September 2, 2026.
2026 Estimated Results
Array's current estimates of full-year 2026 results are shown below. Such estimates represent management's view as of November 6, 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 | |||||||
Previous | Current | ||||||
(Dollars in millions) | |||||||
Total operating revenues | $205-$215 | Unchanged | |||||
Adjusted OIBDA1 (Non-GAAP) | $60-$75 | Unchanged | |||||
Adjusted EBITDA1 (Non-GAAP) | $220-$235 | Unchanged | |||||
Capital expenditures | $25-$35 | Unchanged | |||||
The following table reconciles EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measures, Net income from continuing operations or Income 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.
Actual Results | |||||
2026 Estimated | Nine Months Ended September 30, 2026 | Year Ended | |||
(Dollars in millions) | |||||
Net income from continuing operations (GAAP) | N/A | $587 | $172 | ||
Add back: | |||||
Income tax expense (benefit) | N/A | 138 | (31) | ||
Income before income taxes (GAAP) | $775-$790 | $726 | $141 | ||
Add back or deduct: | |||||
Interest expense | 45 | 29 | 28 | ||
Depreciation, amortization and accretion | 50 | 40 | 48 | ||
EBITDA (Non-GAAP)1 | $870-$885 | $795 | $218 | ||
Add back or deduct: | |||||
Expenses related to strategic alternatives review | — | 14 | 2 | ||
Loss on impairment of licenses | — | — | 48 | ||
(Gain) loss on asset disposals, net | — | 6 | 2 | ||
(Gain) loss on license sales and exchanges, net | (585) | (566) | (6) | ||
Short-term imputed spectrum lease income | (65) | (66) | (69) | ||
Adjusted EBITDA (Non-GAAP)1 | $220-$235 | $182 | $194 | ||
Deduct: | |||||
Equity in earnings of unconsolidated entities | 145 | 116 | 174 | ||
Interest and dividend income | 15 | 15 | 19 | ||
Adjusted OIBDA (Non-GAAP)1 | $60-$75 | $51 | $1 | ||
Numbers may not foot due to rounding. | |||||
1 | EBITDA, Adjusted EBITDA and Adjusted OIBDA are defined as net income from continuing operations adjusted for the items set forth in the |
Conference Call Information
Array will hold a conference call on November 6, 2026 at 9:00 a.m. CT.
- Access the live call on the Events & Presentations page of investors.arrayinc.com or at https://events.q4inc.com/attendee/505221542
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 leases tower space to tenants and provides ancillary services, holds noncontrolling interests in primarily wireless operating companies and holds certain wireless spectrum licenses. Array owns 4,455 towers in 19 states and enables the deployment of 5G and other wireless technologies throughout the country. As of September 30, 2026, Telephone and Data Systems, Inc. owned approximately 81.9% 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 Array'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 are consummated; whether Array can monetize its 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 revenue; the ability to attract people of outstanding talent; inability to protect rights to the land under towers; changes in demand, consumer preferences and perceptions, price competition, or cost; advances or changes in technology; impacts of costs, integration issues 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 that Array does not control; pending and future litigation; cyber-attacks or other breaches of network or information technology security; control by 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 as updated by any Form 10-Q filed subsequent to such Form 10-K.
Array Digital Infrastructure, Inc. | |||||||||
Summary Operating Data (Unaudited) | |||||||||
As of or for the Quarter Ended | 9/30/2026 | 6/30/2026 | 3/31/2026 | 12/31/2025 | 9/30/2025 | ||||
Capital expenditures from continuing operations (thousands) | $ 3,915 | $ 3,895 | $ 8,645 | $ 12,933 | $ 7,927 | ||||
Owned towers | 4,455 | 4,456 | 4,452 | 4,450 | 4,449 | ||||
Number of colocations1 | 4,372 | 4,362 | 4,290 | 4,572 | 4,517 | ||||
Tower tenancy rate2 | 0.98 | 0.98 | 0.96 | 1.03 | 1.02 | ||||
1 | Represents instances where a third-party leases space on a company-owned tower. Includes T-Mobile MLA committed site minimum of 2,015. | |||
2 | Calculated as total number of colocations divided by total number of towers. Includes T-Mobile MLA committed site minimum of 2,015. |
Array Digital Infrastructure, Inc. | |||||||||||
Consolidated Statement of Operations Highlights | |||||||||||
(Unaudited) | |||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||
2026 | 2025 | 2026 vs. 2025 | 2026 | 2025 | 2026 vs. 2025 | ||||||
(Dollars and shares in thousands, except per share amounts) | |||||||||||
Operating revenues | |||||||||||
Site rental | $ 52,475 | $ 45,838 | 14 % | $ 156,674 | $ 99,663 | 57 % | |||||
Services | 1,395 | 1,281 | 9 % | 3,278 | 2,969 | 10 % | |||||
Total operating revenues | 53,870 | 47,119 | 14 % | 159,952 | 102,632 | 56 % | |||||
Operating expenses | |||||||||||
Cost of operations (excluding Depreciation, amortization and | 23,349 | 20,976 | 11 % | 68,455 | 56,662 | 21 % | |||||
Selling, general and administrative | 18,200 | 20,525 | (11) % | 53,851 | 69,063 | (22) % | |||||
Depreciation, amortization and accretion | 13,405 | 11,868 | 13 % | 40,437 | 35,860 | 13 % | |||||
Loss on impairment of licenses | — | 47,679 | N/M | — | 47,679 | N/M | |||||
(Gain) loss on asset disposals, net | 1,233 | 707 | 74 % | 5,946 | 620 | N/M | |||||
(Gain) loss on license sales and exchanges, net | 9 | (1,323) | N/M | (566,459) | (6,123) | N/M | |||||
Total operating expenses | 56,196 | 100,432 | (44) % | (397,770) | 203,761 | N/M | |||||
Operating income (loss) | (2,326) | (53,313) | 96 % | 557,722 | (101,129) | N/M | |||||
Other income (expense) | |||||||||||
Equity in earnings of unconsolidated entities | 41,009 | 69,811 | (41) % | 116,144 | 147,453 | (21) % | |||||
Interest and dividend income | 4,442 | 8,909 | (50) % | 15,095 | 15,267 | (1) % | |||||
Interest expense | (10,972) | (8,855) | (24) % | (29,013) | (16,233) | (79) % | |||||
Short-term imputed spectrum lease income | 7,669 | 30,413 | (75) % | 65,639 | 30,413 | N/M | |||||
Other, net | 35 | 254 | (86) % | 9 | 253 | (97) % | |||||
Total other income | 42,183 | 100,532 | (58) % | 167,874 | 177,153 | (5) % | |||||
Income before income taxes | 39,857 | 47,219 | (16) % | 725,596 | 76,024 | N/M | |||||
Income tax expense (benefit) | (30,121) | (62,701) | 52 % | 138,147 | (54,479) | N/M | |||||
Net income from continuing operations | 69,978 | 109,920 | (36) % | 587,449 | 130,503 | N/M | |||||
Less: Net income from continuing operations attributable to | 395 | 1,084 | (64) % | 4,264 | 2,210 | 93 % | |||||
Net income from continuing operations attributable to Array | 69,583 | 108,836 | (36) % | 583,185 | 128,293 | N/M | |||||
Net income (loss) from discontinued operations | (788) | (130,492) | 99 % | 22,290 | (99,193) | N/M | |||||
Less: Net income from discontinued operations attributable to | — | 16,809 | N/M | 189 | 17,822 | (99) % | |||||
Net income (loss) from discontinued operations attributable | (788) | (147,301) | 99 % | 22,101 | (117,015) | N/M | |||||
Net income (loss) | 69,190 | (20,572) | N/M | 609,739 | 31,310 | N/M | |||||
Less: Net income attributable to noncontrolling interests, net of | 395 | 17,893 | (98) % | 4,453 | 20,032 | (78) % | |||||
Net income (loss) attributable to Array shareholders | $ 68,795 | $ (38,465) | N/M | $ 605,286 | $ 11,278 | N/M | |||||
Basic weighted average shares outstanding | 86,489 | 86,251 | — | 86,462 | 85,726 | 1 % | |||||
Basic earnings per share from continuing operations | $ 0.81 | $ 1.26 | (36) % | $ 6.74 | $ 1.50 | N/M | |||||
Basic earnings (loss) per share from discontinued operations | $ (0.01) | $ (1.71) | 99 % | $ 0.26 | $ (1.37) | N/M | |||||
Basic earnings (loss) per share attributable to Array | $ 0.80 | $ (0.45) | N/M | $ 7.00 | $ 0.13 | N/M | |||||
Diluted weighted average shares outstanding | 86,523 | 86,846 | — | 86,506 | 87,842 | (2) % | |||||
Diluted earnings per share from continuing operations | $ 0.81 | $ 1.25 | (36) % | $ 6.74 | $ 1.46 | N/M | |||||
Diluted earnings (loss) per share from discontinued | $ (0.01) | $ (1.69) | 99 % | $ 0.26 | $ (1.33) | N/M | |||||
Diluted earnings (loss) per share attributable to Array | $ 0.80 | $ (0.44) | N/M | $ 7.00 | $ 0.13 | N/M | |||||
N/M - Percentage change not meaningful | |||||||||||
Array Digital Infrastructure, Inc. | |||
Consolidated Statement of Cash Flows | |||
(Unaudited) | |||
Nine Months Ended September 30, | |||
2026 | 2025 | ||
(Dollars in thousands) | |||
Cash flows from operating activities | |||
Net income | $ 609,739 | $ 31,310 | |
Net income (loss) from discontinued operations | 22,290 | (99,193) | |
Net income from continuing operations | 587,449 | 130,503 | |
Add (deduct) adjustments to reconcile net income to net cash flows from operating activities | |||
Depreciation, amortization and accretion | 40,437 | 35,860 | |
Bad debts expense | 253 | 1,655 | |
Stock-based compensation expense | 879 | 1,560 | |
Deferred income taxes, net | (200,187) | (81,087) | |
Equity in earnings of unconsolidated entities | (116,144) | (147,453) | |
Distributions from unconsolidated entities | 89,584 | 149,732 | |
Loss on impairment of licenses | — | 47,679 | |
(Gain) loss on asset disposals, net | 5,946 | 620 | |
(Gain) loss on license sales and exchanges, net | (566,459) | (6,123) | |
Other operating activities | 561 | 338 | |
Changes in assets and liabilities from operations | |||
Accounts receivable | 8,635 | (5,157) | |
Accounts payable | (10,487) | 22,231 | |
Customer deposits and deferred revenues | (64,239) | (28,880) | |
Accrued taxes | 57,916 | (11,713) | |
Accrued interest | 429 | 2,372 | |
Other assets and liabilities | (22,764) | (89,627) | |
Net cash provided by (used in) operating activities - continuing operations | (188,191) | 22,510 | |
Net cash provided by (used in) operating activities - discontinued operations | (6,375) | 380,388 | |
Net cash provided by (used in) operating activities | (194,566) | 402,898 | |
Cash flows from investing activities | |||
Cash paid for additions to property, plant and equipment | (21,014) | (18,597) | |
Cash paid for licenses | — | (4,175) | |
Cash received from divestitures | 2,185,801 | 5,439 | |
Other investing activities | — | 1,301 | |
Net cash provided by (used in) investing activities - continuing operations | 2,164,787 | (16,032) | |
Net cash provided by investing activities - discontinued operations | — | 2,462,399 | |
Net cash provided by investing activities | 2,164,787 | 2,446,367 | |
Cash flows from financing activities | |||
Issuance of long-term debt | — | 325,000 | |
Repayment of long-term debt | (2,031) | (875,250) | |
Tax withholdings, net of cash receipts, for stock-based compensation awards | (2,068) | (63,506) | |
Repurchase of Common Shares | — | (21,360) | |
Dividends paid to Array shareholders | (1,836,737) | (1,986,719) | |
Payment of debt issuance costs | — | (5,668) | |
Distributions to noncontrolling interests | (8,624) | (26,811) | |
Payments to acquire additional interest in subsidiaries | (593) | — | |
Other financing activities | — | (7,930) | |
Net cash used in financing activities - continuing operations | (1,850,053) | (2,662,244) | |
Net cash used in financing activities - discontinued operations | — | (20,537) | |
Net cash used in financing activities | (1,850,053) | (2,682,781) | |
Net increase in cash, cash equivalents and restricted cash | 120,168 | 166,484 | |
Cash, cash equivalents and restricted cash | |||
Beginning of period | 113,400 | 159,142 | |
End of period | $ 233,568 | $ 325,626 | |
Array Digital Infrastructure, Inc. | |||
Consolidated Balance Sheet Highlights | |||
(Unaudited) | |||
ASSETS | |||
September 30, 2026 | December 31, 2025 | ||
(Dollars in thousands) | |||
Current assets | |||
Cash and cash equivalents | $ 233,568 | $ 113,400 | |
Accounts receivable, net | 11,897 | 21,656 | |
Prepaid expenses | 2,330 | 3,216 | |
Other current assets | 2,011 | 6,515 | |
Total current assets | 249,806 | 144,787 | |
Non-current assets held for sale | 57,366 | 1,591,675 | |
Licenses | 1,584,674 | 1,642,187 | |
Investments in unconsolidated entities | 439,585 | 412,608 | |
Property, plant and equipment, net | 384,149 | 388,999 | |
Operating lease right-of-use assets | 459,705 | 472,995 | |
Other assets and deferred charges | 32,444 | 24,837 | |
Total assets | $ 3,207,729 | $ 4,678,088 | |
Array Digital Infrastructure, Inc. | |||
Consolidated Balance Sheet Highlights | |||
(Unaudited) | |||
LIABILITIES AND EQUITY | |||
September 30, 2026 | December 31, 2025 | ||
(Dollars in thousands, except per share amounts) | |||
Current liabilities | |||
Current portion of long-term debt | $ 8,125 | $ 4,063 | |
Accounts payable | 35,671 | 38,395 | |
Customer deposits and deferred revenues | 20,011 | 85,945 | |
Accrued taxes | 93,152 | 16,884 | |
Accrued compensation | 1,365 | 4,322 | |
Short-term operating lease liabilities | 16,538 | 15,294 | |
Current liabilities of discontinued operations | 24,304 | 20,242 | |
Other current liabilities | 26,087 | 14,843 | |
Total current liabilities | 225,253 | 199,988 | |
Deferred liabilities and credits | |||
Deferred income tax liability, net | 173,221 | 387,030 | |
Long-term operating lease liabilities | 499,418 | 509,876 | |
Other deferred liabilities and credits | 307,342 | 336,379 | |
Long-term debt, net | 665,016 | 670,258 | |
Total equity | 1,337,479 | 2,574,557 | |
Total liabilities and equity | $ 3,207,729 | $ 4,678,088 | |
Array Digital Infrastructure, Inc.
EBITDA, Adjusted EBITDA, Adjusted OIBDA and AFCF Reconciliations
(Unaudited)
EBITDA, Adjusted EBITDA and Adjusted OIBDA
The following table reconciles EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measure, Net income from continuing operations and Income before income taxes.
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||
2026 | 2025 | 2026 | 2025 | ||||
(Dollars in thousands) | |||||||
Net income from continuing operations (GAAP) | $ 69,978 | $ 109,920 | $ 587,449 | $ 130,503 | |||
Add back: | |||||||
Income tax expense (benefit) | (30,121) | (62,701) | 138,147 | (54,479) | |||
Income before income taxes (GAAP) | 39,857 | 47,219 | 725,596 | 76,024 | |||
Add back: | |||||||
Interest expense | 10,972 | 8,855 | 29,013 | 16,233 | |||
Depreciation, amortization and accretion | 13,405 | 11,868 | 40,437 | 35,860 | |||
EBITDA (Non-GAAP) | 64,234 | 67,942 | 795,046 | 128,117 | |||
Add back or deduct: | |||||||
Expenses related to strategic alternatives review | 5,934 | 489 | 13,512 | 2,349 | |||
Loss on impairment of licenses | — | 47,679 | — | 47,679 | |||
(Gain) loss on asset disposals, net | 1,233 | 707 | 5,946 | 620 | |||
(Gain) loss on license sales and exchanges, net | 9 | (1,323) | (566,459) | (6,123) | |||
Short-term imputed spectrum lease income | (7,669) | (30,413) | (65,639) | (30,413) | |||
Adjusted EBITDA (Non-GAAP) | 63,741 | 85,081 | 182,406 | 142,229 | |||
Deduct: | |||||||
Equity in earnings of unconsolidated entities | 41,009 | 69,811 | 116,144 | 147,453 | |||
Interest and dividend income | 4,442 | 8,909 | 15,095 | 15,267 | |||
Other, net | 35 | 254 | 9 | 253 | |||
Adjusted OIBDA (Non-GAAP) | $ 18,255 | $ 6,107 | $ 51,158 | $ (20,744) | |||
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.
Nine Months Ended | |||
(Dollars in thousands) | |||
Net income from continuing operations (GAAP) | $ 587,449 | ||
Add back or deduct: | |||
Income tax expense | 138,147 | ||
Cash paid for income taxes1 | (274,270) | ||
Stock-based compensation expense | 879 | ||
Short-term imputed spectrum lease income | (65,639) | ||
Amortization of deferred debt charges | 991 | ||
Equity in earnings of unconsolidated entities | (116,144) | ||
Distributions from unconsolidated entities | 89,584 | ||
(Gain) loss on license sales and exchanges, net | (566,459) | ||
(Gain) loss on asset disposals, net | 5,946 | ||
Depreciation, amortization and accretion | 40,437 | ||
Expenses related to strategic alternatives review | 13,512 | ||
Straight line and other non-cash revenue adjustments | (14,327) | ||
Straight line expense adjustment | 3,070 | ||
Maintenance and other capital expenditures | (5,172) | ||
Adjusted Free Cash Flow from continuing operations (Non-GAAP) | $ (161,996) |
1 | Substantially all of the cash paid for income taxes are related to the sale of various wireless spectrum licenses in 2026. |
SOURCE Array Digital Infrastructure, Inc.
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