Array reports third quarter 2026 results
ARRAY DIGITAL INFRASTRUCTURE, INC. (AD) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 NEWS RELEASE 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 reports third quarter 2026 results Affirms guidance for 2026 CH
How this was made
The 30-second read
Why it matters
The company posted modest revenue growth and reaffirmed its 2026 outlook, offering limited new catalyst for traders.
Market read
Earnings release provides fresh data but mainly confirms prior expectations, yielding modest trading relevance.
What to watch
The pending spectrum sales and FCC approvals could unlock upside later in the year.
Array reports Q3 2026 total operating revenues of $53.9 million, up 14% year over year, and reaffirms 2026 guidance
Tower revenue grew 14% and Adjusted OIBDA rose from $6,107 thousand to $18,255 thousand, while net income from continuing operations fell 36% on lower equity in earnings, a higher income tax line and lower spectrum lease income. 2026 guidance is unchanged.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total operating revenues, Q3 2026 (three months)GAAP | $53.9M | – | 14% |
| Site rental revenue, Q3 2026GAAP | $52.48M | – | 14% |
| Services revenue, Q3 2026GAAP | $1.40M | – | 9% |
| Cost of operations (excluding depreciation, amortization and accretion), Q3 2026GAAP | $23.35M | – | 11% |
| Selling, general and administrative, Q3 2026GAAP | $18.2M | – | (11)% |
| Depreciation, amortization and accretion, Q3 2026GAAP | $13.40M | – | 13% |
| (Gain) loss on asset disposals, net, Q3 2026GAAP | $1.23M | – | 74% |
| (Gain) loss on license sales and exchanges, net, Q3 2026GAAP | $9K | – | N/M |
| Total operating expenses, Q3 2026GAAP | $56.20M | – | (44)% |
| Operating income (loss), Q3 2026GAAP | −$2.33M | – | 96% |
| Equity in earnings of unconsolidated entities, Q3 2026GAAP | $41.01M | – | (41)% |
| Interest and dividend income, Q3 2026GAAP | $4.44M | – | (50)% |
| Interest expense, Q3 2026GAAP | −$10.97M | – | (24)% |
| Short-term imputed spectrum lease income, Q3 2026GAAP | $7.67M | – | (75)% |
| Income before income taxes, Q3 2026GAAP | $39.86M | – | (16)% |
| Income tax expense (benefit), Q3 2026GAAP | −$30.12M | – | 52% |
| Net income from continuing operations, Q3 2026GAAP | $69.98M | – | (36)% |
| Net income from continuing operations attributable to Array shareholders, Q3 2026GAAP | $69.58M | – | (36)% |
| Net income (loss) from discontinued operations, Q3 2026GAAP | −$788K | – | 99% |
| Net income (loss) attributable to Array shareholders, Q3 2026GAAP | $68.80M | – | N/M |
| Basic EPS from continuing operations attributable to Array shareholders, Q3 2026GAAP | $0.81 | – | (36)% |
| Diluted EPS from continuing operations attributable to Array shareholders, Q3 2026GAAP | $0.81 | – | (36)% |
| Diluted EPS attributable to Array shareholders, Q3 2026GAAP | $0.80 | – | N/M |
| EBITDA, Q3 2026non-GAAP | $64.23M | – | – |
| Adjusted EBITDA, Q3 2026non-GAAP | $63.74M | – | – |
| Adjusted OIBDA, Q3 2026non-GAAP | $18.25M | – | – |
| Total operating revenues, nine months 2026GAAP | $160.0M | – | 56% |
| Site rental revenue, nine months 2026GAAP | $156.7M | – | 57% |
| Services revenue, nine months 2026GAAP | $3.28M | – | 10% |
| Cost of operations (excluding depreciation, amortization and accretion), nine months 2026GAAP | $68.45M | – | 21% |
| Selling, general and administrative, nine months 2026GAAP | $53.85M | – | (22)% |
| Depreciation, amortization and accretion, nine months 2026GAAP | $40.44M | – | 13% |
| (Gain) loss on license sales and exchanges, net, nine months 2026GAAP | −$566.5M | – | N/M |
| Total operating expenses (income), nine months 2026GAAP | −$397.8M | – | N/M |
| Operating income (loss), nine months 2026GAAP | $557.7M | – | N/M |
| Income before income taxes, nine months 2026GAAP | $725.6M | – | N/M |
| Income tax expense (benefit), nine months 2026GAAP | $138.1M | – | N/M |
| Net income from continuing operations, nine months 2026GAAP | $587.4M | – | N/M |
| Net income from continuing operations attributable to Array shareholders, nine months 2026GAAP | $583.2M | – | N/M |
| Net income attributable to Array shareholders, nine months 2026GAAP | $605.3M | – | N/M |
| Basic EPS from continuing operations attributable to Array shareholders, nine months 2026GAAP | $6.74 | – | N/M |
| Diluted EPS from continuing operations attributable to Array shareholders, nine months 2026GAAP | $6.74 | – | N/M |
| Diluted EPS attributable to Array shareholders, nine months 2026GAAP | $7.00 | – | N/M |
| EBITDA, nine months 2026non-GAAP | $795.0M | – | – |
| Adjusted EBITDA, nine months 2026non-GAAP | $182.4M | – | – |
| Adjusted OIBDA, nine months 2026non-GAAP | $51.16M | – | – |
| Net cash provided by (used in) operating activities, continuing operations, nine months 2026GAAP | −$188.2M | – | – |
| Net cash provided by (used in) operating activities, total, nine months 2026GAAP | −$194.6M | – | – |
| Cash paid for additions to property, plant and equipment, nine months 2026GAAP | −$21.01M | – | – |
| Adjusted Free Cash Flow from continuing operations, nine months 2026non-GAAP | −$162.0M | – | – |
| Capital expenditures from continuing operations, Q3 2026 (quarter ended 9/30/2026)other | $3.92M | – | – |
| Owned towers, as of 9/30/2026other | 4,455 | – | – |
| Number of colocations, as of 9/30/2026other | 4,372 | – | – |
| Tower tenancy rate, as of 9/30/2026other | 0.98 | – | – |
| Cash and cash equivalents, as of 9/30/2026 (balance sheet comparison is 12/31/2025, see balance_sheet_cash_flow)GAAP | $233.6M | – | – |
| Total assets, as of 9/30/2026 (balance sheet comparison is 12/31/2025, see balance_sheet_cash_flow)GAAP | $3.21B | – | – |
| Total equity, as of 9/30/2026 (balance sheet comparison is 12/31/2025, see balance_sheet_cash_flow)GAAP | $1.34B | – | – |
| Long-term debt, net, as of 9/30/2026 (balance sheet comparison is 12/31/2025, see balance_sheet_cash_flow)GAAP | $665.0M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Site rental revenue (tower leasing)The filing states that site rental revenues grew 14% year over year and does not give further explanation. | $52,475 thousand in Q3 2026; $156,674 thousand in nine months 2026 | – | 14% (Q3 2026); 57% (nine months 2026) |
| Services revenueThe filing does not state a driver for services revenue. | $1,395 thousand in Q3 2026; $3,278 thousand in nine months 2026 | – | 9% (Q3 2026); 10% (nine months 2026) |
FY2026 (estimates as of November 6, 2026) outlook
- Revenue$205-$215 million, unchanged from previous estimate
- NoteAdjusted OIBDA (non-GAAP): $60-$75 million, unchanged
- NoteAdjusted EBITDA (non-GAAP): $220-$235 million, unchanged
- NoteCapital expenditures: $25-$35 million, unchanged
- NoteCompany states it does not provide income tax guidance and has not completed a reconciliation of 2026 estimated results to net income.
- NoteCompany states these estimates are management's view as of November 6, 2026 and it undertakes no duty to update them.
Capital returns
- Dividends paid to Array shareholders, nine months 2026: $(1,836,737) thousand; nine months 2025: $(1,986,719) thousand.
- Repurchase of Common Shares, nine months 2026: no amount printed (shown as a dash); nine months 2025: $(21,360) thousand.
- Tax withholdings, net of cash receipts, for stock-based compensation awards, nine months 2026: $(2,068) thousand; nine months 2025: $(63,506) thousand.
- Distributions to noncontrolling interests, nine months 2026: $(8,624) thousand; nine months 2025: $(26,811) thousand.
What drove it
- Company states that site rental revenues grew 14% year over year in Q3 2026.
- Company states it delivered consecutive quarter-over-quarter colocation growth.
- Company states that regulatory approval for the remaining pending spectrum transactions with T-Mobile was received on October 7, 2026. Approximately $30 million related to 600 MHz and 700 MHz licenses remains, and closings are expected in 2026, subject to FCC finality and other customary closing conditions.
- Company states that a significant portion of the additional T-Mobile spectrum sales closed in May 2026.
- Company states that on September 1, 2026, TDS announced it is no longer pursuing the non-binding proposal to acquire the Array Common Shares it does not own.
Concerns
- Net income from continuing operations fell 36% year over year in Q3 2026, to $69,978 thousand from $109,920 thousand.
- Equity in earnings of unconsolidated entities fell 41% year over year, to $41,009 thousand from $69,811 thousand.
- Short-term imputed spectrum lease income fell 75% year over year, to $7,669 thousand from $30,413 thousand.
- Interest expense rose 24% year over year, to $(10,972) thousand from $(8,855) thousand.
- Colocations were 4,372 at September 30, 2026, versus 4,517 at September 30, 2025, and the tower tenancy rate was 0.98 versus 1.02 a year earlier. The filing notes that the colocation and tenancy figures exclude DISH Wireless as of March 31, 2026 and that they exclude Interim Sites leased to T-Mobile.
- Company states that the remaining spectrum closings remain subject to FCC finality and other customary closing conditions.
- Total equity fell to $1,337,479 thousand from $2,574,557 thousand at December 31, 2025, and total assets fell to $3,207,729 thousand from $4,678,088 thousand. Dividends paid to shareholders in nine months 2026 were $(1,836,737) thousand.
What to watch
- Closing of the remaining approximately $30 million of T-Mobile spectrum sales (600 MHz and 700 MHz licenses), which the company expects in 2026 subject to FCC finality.
- Whether colocation counts and the tower tenancy rate recover toward the September 30, 2025 levels of 4,517 colocations and 1.02 tenancy.
- Full-year 2026 results against unchanged guidance: revenue of $205-$215 million, Adjusted OIBDA of $60-$75 million, Adjusted EBITDA of $220-$235 million and capital expenditures of $25-$35 million.
- Trajectory of short-term imputed spectrum lease income and equity in earnings of unconsolidated entities, both of which declined year over year in Q3 2026.
- Cash position and capital returns following the spectrum divestiture proceeds and the large nine-month dividend payment.
Balance sheet and cash flow
- Cash and cash equivalents: $233,568 thousand at September 30, 2026 versus $113,400 thousand at December 31, 2025.
- Total assets: $3,207,729 thousand at September 30, 2026 versus $4,678,088 thousand at December 31, 2025.
- Non-current assets held for sale: $57,366 thousand at September 30, 2026 versus $1,591,675 thousand at December 31, 2025.
- Total equity: $1,337,479 thousand at September 30, 2026 versus $2,574,557 thousand at December 31, 2025.
- Long-term debt, net: $665,016 thousand at September 30, 2026 versus $670,258 thousand at December 31, 2025. Current portion of long-term debt: $8,125 thousand versus $4,063 thousand.
- Cash received from divestitures, nine months 2026: $2,185,801 thousand; nine months 2025: $5,439 thousand.
- Net cash used in financing activities, continuing operations, nine months 2026: $(1,850,053) thousand; nine months 2025: $(2,662,244) thousand.
- Cash paid for income taxes, nine months 2026: $(274,270) thousand. The filing states that substantially all of this relates to the sale of various wireless spectrum licenses in 2026.
- Adjusted Free Cash Flow from continuing operations (non-GAAP), nine months 2026: $(161,996) thousand. No prior-year figure is printed for this measure.
Analysis
Array reported third quarter 2026 total operating revenues from continuing operations of $53.9 million, up 14% from $47.1 million a year earlier. Site rental revenue rose 14% to $52,475 thousand, and the company states it delivered consecutive quarter-over-quarter colocation growth. Services revenue rose 9%. The revenue growth came with lower operating expense in total: total operating expenses fell 44% to $56,196 thousand, mainly because the prior-year quarter included a $47,679 thousand loss on impairment of licenses, which is not repeated in the current quarter. Selling, general and administrative expense fell 11%, while cost of operations rose 11% and depreciation, amortization and accretion rose 13%. Operating loss narrowed to $(2,326) thousand from $(53,313) thousand.
Below the operating line, the picture is weaker. Equity in earnings of unconsolidated entities fell 41% to $41,009 thousand, interest and dividend income fell 50%, short-term imputed spectrum lease income fell 75% to $7,669 thousand, and interest expense rose 24% to $(10,972) thousand. Income tax moved to a benefit of $(30,121) thousand from a benefit of $(62,701) thousand in the prior-year quarter. Net income from continuing operations attributable to Array shareholders was $69.6 million, or $0.81 per diluted share, compared with $108.8 million, or $1.25, a year earlier. The filing does not give a cause for each of these declines, so the reader should weigh them against the reported figures directly.
On the non-GAAP measures, Adjusted OIBDA rose to $18,255 thousand from $6,107 thousand, while Adjusted EBITDA fell to $63,741 thousand from $85,081 thousand. Adjusted EBITDA excludes the prior-year and current-quarter items shown in the reconciliation, including expenses related to the strategic alternatives review of $5,934 thousand in Q3 2026. The company does not print a year-over-year change for either non-GAAP measure in the quarter, so none is given here.
The nine-month figures are dominated by the 2026 spectrum sales. Operating income for nine months 2026 was $557,722 thousand, driven by a $(566,459) thousand gain on license sales and exchanges, and net income attributable to Array shareholders was $605,286 thousand, or $7.00 per diluted share. Cash received from divestitures was $2,185,801 thousand, and cash paid for income taxes was $(274,270) thousand, which the company says is substantially related to the 2026 spectrum license sales. Adjusted Free Cash Flow from continuing operations was $(161,996) thousand for nine months 2026, and no prior-year comparison is printed for that measure. Dividends paid to shareholders were $(1,836,737) thousand, and total equity declined to $1,337,479 thousand from $2,574,557 thousand at December 31, 2025.
The company reaffirmed 2026 guidance, with every figure unchanged: total operating revenues of $205-$215 million, Adjusted OIBDA of $60-$75 million, Adjusted EBITDA of $220-$235 million and capital expenditures of $25-$35 million. Remaining spectrum closings of about $30 million are expected in 2026, subject to FCC finality. Tower metrics were mixed: owned towers stood at 4,455, colocations at 4,372 (up from 4,362 in the prior quarter but below 4,517 a year earlier), and the tenancy rate at 0.98 (flat on the prior quarter, down from 1.02 a year earlier). The colocation and tenancy figures carry footnotes on excluded sites and the DISH Wireless exclusion that the reader should review.
Management, verbatim
As Array marks its first year as a tower company, we continue to make meaningful progress against our 2026 strategic priorities,
Anthony Carlson, President and CEO
These efforts are strengthening the earnings power of our assets and positioning the company for long-term value creation.
Anthony Carlson, President and CEO
Not in the filing
stated, not guessed- Gross margin is not printed for any period.
- Prior-quarter (June 30, 2026) comparisons for the income statement lines are not printed; the release compares only with the same quarter of 2025 and with year-end balances.
- Year-over-year and quarter-over-quarter percentage changes are not printed for EBITDA, Adjusted EBITDA, Adjusted OIBDA and Adjusted Free Cash Flow.
- Year-over-year percentage change is not printed for operating cash flow, capital expenditures in the Summary Operating Data table, or the tower and colocation counts.
- No prior-year comparison is printed for Adjusted Free Cash Flow from continuing operations.
- No prior-quarter figures are printed for the balance sheet; the comparison given is with December 31, 2025.
- No previous outlook was provided, so guidance comparison is not performed; the release states guidance is unchanged.
- No net income, tax rate, gross margin or operating expense guidance is provided; the company states it does not provide income tax guidance.
- No revenue breakdown beyond site rental and services is printed.
- No share price reaction, consensus estimates or analyst expectations are in the documents.
- The reasons for the declines in equity in earnings, short-term imputed spectrum lease income and interest expense are not stated in the filing.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Array Digital Infrastructure, a tower‑owner listed on NYSE, filed an 8‑K reporting its third‑quarter 2026 operating results.
Ticker impact
Array Digital Infrastructure reported Q3 2026 results and reaffirmed its full‑year guidance.
likely modest pressure as the reaffirmed guidance may limit upside
The earnings release provides fresh numbers but only confirms prior expectations, offering limited upside catalyst.
Market effects
Provides a data point for the tower‑infrastructure sector but no major shift.
Limited to U.S. telecom infrastructure investors.
Minimal global impact.
Counterpoint
Some investors may view the reaffirmed guidance as a sign of limited growth potential.
Key entities
- companyArray Digital Infrastructure, Inc.
NYSE‑listed tower infrastructure provider.
