- Telephone & Data Systems (NYSE:TDS) is up 4.2% after strong profits at U.S. Cellular drove its own EPS beat, and revenues grew more than 3% from the prior year.
- A swing to profit at U.S. Cellular (USM), of which TDS owns 84%, paced a swing at TDS to $23M profit from a year-ago loss of $22.1M.
- Along with postpaid customer growth at USM, TDS Telecom grew IPTV customers, to 27.9K from Q1's 25.6K and a year-ago 18.2K. Residential voice connections declined Y/Y to 329K from 346.1K, and residential broadband connections declined Y/Y as well, to 231.2K from 232.7K.
- Overall, residential wireline connections were down about 1.5%, to 588,100. Residential revenue per connection was $42.10, up from last year's $41.05. Commercial wireline connections were down about 4%, to 350.6K.
- With U.S. Cellular raising guidance for the second straight quarter, TDS has boosted its own targets. It sees a narrower range of full-year revenues of $5.145B-$5.295B, and EBITDA of $890M-$1.02B, up from $870M-$1B. Guidance for the TDS Telecom business is unchanged (full-year revenues of $1.13B-$1.18B, and EBITDA of $280M-$310M).
- Press Release