Uniti Group Inc.: Q4 FY2025 earnings call

What management said about Q4 FY2025, from the documents filed with the SEC on 2 March 2026: press release. Guidance figures: 9 new. The quarter’s numbers.

Key takeaways

Quarterly revenue and net loss: Consolidated revenue was $917.3 million in the fourth quarter, against $293.3 million a year earlier. The company reported a net loss of $305.7 million for the quarter. Source
Full-year income includes one-time gain: Full-year net income was $1,304.7 million on revenue of $2,234.5 million. Net income includes a one-time gain of $1,683.9 million tied to the Windstream merger. Source
Adjusted EBITDA margin near 40%: Fourth-quarter Adjusted EBITDA was $365.6 million, a margin of about 40%, against $327.8 million at about 45% in the third quarter. Full-year Adjusted EBITDA was $1,173.8 million, about 53%. Source
Subscribers up 20% year over year: Kinetic consumer fiber subscribers grew 20% year over year in the fourth quarter, up from 17% growth in the third quarter. Source
Gross adds at record level: Kinetic consumer fiber gross adds were about 38,000 in the fourth quarter, the highest on record, versus about 36,000 in the third quarter. Source
Largest customer contract signed: Uniti said it signed its largest customer contract in company history, with a prominent hyperscaler. The release gives no contract value or term. Source
Fiber-to-the-home build reached 1.9 million: The company reported about 1.9 million fiber-to-the-home homes at year-end 2025, after re-igniting fiber builds at Kinetic and Fiber Infrastructure. The 2029 target is covered in the commitments list. Source
Inaugural Kinetic fiber securitization: Uniti closed its inaugural $960.1 million Kinetic fiber securitization on January 30, with a weighted average coupon of about 5.689%, secured by residential fiber assets in five states. Source

“2025 was a critical year for Uniti in its evolution of becoming the premier insurgent fiber provider in the U.S., and there were several accomplishments that contributed to this.”
Kenny Gunderman, President and Chief Executive Officer of Uniti

Guidance

Area	Period	Figure	Against last quarter
Revenue Source	Full year 2026	$ 3,605 to $ 3,655	New
Net loss Source	Full year 2026	(410) to (360)	New
Adjusted EBITDA Source	Full year 2026	1,425 to 1,475	New
Interest expense, net Source	Full year 2026	775 to 775	New
EBITDA Source	Full year 2026	1,355 to 1,405	New
Depreciation and amortization Source	Full year 2026	1,120	New
Income tax benefit Source	Full year 2026	(130)	New
Stock-based compensation Source	Full year 2026	35	New
Transaction related and other costs Source	Full year 2026	35	New

What changed from last quarter

New guidance: Management gave a 2026 consolidated range for revenue, net loss, Adjusted EBITDA and interest expense. The previous release gave only 2025 figures. Source
New: Uniti closed its inaugural $960.1 million Kinetic fiber securitization on January 30. Source
New: Uniti completed $1.0 billion of 8.625% senior notes due 2032 on February 4. Source
New: Uniti announced the largest customer contract in company history, with a prominent hyperscaler. Source

Fourth quarter and full-year results

Quarterly revenue and net loss: Consolidated revenue was $917.3 million in the fourth quarter, against $293.3 million a year earlier. The company reported a net loss of $305.7 million for the quarter. Source
Full-year income includes one-time gain: Full-year net income was $1,304.7 million on revenue of $2,234.5 million. Net income includes a one-time gain of $1,683.9 million tied to the Windstream merger. Source
Adjusted EBITDA margin near 40%: Fourth-quarter Adjusted EBITDA was $365.6 million, a margin of about 40%, against $327.8 million at about 45% in the third quarter. Full-year Adjusted EBITDA was $1,173.8 million, about 53%. Source
Per-share results: Fourth-quarter basic and diluted loss per share was $(1.19). Full-year basic EPS was $6.61 and diluted EPS was $4.87. Source

Segment results

Kinetic revenue and contribution: Kinetic reported $558.7 million of fourth-quarter revenue and $246.6 million of contribution margin, about 44%. Full-year revenue was $928.4 million, with contribution margin of $407.6 million. Source
Fiber Infrastructure revenue and margin: Fiber Infrastructure reported $210.5 million of revenue and $103.4 million of contribution margin, about 49%. Third-quarter revenue was $226.6 million at about 70%. Full-year margin was about 73%. Source
Uniti Solutions revenue and margin: Uniti Solutions reported $196.0 million of fourth-quarter revenue and $96.2 million of contribution margin, about 49%. Full-year revenue was $332.3 million. Source

“we took multiple steps to strengthen our balance sheet and lower our cost of capital significantly through various refinancing activities”
Kenny Gunderman, President and Chief Executive Officer of Uniti

Consumer fiber subscribers and growth

Subscribers up 20% year over year: Kinetic consumer fiber subscribers grew 20% year over year in the fourth quarter, up from 17% growth in the third quarter. Source
Gross adds at record level: Kinetic consumer fiber gross adds were about 38,000 in the fourth quarter, the highest on record, versus about 36,000 in the third quarter. Source
Net adds highest in almost three years: Net adds were about 28,000, the highest in almost three years, against about 24,000 in the third quarter, which was then the highest in two years. Source
Kinetic consumer revenue growth: Kinetic consumer fiber revenue grew 24% year over year in the fourth quarter, compared with 26% growth in the third quarter. Source
Consolidated fiber revenue growth steady: Consolidated fiber revenue grew 13% year over year in the fourth quarter on a pro forma basis, the same rate reported for the third quarter. Source

Hyperscaler demand and bookings

Largest customer contract signed: Uniti said it signed its largest customer contract in company history, with a prominent hyperscaler. The release gives no contract value or term. Source
Fiber bookings matched record monthly level: New fiber infrastructure bookings were $1.7 million of monthly recurring revenue, matching the highest level on record, after $1.6 million in the third quarter. Source
Hyperscaler funnel from third quarter: The third-quarter release cited a hyperscaler sales funnel of $1.7 billion of total contract value. The fourth-quarter release does not restate that figure.

Costs, interest and transaction spending

Transaction-related costs in quarter and year: Transaction related and other costs were $32.8 million in the fourth quarter and $211.8 million for the year, after $157.7 million in the third quarter. Source
Cost of services and SG&A: Cost of services was $362.9 million in the fourth quarter against $30.1 million a year earlier. SG&A was $174.1 million against $24.5 million. Source
Depreciation and amortization totals: Depreciation and amortization was $304.9 million in the fourth quarter and $666.6 million for 2025, against $80.0 million and $314.9 million a year earlier. Source
Interest and debt extinguishment costs: Net interest expense was $176.4 million in the fourth quarter and $602.8 million for 2025. Loss on extinguishment of debt was $142.5 million in the fourth quarter and $183.0 million for the year. Source

Capital spending and fiber build

Fiber-to-the-home build reached 1.9 million: The company reported about 1.9 million fiber-to-the-home homes at year-end 2025, after re-igniting fiber builds at Kinetic and Fiber Infrastructure. The 2029 target is covered in the commitments list. Source
Fiber Infrastructure and Solutions capex: Fiber Infrastructure net capital expenditures were $43.4 million in the fourth quarter and $311.4 million for 2025. Uniti Solutions net capex was $7.7 million in the fourth quarter and $13.0 million for the year. Source
Government grant funding: Capital expenditures funded by government grants were $22.0 million in 2025, and grant funds received for broadband expansion were $17.0 million. Source

Refinancing and debt

Inaugural Kinetic fiber securitization: Uniti closed its inaugural $960.1 million Kinetic fiber securitization on January 30, with a weighted average coupon of about 5.689%, secured by residential fiber assets in five states. Source
$1.0 billion 2032 senior notes: On February 4, Uniti completed $1.0 billion of 8.625% senior notes due 2032 at an issue price of 100.25%. Source
Proceeds repaid 2031 term loan: Net proceeds from the 2032 notes repaid borrowings under the senior secured first lien term loan facility due 2031, together with related fees and expenses. Source

Cash, balance sheet and shareholder returns

Operating cash flow lower: Net cash provided from operating activities was $350.2 million for 2025, against $366.6 million in 2024. Source
Cash and debt at year-end: At December 31, 2025, cash and cash equivalents were $53.5 million and restricted cash was $80.6 million. Notes and other debt, net, was $9,529.4 million, with $10.0 million current. Source
No common dividends paid in 2025: The cash flow statement shows no dividends paid in 2025, against $108.5 million in 2024. Payments of settlement obligation were $73.5 million in 2025. Source
Preferred dividends declared: Preferred stock dividends declared were $15.5 million in the fourth quarter and $25.4 million for 2025. Preferred stock outstanding was 0.6 million shares at year-end. Source

Integration, leadership and guidance basis

New Kinetic leadership: Management said it established a new leadership team, with key Kinetic hires who bring decades of fiber-to-the-home experience. Source
Guidance basis for 2026: The 2026 guidance includes the estimated effect of the Kinetic ABS, the 2032 notes and the 2031 term loan redemption, and excludes future acquisitions and capital market transactions. Source

Coming up, as management said on 2 March 2026

Kinetic ABS proceeds plan: Net proceeds of the Kinetic notes are intended for general corporate purposes, which may include success-based capital expenditures or debt repayment. Source
Remaining 2032 notes proceeds: Remaining net proceeds from the 2032 notes are intended for general corporate purposes, including debt repayment or success-based capital expenditures. Source

Figures management reported

Figure	Reported
Kinetic consumer fiber subscribers Source	+20% year over year, fourth quarter
Gross adds Source	about 38,000, highest ever on record
Net adds Source	about 28,000, highest in almost 3 years
Kinetic net capital expenditures Source	$238.6 million in Q4; $386.0 million full year
Consolidated capital expenditures Source	$787.8 million, full year 2025

Risks management discussed

Operational: The 2026 guidance is subject to change while the company continues integrating Uniti and Windstream. Source
External: The projections exclude future acquisitions, capital market transactions and market changes, and actual results may differ materially. Source

Earlier plans management reported on

Not stated: Management said it remains committed to the 2029 fiber target. The release gives no progress figure beyond the 1.9 million homes reached at year-end. Source
Met: The Kinetic fiber securitization closed as previously announced, on January 30. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

Release date: March 2, 2026

Uniti Group Inc. Reports Fourth Quarter and Full Year 2025 Results

Recently Completed Inaugural Kinetic ABS and Refinancing Activity Strengthens Uniti’s Balance Sheet at Attractive Cost of Capital

Signed Largest Customer Contract in Uniti’s History with Prominent Hyperscaler

Provides Full Year 2026 Outlook

Net Loss of $305.7 Million for the Fourth Quarter and Net Income of $1,304.7 Million for the Full Year
Consolidated Revenue and Adjusted EBITDA of $917.3 Million and $365.6 Million, Respectively, for the Fourth Quarter
Consolidated Revenue and Adjusted EBITDA of $2,234.5 Million and $1,173.8 Million, Respectively, for the Full Year

LITTLE ROCK, Ark., March 2, 2026 (GLOBE NEWSWIRE) - Uniti Group Inc. (“Uniti” or the “Company”) (Nasdaq: UNIT) today announced its results for the fourth quarter and full year 2025.

Key highlights during the quarter on a pro forma basis included:

Consolidated Fiber Revenue Grew 13% Year-over-Year in the Fourth Quarter
Kinetic Consumer Fiber Revenue Grew 24% Year-over-Year in the Fourth Quarter
Kinetic Consumer Fiber Subscribers Grew 20% Year-over-Year in the Fourth Quarter
Kinetic Consumer Fiber Gross Adds of ~38,000; Highest Ever on Record
Kinetic Consumer Fiber Net Adds of ~28,000; Highest in Almost 3 Years
Fiber Infrastructure New Bookings Monthly Recurring Revenue of $1.7 Million; Matches Highest Level on Record
Announced Largest Customer Contract Award in Uniti’s History

“2025 was a critical year for Uniti in its evolution of becoming the premier insurgent fiber provider in the U.S., and there were several accomplishments that contributed to this. First, we successfully closed our transformational merger with Windstream and have fully integrated the various teams within our reporting segments of Kinetic, Fiber Infrastructure and Uniti Solutions. Second, we have established a new, insurgent leadership team, especially with several key new hires at Kinetic with decades of proven fiber-to-the-home experience. Third, we re-ignited our fiber builds at Kinetic and Fiber Infrastructure. We made significant progress in our fiber-to-the-home build, reaching approximately 1.9 million homes at year-end, and we remain committed to passing 3.5 million homes with fiber by the end of 2029. We also continue to see insatiable demand from hyperscalers, which was recently underscored by the largest customer contract ever awarded to Uniti. Finally, we took multiple steps to strengthen our balance sheet and lower our cost of capital significantly through various refinancing activities, including our recent landmark fiber asset securitizations that saw some of the highest demand and tightest spreads for its kind,” commented Kenny Gunderman, President and Chief Executive Officer of Uniti.

QUARTERLY RESULTS

Consolidated revenues for the fourth quarter of 2025 were $917.3 million. Consolidated net loss and Adjusted EBITDA were $305.7 million and $365.6 million, respectively, for the same period, achieving Adjusted EBITDA margins of approximately 40%.

Kinetic contributed $558.7 million of revenues and $246.6 million of contribution margin for the fourth quarter of 2025, achieving margins of approximately 44%. Kinetic’s net capital expenditures during the quarter were $238.6 million.

Fiber Infrastructure contributed $210.5 million of revenues and $103.4 million of contribution margin for the fourth quarter of 2025, achieving margins of approximately 49%. Fiber Infrastructure’s net capital expenditures during the quarter were $43.4 million.

Uniti Solutions contributed $196.0 million of revenues and $96.2 million of contribution margin for the fourth quarter of 2025, achieving margins of approximately 49%. Uniti Solutions’ net capital expenditures during the quarter were $7.7 million.

FULL YEAR RESULTS

Consolidated revenues for the full year of 2025 were $2,234.5 million. Consolidated net income and Adjusted EBITDA were $1,304.7 million and $1,173.8 million, respectively, for the same period, achieving Adjusted EBITDA margins of approximately 53%. Net income includes a one-time gain of $1,683.9 million related to the settlement of preexisting relationships in connection with the Company’s merger with Windstream.

Kinetic contributed $928.4 million of revenues and $407.6 million of contribution margin for the full year of 2025, achieving margins of approximately 44%. Kinetic’s net capital expenditures during the quarter were $386.0 million.

Fiber Infrastructure contributed $1,053.9 million of revenues and $772.1 million of contribution margin for the full year of 2025, achieving margins of approximately 73%. Fiber Infrastructure’s net capital expenditures during the quarter were $311.4 million.

Uniti Solutions contributed $332.3 million of revenues and $164.1 million of contribution margin for the full year of 2025, achieving margins of approximately 49%. Uniti Solutions’ net capital expenditures during the quarter were $13.0 million.

FINANCING TRANSACTIONS

On January 30th, Uniti announced that it had closed on its previously announced $960.1 million inaugural Kinetic fiber securitization notes offering (collectively, the “Notes”). The Notes have a weighted average coupon rate of approximately 5.689% and will be secured by certain residential fiber network assets and related customer agreements in the States of Arkansas, Georgia, Kentucky, Ohio and Texas.

Uniti intends to use the net proceeds of the offering of the Notes for general corporate purposes, which may include success-based capital expenditures and/or repayment of outstanding debt.

On February 4th, Uniti completed its previously announced offering of $1.0 billion aggregate principal amount of 8.625% senior notes due 2032 at an issue price of 100.25%. Uniti used the net proceeds from the transaction to repay borrowings under its senior secured first lien term loan facility due 2031, together with related fees and expenses, and intends to use the remaining net proceeds for general corporate purposes, which may include the repayment of outstanding debt and/or success-based capital expenditures.

FULL YEAR CONSOLIDATED 2026 OUTLOOK

Our 2026 outlook includes the estimated impact from the recent Kinetic ABS financing, the recent unsecured notes offering and the redemption of our term loan facility due 2031. This outlook excludes any impact from other future acquisitions, capital market transactions, and future transaction-related and other costs not mentioned herein.

The Company’s 2026 outlook is based on management’s current expectations and beliefs but is subject to change as it continues the integration of Uniti and Windstream.

The Company’s consolidated outlook for 2026 is as follows (in millions):

	Full Year 2026
Revenue	$3,605	to	$3,655
Net loss	(410)	to	(360)
Adjusted EBITDA	1,425	to	1,475
Interest expense, net	775	to	775

See “Non-GAAP Financial Measures” below.

CONFERENCE CALL

Uniti will hold a conference call today to discuss this earnings release at 8:30 AM Eastern Time (7:30 AM Central Time). The conference call will be webcast live on Uniti’s Investor Relations website at investor.uniti.com. Those parties interested in participating via telephone may register on the Company’s Investor Relations website or by clicking here. A replay of the call will also be made available on the Investor Relations website.

ABOUT UNITI

Uniti (Nasdaq: UNIT) is a premier insurgent fiber provider dedicated to enabling mission-critical connectivity across the United States. We build, operate, and deliver fast and reliable communications services, empowering more than a million consumers and businesses in the digital economy. Our broad portfolio of services is offered through a suite of brands: Uniti Wholesale, Kinetic, Uniti Fiber, and Uniti Solutions. Visit us online at www.uniti.com.

FORWARD-LOOKING STATEMENTS

Forward-looking statements notice

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions and management’s current expectations with respect to the future, involve certain risks and uncertainties, and are not guarantees. These forward-looking statements include, but are not limited to, statements regarding Uniti’s fiber build strategy, the businesses growth potential, and 2026 outlook. The words “anticipates,” “believes,” “could,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “will,” “would,” “predicts” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Uniti may not actually achieve the plans, intentions or expectations disclosed in its forward-looking statements, and you should not place undue reliance on the forward-looking statements. Future results may differ materially from the plans, intentions and expectations disclosed in the forward-looking statements that Uniti makes. These forward-looking statements involve risks and uncertainties, known and unknown, that could cause events and results to differ materially from those in the forward-looking statements, including, without limitation: unanticipated difficulties or expenditures relating to the merger of Uniti and Windstream; competition and overbuilding in consumer service areas and general competition in business markets; risks related to the Company’s indebtedness, which could reduce funds available for business purposes and operational flexibility; rapid changes in technology, which could affect its ability to compete; risks relating to information technology system failures, network disruptions, and failure to protect, loss of, or unauthorized access to, or release of, data; risks related to various forms of regulation from the Federal Communications Commission, state regulatory commissions and other government entities and effects of unfavorable legal proceedings, government investigations, and complex and changing laws; risks inherent in the communications industry and associated with general economic conditions; and additional risks set forth in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings with the U.S. Securities and Exchange Commission as well as the Company’s predecessor’s registration statement on Form S-4 dated February 12, 2025. The discussion of such risks is not an indication that any such risks have occurred at the time of this filing. Uniti does not assume any obligation to update any forward-looking statements.

NON-GAAP PRESENTATION

This release and today’s conference call contain certain supplemental measures of performance that are not required by, or presented in accordance with, accounting principles generally accepted in the United States (“GAAP”). Such measures should not be considered as alternatives to GAAP. Further information with respect to and reconciliations of such measures to the nearest GAAP measure can be found herein.

Consolidated Balance Sheets

(In millions, except per share data)

	December 31, 2025	December 31, 2024
Assets:
Current assets:
Cash and cash equivalents	$53.5	$155.6
Restricted cash	80.6	28.2
Accounts receivable, net	359.0	51.5
Inventories	44.0	-
Prepaid expenses	137.6	16.2
Other current assets	156.3	18.1
Total current assets	831.0	269.6
Goodwill	1,158.3	157.4
Intangible assets, net	1,293.3	275.4
Property, plant and equipment, net	8,141.9	4,209.7
Operating lease right-of-use assets, net	516.6	126.8
Deferred income tax assets, net	-	128.0
Other assets	95.6	115.2
Total assets	$12,036.7	$5,282.1
Liabilities and shareholders' equity (deficit):
Current liabilities:
Current portion of notes and other debt	10.0	-
Accounts payable	171.5	13.6
Deferred revenue	239.8	84.5
Current portion of operating lease obligations	122.6	12.7
Accrued taxes	51.8	7.1
Accrued interest	138.8	143.9
Other current liabilities	389.4	118.9
Total current liabilities	1,123.9	380.7
Notes and other debt, net	9,529.4	5,783.6
Noncurrent operating lease obligations	360.5	67.8
Noncurrent deferred revenue	368.7	1,316.5
Deferred income tax liabilities, net	17.7	-
Other liabilities	256.1	185.4
Total liabilities	11,656.3	7,734.0
Commitments and contingencies
Shareholders' equity (deficit):
Preferred stock, $0.0001 par value, 0.6 million shares issued and outstanding at December 31, 2025	-	-
Old Uniti Preferred stock, $0.0001 par value, 50.0 million shares authorized, no shares issued and outstanding at December 31, 2024	-	-
Common stock, $0.0001 par value, 5,550.0 million shares authorized, 239.0 million shares issued and outstanding at December 31, 2025 and 500.0 million shares authorized, 143.2 million shares issued and outstanding at December 31, 2024	-	-
Additional paid-in capital	2,790.1	1,236.0
Accumulated other comprehensive loss	(1.9)	(0.6)
Distributions in excess of accumulated earnings	(2,407.9)	(3,687.8)
Total Uniti shareholders' equity (deficit)	380.3	(2,452.4)
Noncontrolling interests	0.1	0.5
Total shareholders' equity (deficit)	380.4	(2,451.9)
Total liabilities and shareholders' equity	$12,036.7	$5,282.1

Consolidated Statements of (Loss) Income

(In millions, except per share data)

	Three Months Ended December 31,		Year Ended December 31,
	2025	2024	2025	2024
Revenues and sales:
Service revenues	$889.8	$287.7	$2,171.7	$1,148.8
Sales revenues	27.5	5.6	62.8	18.1
Total revenues and sales	917.3	293.3	2,234.5	1,166.9
Costs and expenses:
Cost of services (exclusive of depreciation and amortization included below)	362.9	30.1	686.6	128.6
Cost of sales (exclusive of depreciation and amortization included below)	28.7	3.5	56.0	11.7
Selling, general and administrative	174.1	24.5	351.5	105.0
Depreciation and amortization	304.9	80.0	666.6	314.9
Gain on sale of operating assets	-	-	-	(19.0)
Transaction related and other costs	32.8	7.6	211.8	38.7
Total costs and expenses	903.4	145.7	1,972.5	579.9
Operating income	13.9	147.6	262.0	587.0
Other income, net	9.5	-	8.1	0.3
Loss on extinguishment of debt	(142.5)	-	(183.0)	-
Gain on settlement of preexisting relationships	(1.5)	-	1,683.9	-
Interest expense, net	(176.4)	(129.7)	(602.8)	(511.4)
(Loss) income before income taxes	(297.0)	17.9	1,168.2	75.9
Income tax (expense) benefit	(8.7)	3.7	136.5	17.5
Net (loss) income	(305.7)	21.6	1,304.7	93.4
Participating securities’ share in earnings	10.7	(0.6)	(30.6)	(2.1)
Dividends declared on preferred stock	(15.5)	-	(25.4)	-
Net (loss) income attributable to common shareholders	$(310.5)	$21.0	$1,248.7	$91.3
Net (loss) income attributable to common shareholders - Basic	(310.5)	21.0	1,248.7	91.3
Dividends declared on preferred stock	15.5	-	25.4	-
Impact of if-converted dilutive securities	6.2	-	24.4	-
Net (loss) income attributable to common shareholders - Diluted	$(288.8)	$21.0	$1,298.5	$91.3
(Loss) income earnings per common share:
Basic	$(1.19)	$0.15	$6.61	$0.64
Diluted	$(1.19)	$0.15	$4.87	$0.64
Weighted-average number of common shares outstanding
Basic	251.6	237.5	189.0	143.1
Diluted	251.6	237.5	266.5	143.1

Consolidated Statements of Cash Flows

(In millions)

	Year Ended December 31,
	2025	2024
Cash flows from operating activities:
Net income	$1,304.7	$93.4
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	666.6	314.9
Amortization of deferred financing costs, debt discount and premium	14.3	22.7
Loss on extinguishment of debt	183.0	-
Deferred income taxes	(143.5)	(18.9)
Straight-line revenues and amortization of below-market lease intangibles	(15.4)	(30.6)
Stock-based compensation	23.5	13.5
Gain on sale of operating assets	-	(19.0)
Gain on settlement of preexisting relationships	(1,683.9)	-
Provision for estimated credit losses	15.9	1.1
Other, net	8.1	7.3
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable	(8.5)	(6.2)
Inventory	(41.5)	-
Prepaid expenses	(7.5)	0.8
Other current assets	5.6	(1.6)
Other assets	(13.0)	(0.5)
Accounts payable	32.7	7.8
Accrued interest	(64.1)	10.2
Accrued taxes	4.9	1.2
Deferred revenue	86.1	8.2
Other current liabilities	25.9	-
Other liabilities	(11.0)	(2.1)
Noncurrent deferred revenue	(42.2)	(37.4)
Operating lease assets and lease obligations	8.0	1.8
Other, net	1.5	-
Net cash provided from operating activities	350.2	366.6
Cash flows from investing activities:
Capital expenditures	(787.8)	(354.8)
Merger cash consideration paid, net of cash acquired	(229.5)	-
Capital expenditures funded by government grants	(22.0)	-
Grant funds received for broadband expansion	17.0	-
Proceeds from sale of IPv4 addresses and other assets	10.6	2.6
Proceeds from sale of operating assets	-	40.0
Proceeds from sale of unconsolidated entity	-	40.0
Net cash used in investing activities	(1,011.7)	(272.2)
Cash flows from financing activities:
Proceeds from issuance of debt	4,718.0	714.0
Repayments of debt	(3,784.0)	(460.9)
Dividends paid	-	(108.5)
Payments of settlement obligation	(73.5)	(98.0)
Payments for financing costs	(235.7)	(15.8)
Other, net	(13.0)	(3.7)
Net cash provided from financing activities	611.8	27.1
Net (decrease) increase in cash, restricted cash and cash equivalents	(49.7)	121.5
Cash, restricted cash and cash equivalents at beginning of period	183.8	62.3
Cash, restricted cash and cash equivalents at end of period	$134.1	$183.8
Non-cash investing and financing activities:
Interest paid, net of interest capitalized	$660.7	$478.0
Income taxes paid, net of refunded	5.1	2.6
Right-of-use assets obtained in exchange for operating lease obligations	46.4	19.0
Change in accounts payable and other current liabilities for purchases of property and equipment	(26.0)	(1.4)
Tenant capital improvements	287.0	263.1

Reconciliation of EBITDA and Adjusted EBITDA

(In millions)

	Three Months Ended December 31,		Year Ended December 31,
	2025	2024	2025	2024
Net (loss) income	$(305.7)	$21.6	$1,304.7	$93.4
Depreciation and amortization	304.9	80.0	666.6	314.9
Interest expense, net	176.4	129.7	602.8	511.4
Loss on extinguishment of debt	142.5	-	183.0	-
Income tax expense (benefit)	8.7	(3.7)	(136.5)	(17.5)
EBITDA	$326.8	$227.6	$2,620.6	$902.2
Stock-based compensation	6.1	3.4	23.5	13.5
Transaction related and other costs	32.8	7.6	211.8	38.7
Gain on sale of operating assets	-	-	-	(19.0)
Gain on settlement of preexisting relationships	1.5	-	(1,683.9)	-
Other, net:
Other income, net	(9.5)	-	(8.1)	(0.3)
Amortization of non-cash rights-of-use assets	0.1	0.9	2.1	3.4
Loss on asset retirements and dispositions	7.8	-	7.8	-
Severance costs	-	-	-	1.6
Total other, net	(1.6)	0.9	1.8	4.7
Adjusted EBITDA	$365.6	$239.5	$1,173.8	$940.1
Contribution margin:
Kinetic	$246.6	$ -	$407.6	$ -
Uniti Solutions	96.2	-	164.1	-
Fiber Infrastructure	103.4	254.1	772.1	999.3
Total Contribution Margin	$446.2	$254.1	$1,343.8	$999.3

Projected Future Results

(In millions)

	Year Ended December 31, 2026
Net loss	($410) to ($360)
Interest expense, net	775
Depreciation and amortization	1,120
Income tax benefit	(130)
EBITDA	1,355 to 1,405
Stock-based compensation	35
Transaction related and other costs	35
Adjusted EBITDA	$1,425 to $1,475

These ranges represent management’s best estimates based on the underlying assumptions as of the date of this press release. Future acquisitions, capital market transactions, changes in market conditions, and other factors are excluded from our projections. There can be no assurance that our actual results will not differ materially from the estimates set forth above.

The components of projected future results may not add due to rounding.

Future transaction related costs not mentioned herein are not included in our current outlook.

NON-GAAP FINANCIAL MEASURES

We refer to EBITDA and Adjusted EBITDA in our analysis of our results of operations, which are not required by, or presented in accordance with, accounting principles generally accepted in the United States (“GAAP”). While we believe that net income, as defined by GAAP, is the most appropriate earnings measure, we also believe that EBITDA and Adjusted EBITDA are important non-GAAP supplemental measures of our operating performance.

We define “EBITDA” as net income, as defined by GAAP, before interest expense, provision for income taxes, depreciation and amortization, and costs incurred as a result of the early repayment of debt, including early tender and redemption premiums and the write off of unamortized deferred financing costs. We define “Adjusted EBITDA” as EBITDA before stock-based compensation expense and the impact, which may be recurring in nature, of incremental acquisition, pursuit, transaction and integration costs (including unsuccessful acquisition pursuit costs), and costs associated with litigation claims made against us, and costs associated with the implementation of our enterprise resource planning system, (collectively, “Transaction Related and Other Costs”), goodwill impairment charges, gains or losses on retirements and dispositions of assets, gain on settlement of preexisting relationships in connection with our merger with Windstream, severance costs, amortization of non-cash rights-of-use assets, costs associated with the termination of related hedging activities, changes in the fair value of financial instruments, and other similar or infrequent items (although we may not have had such charges in the periods presented). We believe EBITDA and Adjusted EBITDA are important supplemental measures to net income because they provide additional information to evaluate our operating performance on an unleveraged basis. In addition, Adjusted EBITDA is calculated similar to defined terms in our material debt agreements used to determine compliance with specific financial covenants. Since EBITDA and Adjusted EBITDA are not measures calculated in accordance with GAAP, they should not be considered as alternatives to net income determined in accordance with GAAP.

Further, our computations of EBITDA and Adjusted EBITDA may not be comparable to that reported by other companies.

Contacts
Paul Bullington
Senior Executive Vice President, Chief Financial Officer & Treasurer
251-662-1512 paul.bullington@uniti.com
Bill DiTullio
Senior Vice President, Investor Relations & Treasury
501-850-0872 bill.ditullio@uniti.com
Scott L. Morris
Associate Director, Media & External Communications
501-580-4759 scott.l.morris@uniti.com
Brandi Stafford
Vice President, Corporate Communications
501-351-0067 brandi.stafford@uniti.com