Financial Data and Key Metrics Changes - The company reported a 2% decline in service revenues, driven by a decrease in the average subscriber base, partially offset by an increase in postpaid ARPU by 2% [32][25] - Adjusted operating income before depreciation and amortization (OIBDA) improved by 1%, while adjusted EBITDA, which includes earnings from equity method investments, increased by 3% [33] - Free cash flow for the year-to-date through September 30th was $331 million, a $94 million increase over the prior year, allowing for debt repayment of $163 million in the first nine months of 2024 [37] Business Line Data and Key Metrics Changes - UScellular improved retail net losses by 20,000 subscribers year-over-year, with postpaid handset net losses improving by 10,000 due to reduced churn [21][23] - TDS Telecom's fiber broadband strategy contributed to a 2% increase in total operating revenue and a 21% increase in adjusted EBITDA for the quarter [41] - The company achieved a milestone where 50% of service addresses are now served by fiber, with a year-over-year growth of 9% in total service addresses [40][42] Market Data and Key Metrics Changes - The overall pool of available subscribers in the industry decreased year-over-year, but UScellular's share of growth ads increased, allowing for flat postpaid handset growth ads [23] - Competitive pricing and promotional strategies in the prepaid segment led to improved subscriber momentum, despite ongoing competitive intensity [24] - The company noted a slowdown in new tenant and amendment activity in the Tower segment due to moderated capital expenditures in the industry [35] Company Strategy and Development Direction - The company is focused on monetizing retained spectrum, with agreements to sell certain portions for over $1 billion, highlighting the demand for these licenses [17][19] - The strategic focus includes optimizing resources and divesting non-strategic assets, such as the sale of OneNeck IT solutions and certain TDS Telecom assets [8][9] - Future 5G network investments will predominantly be dedicated to deploying mid-band spectrum to enhance speed and capacity [26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term benefits of the T-Mobile transaction, which is expected to close in mid-2025, providing greater scale and a competitive network [15] - The company remains optimistic about its operational objectives and long-term strategic goals, especially with improved profitability and cash flow [11][10] - Management acknowledged the challenges posed by recent natural disasters but emphasized the team's efforts to support affected communities [6][14] Other Important Information - The company announced the upcoming departure of CFO Michelle Brukwicki, with Kris Bothfeld set to take over the role [12][13] - The company is managing its balance sheet through long-dated debt maturities issued at historically low interest rates, maintaining reasonable leverage and sufficient liquidity [11] Q&A Session Summary Question: Clarification on T-Mobile and Verizon Spectrum Sales - Management confirmed that the cash tax estimates for the spectrum sales are net of NOLs and interest carry forwards, with TDS having more attributes than UScellular [56] Question: Impact of T-Mobile Deal on Spectrum Availability - It was clarified that the T-Mobile deal may close, but regulatory approval for the Verizon Spectrum deal may not be immediate [58] Question: Long-term Wireless Strategy and AI Impact - Management noted that while there hasn't been a super cycle in device upgrades, AI is expected to enhance operational efficiency and customer experience in care centers [64][66] Question: Update on ILEC and Cable Divestitures - Management confirmed that the divestitures mentioned are consistent with previous disclosures, including small Virginia ILECs and Texas cable properties [69] Question: Future of Tower Portfolio and Co-location Rates - Management expressed optimism about increasing co-location rates and the potential for future acquisitions, while being cautious about current valuations in the market [75][76] Question: MVNO Launch and Future Agreements - The MVNO is being launched through NCTC partnerships, and management is open to exploring agreements with scaled wireless operators in the future [79] Question: Broadband Customer Acquisition Strategies - Management highlighted the importance of enhancing door-to-door sales efforts to improve broadband penetration in new markets [100]

Core Viewpoint - U.S. Cellular Corporation (USM) reported mixed results for Q3 2024, with net income exceeding estimates but revenue falling short due to a decline in retail connections [1][3][4]. Financial Performance - The company reported a net loss of $79 million, equating to a loss of 92 cents per share, while net income excluding license impairment charges was $23 million or 26 cents, matching the previous year's quarter [3]. - Operating revenues were $922 million, down from $963 million year-over-year, missing the Zacks Consensus Estimate of $941 million [4]. - Service revenues decreased to $747 million from $762 million, beating the Zacks Consensus Estimate of $742.31 million, while equipment sales fell to $175 million from $201 million [5]. Customer Metrics - Fixed wireless customers grew by 32% year-over-year to 140,000, and the tower business generated revenues of $59 million, up 2% year-over-year [6]. - Total postpaid connections declined to 3,999,000 from 4,159,000 year-over-year, while total prepaid connections decreased to 452,000 from 462,000 [7]. Revenue and Churn Rates - Postpaid average revenues per account improved to $131.81 from $130.91, with postpaid churn rates of 1.25% compared to 1.30% a year ago [8]. - Prepaid ARPU was $32.01, down from $33.44, while the prepaid churn rate decreased to 3.30% from 3.68% [8]. Operational Metrics - Adjusted EBITDA for the quarter was $269 million, up from $263 million in the prior-year quarter, while adjusted OIBDA was $222 million, slightly up from $220 million [9]. - Total operating expenses increased to $1.01 billion, resulting in an operating loss of $90 million compared to an income of $57 million in the previous year [9]. Cash Flow and Liquidity - Cash generated from operating activities was $245 million, down from $329 million year-over-year, with cash and cash equivalents at $272 million and long-term debt at $2.88 billion as of September 30, 2024 [10]. Future Outlook - For 2024, U.S. Cellular estimates service revenues between $2,950 million and $3,000 million, with adjusted OIBDA projected between $800 million and $875 million [11].

Core Insights - United States Cellular (USM) reported $922 million in revenue for Q3 2024, a year-over-year decline of 4.3% [1] - The EPS for the same period was $0.26, unchanged from the previous year, with a surprise of +44.44% compared to the consensus estimate of $0.18 [1] Financial Performance - Revenue of $922 million was below the Zacks Consensus Estimate of $940.51 million, resulting in a surprise of -1.97% [1] - Net additions in Retail Connections - Postpaid were -28 million, better than the average estimate of -40 million [3] - Total connections stood at 4.45 million, slightly below the estimated 4.47 million [3] - Gross additions in Retail Connections - Postpaid were 123 million, exceeding the average estimate of 109.14 million [3] - Operating Revenues from Service were $747 million, slightly above the average estimate of $742.31 million, reflecting a year-over-year change of -2% [3] - Net operating revenues from Service-Retail were $669 million, compared to the average estimate of $667.13 million, also showing a year-over-year decline of -2.6% [3] - Operating Revenues from Equipment sales were $175 million, below the average estimate of $187.10 million, with a year-over-year decline of -12.9% [3] Stock Performance - Shares of U.S. Cellular have returned +11.5% over the past month, contrasting with the Zacks S&P 500 composite's -1% change [4] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [4]

United States Cellular (USM) came out with quarterly earnings of $0.26 per share, beating the Zacks Consensus Estimate of $0.18 per share. This compares to earnings of $0.26 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 44.44%. A quarter ago, it was expected that this wireless telecommunications service provider would post earnings of $0.10 per share when it actually produced earnings of $0.20, delivering a surprise of 100%. ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-09712 UNITED STATES CELLULAR CORPORATION (Exact name of Registrant as specified in its charter) Delaware 62-1147325 (State o ...

1 Exhibit 99.1 NEWS RELEASE As previously announced, UScellular will hold a teleconference on November 1, 2024, at 9:00 a.m. CDT. Listen to the call live via the Events & Presentations page of investors.uscellular.com. UScellular reports third quarter 2024 results CHICAGO (November 1, 2024) — United States Cellular Corporation (NYSE:USM) reported total operating revenues of $922 million for the third quarter of 2024, versus $963 million for the same period one year ago. Service revenues totaled $747 million ...

CHICAGO, Nov. 1, 2024 /PRNewswire/ --As previously announced, UScellular will hold a teleconference on November 1, 2024, at 9:00 a.m. CDT. Listen to the call live via the Events & Presentations page of investors.uscellular.com.United States Cellular Corporation (NYSE:USM) reported total operating revenues of $922 million for the third quarter of 2024, versus $963 million for the same period one year ago. Service revenues totaled $747 million, versus $762 million for the same period one year ago. Net income ...

Next Level Aviation® to continue to support Pratt & Whitney CSA through consignment of used serviceable engine accessories for an additional three yearsDANIA BEACH, Fla., Oct. 29, 2024 /PRNewswire/ -- Next Level Aviation® (NLA), a leader in the global distribution of used serviceable materials (USM), has extended an agreement with Pratt & Whitney Commercial Serviceable Assets (CSA), regarding the sale of used serviceable material (USM) for aircraft engines for an additional three years. This further enhance ...

U.S. Cellular Corporation (USM) recently inked a definitive agreement with Verizon Communication, Inc. (VZ) to divest a portion of its spectrum holdings. The all-cash transaction is valued at $1 billion, subject to some potential adjustments specified in the purchase agreement, regulatory approvals and customary closing conditions. Post completion of the acquisition, Verizon will gain access to 663 million MHz POPs (MegahertzPopulation) of USM's Cellular (850 MHz) spectrum licenses, as well as 11 million MH ...

United States Cellular (USM) shares ended the last trading session 7.2% higher at $62.95. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 4.1% gain over the past four weeks.U.S. Cellular has inked a definitive agreement with Verizon Communications Inc. to divest a portion of its spectrum licenses for a total of $1 billion. The company also signed a deal with two other mobile network operators for the sale of other ...