ITTI-TDS (TDS) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates

Financial Performance - For the quarter ended March 2025, Telephone & Data Systems (TDS) reported revenue of $1.15 billion, down 8.6% year-over-year [1] - EPS came in at -$ 0.09, compared to $0.10 in the year-ago quarter, representing a significant decline [1] - The reported revenue was a surprise of -3.24% compared to the Zacks Consensus Estimate of$ 1.19 billion, and the EPS surprise was -350.00% against the consensus estimate of - $0.02 [1] Key Metrics - US Cellular Postpaid ARPU was$ 52.06, slightly below the estimated $52.37 [4] - US Cellular Retail Connections Prepaid reported a net loss of 17 thousand, worse than the estimated loss of 13.5 thousand [4] - US Cellular Postpaid Churn rate was 1.2%, matching the average estimate [4] - Total Retail Connections Postpaid at the end of the period was 3.95 million, in line with the average estimate [4] Revenue Breakdown - Operating Revenues for U.S. Cellular were$ 891 million, below the average estimate of $923.79 million, reflecting a year-over-year change of -6.2% [4] - Operating Revenues for TDS Telecom were$ 257 million, slightly below the estimated $262.13 million, representing a -3.4% change year-over-year [4] - TDS Telecom Service- Wholesale revenues were$ 39 million, compared to the average estimate of $42.79 million, indicating an -11.4% year-over-year change [4] - TDS Telecom Service revenues were$ 256 million, below the estimated $261.09 million, with a -3.9% change year-over-year [4] - Operating Revenues from all other sources were$ 6 million, significantly below the estimated $10.03 million, representing an -87% change year-over-year [4] - TDS Telecom Service Residential - Wireline, Expansion revenues were$ 34 million, exceeding the average estimate of $32.20 million, with a year-over-year change of +30.8% [4] - TDS Telecom Service Residential - Cable revenues were$ 64 million, slightly below the estimated $64.63 million, reflecting an -8.6% change year-over-year [4] - U.S. Cellular Equipment and product sales were$ 150 million, significantly below the estimated $197.91 million, representing a -23.7% change year-over-year [4] Stock Performance - Shares of TDS have returned -0.6% over the past month, compared to the Zacks S&P 500 composite's -0.5% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]