United States Cellular Corp
F:US7

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United States Cellular Corp Logo
United States Cellular Corp
F:US7
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Price: 45.4 EUR -0.87% Market Closed
Market Cap: 3.9B EUR

United States Cellular Corp
Investor Relations

United States Cellular Corp., known as U.S. Cellular, has carved out its niche as a regional player in the intensely competitive wireless telecommunications market. Founded in 1983 as a subsidiary of Telephone and Data Systems, Inc., the Chicago-based company has focused on delivering high-quality wireless services to underserved and rural areas across the United States. This strategy has distinguished U.S. Cellular from the national giants, allowing it to cultivate deep community ties and loyal customers who value its emphasis on local service and customer satisfaction. The company operates its own network infrastructure, providing voice, messaging, and data services, which forms the backbone of its operations and revenue stream. U.S. Cellular has consistently sought to enhance its network capabilities through strategic investments in 5G technology and spectrum acquisitions, reflecting its commitment to delivering competitive and reliable wireless connectivity.

The company's business model thrives on both subscription-based revenue, as customers pay monthly bills for access to its wireless services, and the sale of equipment, including phones and accessories. By offering a mix of postpaid and prepaid plans, U.S. Cellular appeals to a broad customer base, providing flexibility to match consumer needs and budgets. Equipment sales, supplemented by strategic partnerships with major device manufacturers, contribute significantly to its revenue, though they often function more as a means to attract and retain customers within its network. The company's continued focus on enhancing customer experience, marked by robust customer service and community engagement, underpins its operational strategy. As the wireless industry evolves, U.S. Cellular remains dedicated to staying competitive by expanding its coverage and improving service quality, particularly in geographically challenging and often overlooked areas.

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Last Earnings Call
Fiscal Period
Q2 2025
Call Date
Aug 11, 2025
AI Summary
Q2 2025

Major Asset Sale: TDS and Array closed the $4.3 billion sale of U.S. Cellular wireless business and spectrum assets to T-Mobile, unlocking value for shareholders and strengthening the balance sheet.

Special Dividend: Array's Board declared a special dividend of $23 per share, to be paid August 19; TDS will receive about $1.63 billion from this payout.

Debt Reduction: TDS plans to redeem about $1.1 billion in high-cost debt, resulting in about $80 million of annual interest savings and lowering the total average cost of debt to just over 6%.

Spectrum Monetization: Agreements to sell additional spectrum to AT&T and Verizon are expected to bring in $2 billion in gross proceeds, with closings anticipated in H2 2025 and Q3 2026.

Tower Business Growth: Array, now focused on towers, owns 4,400 towers and has entered a master license agreement with T-Mobile, which is expected to drive long-term revenue and margin growth.

Fiber Expansion: TDS Telecom delivered 27,000 new fiber service addresses in Q2 and remains on track for its 2025 target of 150,000 new addresses, with strong demand for higher broadband speeds.

Updated Guidance: 2025 revenue guidance for TDS Telecom was revised to $1.03–$1.05 billion, adjusted EBITDA to $320–$350 million, reflecting recent asset sales and ongoing declines in legacy markets.

Capital Allocation: Leadership emphasized plans to prioritize fiber investment, potential M&A, and shareholder returns, while maintaining a disciplined financial approach.

Key Financials
Sale Proceeds from T-Mobile Transaction
$4.3 billion
Array Special Dividend
$23 per share
Proceeds to TDS from Special Dividend
$1.63 billion
Debt Redeemed by TDS
$1.1 billion
Annual Interest Savings
$80 million
Average Cost of Debt
Just over 6%
Spectrum Proceeds from AT&T and Verizon
$2 billion
Cash Taxes on AT&T Spectrum Sale
$125 million
Cash Taxes on Verizon Spectrum Sale
$200–$250 million
Number of Towers (Array)
4,400
Third-Party Tower Revenue Growth
Up 12% YoY
Third-Party Colocations Growth
Up 6% YoY
Fiber Service Addresses Delivered (Q2)
27,000
Fiber Net Additions (Q2)
10,300
Growth in Total Fiber Connections
Up 19% YoY
Marketable Fiber Service Addresses (End of Q2)
968,000
Percent of Addresses Served by Fiber
53%
Percent of Footprint at 1 Gbps Speed
75%
Residential Fiber Net Additions (Q2)
10,300
Total Service Addresses Growth
Up 5% YoY
Residential Broadband Customers at 100 Mbps+
83%
Residential Broadband Customers at 1 Gbps+
26%
New Customers Taking 1 Gbps+
56%
Average Residential Revenue Per Connection
Up 1% YoY
CapEx Focused on Fiber
Over 80% of full year CapEx
2025 Revenue Guidance (TDS Telecom)
$1.03–$1.05 billion
2025 Adjusted EBITDA Guidance (TDS Telecom)
$320–$350 million
2025 Adjusted OIBDA Guidance (TDS Telecom)
$310–$340 million
Distributions from Equity Method Investments
$77 million
TDS Credit Rating
BBB- (S&P)
Earnings Call Recording
Other Earnings Calls

Management

Mr. Laurent C. Therivel
President, CEO & Director
No Bio Available
Mr. Douglas W. Chambers CPA
Executive VP, CFO, Treasurer & Director
No Bio Available
Mr. Michael S. Irizarry
Executive VP, CTO, Head of Engineering & Information Technology and Non-Independent Director
No Bio Available
Mr. Kevin R. Lowell
Executive VP, Chief People Officer & Head of Communications
No Bio Available
Ms. Julie D. Mathews
Director of Investor Relations
No Bio Available
Ms. Adriana Rios Welton
General Counsel & Chief of Government Affairs
No Bio Available
Mr. Eric H. Jagher
Senior VP & Chief Marketing Officer
No Bio Available
Mr. Robert R. Jakubek
Senior Vice President of Information Technology
No Bio Available
Ms. Kimberly Green-Kerr
Senior Vice President of Enterprise Sales & Operations
No Bio Available
Mr. Jeffrey S. Hoersch
VP & Controller
No Bio Available

Contacts

Address
ILLINOIS
Chicago
8410 W Bryn Mawr Ave Ste 700
Contacts
+17733998900.0
www.uscellular.com