Mobile subscriber growth and record margins offset broadband losses, lifting adjusted EBITDA to $786 million despite revenue contraction.
Optimum Communications reported second-quarter revenue of $2 billion, down 5.8% year over year, as broadband subscriber losses weighed on results. The company added 50,000 mobile lines, bringing its total to 724,000, while broadband net losses improved to 40,000 sequentially.
Gross margin expanded to a record 71%, and adjusted EBITDA margin rose to 38.8%, driven by lower programming and operating costs. Adjusted EBITDA reached $786 million, though leverage remained elevated at 8 times annualized adjusted EBITDA.
Optimum repurchased $300 million in shares and has no 2026 debt maturities, focusing on debt restructuring and fiber network investments. Video losses narrowed to 46,000, the best quarterly performance in six years.