Welcome to our dedicated page for Telephone and Data Systems news (Ticker: TDS), a resource for investors and traders seeking the latest updates and insights on Telephone and Data Systems stock.
Telephone and Data Systems Inc. (TDS), listed on the NYSE under the symbol TDS, is a Fortune 1000® company that provides a broad range of telecommunications services. The company's segments include UScellular, TDS Telecom, and OneNeck IT Solutions. Headquartered in Chicago, IL, TDS was founded in 1969 and employs approximately 8,600 associates as of March 31, 2024.
TDS operates through several key businesses:
- UScellular: This segment offers comprehensive wireless services and products to around 5 million customers nationwide. With a strong emphasis on customer support, UScellular ensures a high-quality network experience.
- TDS Telecommunications Corp.: Based in Madison, WI, this subsidiary provides high-speed internet, TV entertainment, and phone services to residential and business customers in rural, suburban, and metropolitan communities. TDS Telecom has also been aggressively expanding its fiber network, aiming to deliver faster internet speeds up to 8 Gigabits.
- OneNeck IT Solutions: Specializing in hybrid IT solutions, OneNeck offers cloud hosting, managed services, and advanced IT services through data centers located across several states, including Arizona, Colorado, Iowa, Minnesota, Oregon, and Wisconsin.
TDS is committed to continuous improvement and innovation, as evidenced by its recent achievements. The company has reported strong growth in its fiber broadband connections, having surpassed 100,000 residential broadband connections in its expansion markets. TDS Telecom plans to extend its fiber service to 1.2 million marketable addresses and aims to offer 1 Gig or higher speeds to at least 80% of its footprint.
In 2024, TDS announced several significant developments. These include a decision to explore strategic alternatives for UScellular, resulting in an agreement to sell its wireless operations and a portion of its spectrum assets to T-Mobile for $4.4 billion. The transaction is expected to close by mid-2025, pending regulatory approval. Additionally, TDS has entered an agreement to sell its OneNeck IT Solutions business to US Signal Company, LLC, with the proceeds earmarked to support the company’s fiber expansion initiatives.
Financially, TDS has shown resilience and adaptability, reporting total operating revenues of $1,262 million for the first quarter of 2024. The company continues to strategically manage its capital, including a recent $375 million unsecured debt financing to further support its fiber build-out program.
Overall, TDS aims to maintain its trajectory of growth and innovation, ensuring excellent service and connectivity for its customers across the United States.
US Signal, a digital infrastructure provider, has completed its acquisition of OneNeck IT Solutions from Telephone and Data Systems, Inc. (NYSE: TDS). This strategic move significantly expands US Signal's capabilities and reach:
- Increases data centers from 10 to 16, quadrupling square footage
- Extends footprint to the West Coast (Phoenix, Denver, Bend)
- Adds Madison, Minneapolis, and Des Moines markets to fiber network
- More than triples commercial power under management
OneNeck serves over 1,000 customers across 45 states in various sectors. The combined entity aims to enhance client service excellence and provide more capabilities to meet evolving customer needs.
TDS Telecom and UScellular, subsidiaries of Telephone and Data Systems, Inc. (NYSE: TDS), have announced their participation in two upcoming September conferences. TDS Telecom will present at Citi's 2024 Global TMT Conference on September 5, with Michelle Brukwicki, senior VP of finance & CFO, speaking. UScellular will attend the 2024 RBC Capital Markets Global Communications Infrastructure Conference on September 25, with Doug Chambers, EVP, CFO & Treasurer, hosting one-on-one meetings.
TDS, founded in 1969 and headquartered in Chicago, provides wireless, broadband, video, voice, and IT services to approximately 6 million connections nationwide through its businesses. As of June 30, 2024, TDS employed about 8,500 associates and owned approximately 82% of UScellular, which had 4.5 million retail connections in 21 states.
TDS Telecommunications has entered into a purchase agreement to transfer ownership of its cable operations in Texas. Poka Lambro Telecommunications will acquire TDS' cable properties in Seminole, Seagraves, and Denver City, while Nevill Holdings (parent company of Big Bend Telephone Company and Big Bend Telecom) will take over operations in Alpine and Fort Stockton. The deal, signed on August 21, 2024, is expected to close within Q4 2024.
Eight local TDS Field Service associates will transfer to the new companies as part of the agreement. TDS has been operating in Texas since 2013 when it acquired Baja Broadband. Both Poka Lambro and Big Bend Telecom have long-standing histories of serving rural Texas communities with high-speed internet and telecommunications services.
Calix, Inc. (NYSE: CALX) has appointed Wade Oosterman, former vice chairman of Bell Canada and president of Bell Media, to its board of directors. Oosterman brings over 30 years of experience in the telecommunications industry, having played pivotal roles in major Canadian telecom companies. His expertise in driving profitable growth and transformation is expected to strengthen Calix's market leadership amid the ongoing broadband industry disruption.
Oosterman's appointment aligns with Calix's mission to help broadband service providers (BSPs) simplify their business, innovate for subscribers, and grow value for their communities. His experience includes serving on boards of companies like Stagwell, Inc. (NASDAQ: STGW) and Telephone Data Systems Inc. (NYSE: TDS). Oosterman's strategic leadership at BCE contributed to its current $31 billion market capitalization and commanding position in Canada's telecom industry.
The board of directors of Telephone and Data Systems (NYSE: TDS), a major telecommunications provider, has declared third-quarter 2024 dividends.
The company will pay a quarterly dividend of $0.04 per Common Share and Series A Common Share, payable on September 30, 2024, to holders of record on September 16, 2024.
For the Series UU Preferred Shares, a dividend of $414.0625 per share will be paid, equating to $0.4140625 per depositary share, payable on September 30, 2024, to holders of record on September 15, 2024.
For the Series VV Preferred Shares, a dividend of $375.0000 per share will be paid, equating to $0.3750000 per depositary share, payable on September 30, 2024, to holders of record on September 15, 2024.
The tickers are TDS for Common shares, TDSPrU for Series UU depositary shares, and TDSPrV for Series VV depositary shares.
TDS reported Q2 2024 results with total operating revenues of $1,238 million, down from $1,267 million in Q2 2023. Net loss attributable to TDS common shareholders improved to $(14) million from $(19) million year-over-year. Key highlights include:
- UScellular announced sale of wireless operations and select spectrum assets to T-Mobile
- UScellular's postpaid ARPU grew 2% while service revenues decreased 2%
- TDS Telecom grew total service address footprint by 10% year-over-year
- TDS Telecom's operating revenues increased 4% with 7% residential revenue growth
- TDS updated 2024 guidance for TDS Telecom, raising Adjusted OIBDA and Adjusted EBITDA estimates to $330-$360 million
Telephone and Data Systems, Inc. (NYSE: TDS) and United States Cellular (NYSE: USM) have announced their upcoming second quarter operating results conference call, scheduled for August 2, 2024, at 9:00 a.m. Central Time. The companies will release their financial results before the market opens on the same day. Investors can access the webcast through the events & presentations pages on the respective company websites. TDS, founded in 1969 and headquartered in Chicago, provides wireless, broadband, video, voice, and IT services to approximately 6 million connections nationwide through its subsidiaries UScellular, TDS Telecom, and OneNeck IT Solutions. As of March 31, 2024, TDS employed about 8,600 associates.
TDS Telecom, based in Madison, Wisconsin, is set to launch a new mobile phone product, expanding into the Mobile Virtual Network Operator (MVNO) market through partnerships within the National Content & Technology Cooperative (NCTC). The product, branded as TDS Mobile, will initially be available exclusively to TDS internet customers before a broader rollout. TDS Mobile will leverage a nationwide 5G network, promising extensive coverage at competitive prices. Partnering with Reach, a software-as-a-service platform, TDS aims to simplify and expedite the product launch. The announcement aligns with TDS Telecom's strategy to diversify its service portfolio and enhance market presence. Detailed product information and customer notifications will be forthcoming.
US Signal Company has signed an agreement to acquire OneNeck IT Solutions and OneNeck Data Center Holdings from Telephone and Data Systems (NYSE: TDS). The acquisition will increase US Signal's data centers from nine to 15, extending their footprint to the West Coast and tripling their commercial power under management. The deal is expected to close in Q3 2024, with no terms disclosed. OneNeck provides hybrid IT and multi-cloud solutions through data centers in six states and serves over 1,000 customers in various sectors. US Signal operates a 9,500-route mile fiber network and nine data centers in the Midwest. The acquisition is anticipated to enhance customer service and innovation while supporting growth in the U.S. middle market.
On June 3, 2024, Telephone and Data Systems (NYSE: TDS) announced the sale of its subsidiaries OneNeck IT Solutions and OneNeck Data Center Holdings to US Signal Company. This agreement involves transferring all OneNeck operations, including data centers and cloud hosting solutions. The transaction, which is subject to customary closing conditions, is expected to complete in Q3 2024. While financial terms were not disclosed, TDS plans to use the sale proceeds to support its fiber program, aiming to enhance broadband connectivity across US communities. This strategic move aligns with TDS's goal to optimize asset allocation and improve competitiveness.
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