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Optimum Communications (NYSE: OPTU) Q2 2026 results reveal higher loss and cash burn

Filing Impact
(High)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

Optimum Communications, Inc. reported second quarter 2026 results with total revenue of $2.02 billion, down 5.8% year over year. Net loss attributable to stockholders widened to $291.8 million, or $(0.67) per diluted share, compared with $96.3 million a year earlier. For the first six months of 2026, net loss attributable to stockholders was $3.18 billion, including a $2.70 billion impairment of indefinite-lived cable franchise rights. Adjusted EBITDA was $785.7 million, down 2.2% year over year, while Adjusted EBITDA margin improved to 38.8%, up 140 basis points. Gross margin reached 71.0%, up 180 basis points. Net cash flows from operating activities were $228.1 million, a 44.6% year-over-year decline, and Free Cash Flow turned to a $(91.9) million deficit from $28.4 million.

Operationally, the company reported total broadband primary service unit net losses of 40 thousand in the quarter, ending with 4.0 million broadband subscribers, while mobile lines grew by 50 thousand to 724 thousand and residential mobile service revenue rose 40% to $53 million. Fiber-to-the-home passings increased to 3.16 million and FTTH customer relationships to 748.9 thousand. Consolidated net debt stood at $25,333 million, corresponding to 8.0x L2QA net leverage with a 6.8% weighted average cost of debt. In May 2026, subsidiary CSC Investments II LLC issued $300 million of Series A Preferred Units in a private placement and an additional $212.5 million of Preferred Units in a private exchange. In July 2026, CSC II completed a cash tender offer, purchasing 120 million Class A shares at $2.50 per share for $300 million; the acquired shares were not canceled.

Positive

  • None.

Negative

  • Operating cash flow fell 44.6% year over year to $228.1 million in Q2 2026, and Free Cash Flow swung to a $(91.9) million deficit from $28.4 million in Q2 2025, indicating weaker internal funding capacity.
  • Six‑month net loss attributable to stockholders reached $3.18 billion, including a $2.70 billion impairment of cable franchise rights, compared with a $171.9 million loss in the prior-year period.

Insights

Analyzing...

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Total revenue Q2 2026 $2.02 billion Quarter ended June 30, 2026; down 5.8% year over year
Net loss attributable to stockholders Q2 2026 $291.8 million Quarter ended June 30, 2026; $(0.67) per diluted share
Adjusted EBITDA Q2 2026 $785.7 million Down 2.2% year over year; margin 38.8%
Net cash flows from operating activities Q2 2026 $228.1 million Quarter ended June 30, 2026; down 44.6% year over year
Free Cash Flow (deficit) Q2 2026 $(91.9) million Compared with $28.4 million in Q2 2025
Consolidated net debt $25,333 million As of June 30, 2026; Optimum Communications consolidated
Net leverage (L2QA) 8.0x As of June 30, 2026; consolidated net debt to L2QA EBITDA
Tender offer size 120 million shares at $2.50 CSC II July 2026 tender for Class A shares, $300 million total
Adjusted EBITDA financial
"We define Adjusted EBITDA, which is a non-GAAP financial measure, as net income (loss) excluding certain items."
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
Free Cash Flow (deficit) financial
"We also use Free Cash Flow, defined as net cash flows from operating activities less cash capital expenditures."
L2QA leverage financial
"L2QA leverage is calculated as quarter end net debt consolidated divided by the last two quarters of Adjusted EBITDA annualized."
FTTH technical
"FTTH Total Passings represents units passed by the fiber-to-the-home network in serviceable areas."
Fiber to the home (FTTH) is a broadband delivery method that runs optical fiber directly from a network to individual residences, replacing slower copper or wireless links. Like replacing a narrow water pipe with a wide one, it provides much faster, more reliable internet and supports higher data use. Investors care because FTTH requires large upfront investment but can create stable recurring revenue, long-term customer lock-in, and a competitive edge in regions with growing data demand.
Restricted Group financial
"CSC Holdings, LLC Restricted Group excludes the unrestricted subsidiaries, primarily Lightpath Fiber Issuer LLC and others."
Total revenue Q2 2026 $2.02 billion -5.8% year over year
Net loss attributable to stockholders Q2 2026 $291.8 million vs $96.3 million in Q2 2025
Adjusted EBITDA Q2 2026 $785.7 million -2.2% year over year; margin 38.8% (up 140 bps)
Gross margin Q2 2026 71.0% expanded by 180 basis points year over year
Net cash from operating activities Q2 2026 $228.1 million -44.6% year over year
Free Cash Flow Q2 2026 $(91.9) million vs $28.4 million in Q2 2025

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FAQ

How did Optimum Communications (OPTU) perform financially in Q2 2026?
Optimum reported Q2 2026 revenue of $2.02 billion, down 5.8% year over year, and a net loss attributable to stockholders of $291.8 million, or $(0.67) per diluted share, compared with a $96.3 million loss in Q2 2025.

What were Optimum Communications' cash flow and Free Cash Flow in Q2 2026?
Net cash flows from operating activities were $228.1 million in Q2 2026, a 44.6% year-over-year decline. After $320.0 million of cash capital expenditures, Free Cash Flow was a $(91.9) million deficit, versus positive $28.4 million in Q2 2025.

How leveraged is Optimum Communications (OPTU) as of June 30, 2026?
As of June 30, 2026, Optimum reported consolidated net debt of $25,333 million and net leverage of 8.0x L2QA EBITDA, with a consolidated weighted average cost of debt of 6.8% and weighted average life of debt of 2.8 years.

What did Optimum Communications do with preferred units and share repurchases in 2026?
On May 29, 2026, subsidiary CSC Investments II LLC issued $300 million of Series A Preferred Units in a private placement and $212.5 million of additional Preferred Units in a private exchange. In July 2026, CSC II bought 120 million Class A shares at $2.50 per share in a $300 million tender offer.

What were Optimum Communications' profitability margins in Q2 2026?
In Q2 2026, Optimum reported gross margin of 71.0%, an improvement of 180 basis points year over year. Adjusted EBITDA was $785.7 million with an Adjusted EBITDA margin of 38.8%, up 140 basis points compared with Q2 2025.
false000170278000017027802026-08-062026-08-06

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.  20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
August 6, 2026
optimum-logo-black-orange.jpg
Optimum Communications, Inc.
(Exact Name of Registrant as Specified in its Charter)
Delaware
(State of Incorporation)
001-3812638-3980194
(Commission File Number)(IRS Employer Identification Number)
1 Court Square West
Long Island City,New York11101
(Address of principal executive offices)(Zip Code)

(516) 803-2300
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Class A Common Stock, par value $0.01 per share OPTUNew York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company  ☐   
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐  



Item 2.02    Results of Operations and Financial Condition
On August 6, 2026, Optimum Communications, Inc. announced its financial results for the the quarter ended June 30, 2026. A copy of the press release containing the announcement is included as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference into this Item 2.02.
As provided in General Instruction B.2 of Form 8-K, the information in this Item 2.02 and Exhibit 99.1 shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall they be deemed to be incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.
Item 9.01    Financial Statement and Exhibits
(d)Exhibits.
ExhibitDescription
99.1
Press Release dated August 6, 2026.
104Cover Page Interactive Data File – the cover page XBRL tags are embedded within the Inline XBRL document.

    



SIGNATURES


Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

OPTIMUM COMMUNICATIONS, INC.
Dated: August 6, 2026By:/s/ Michael E. Olsen
Michael E. Olsen
General Counsel & Chief Corporate Responsibility Officer


    

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OPTIMUM REPORTS SECOND QUARTER 2026 RESULTS
NEW YORK (August 6, 2026) -- Optimum Communications, Inc. (NYSE: OPTU) today reports results for the second quarter ended June 30, 2026.
Dennis Mathew, Optimum Chairman and Chief Executive Officer, said: "Our second quarter results reflect disciplined execution across every part of our business. We expanded gross margin and Adjusted EBITDA margin, drove sequential improvement in broadband trends, delivered our best second-quarter mobile line growth to date, grew convergence ARPU year over year, and continued to expand our footprint, all while reducing operating expenses and simplifying how we operate. We are sharpening our go-to-market approach, deepening customer relationships through convergence, and transforming the customer experience to support stronger broadband performance over time. At the same time, we continue to take deliberate steps to strengthen our financial foundation, which remains a top priority as we position the business for long-term success. We remain focused on executing every day, investing where we see the strongest returns, and delivering best-in-class connectivity to the communities we serve."
Second Quarter 2026 Overview
•Total revenue of $2.02 billion in Q2 2026 (-5.8% year over year)
•Residential revenue of $1.54 billion in Q2 2026 (-6.7% year over year)
◦Residential average revenue per user (ARPU)(1) of $132.22 (-1.1% year over year)
◦Convergence ARPU(2) of $79.80 (+2.4% year over year)
•Net loss attributable to stockholders of ($291.8) million (($0.67)/share on a diluted basis) in Q2 2026, compared to ($96.3) million (($0.21)/share on a diluted basis) in Q2 2025. Net loss margin attributable to stockholders of -14.4% in Q2 2026
•Net cash flows from operating activities of $228.1 million (-44.6% year over year) in Q2 2026
•Adjusted EBITDA(3) of $785.7 million (-2.2% year over year), margin of 38.8% in Q2 2026
•Cash capital expenditures of $320.0 million (-16.6% year over year), capital intensity(4) of 15.8% in Q2 2026
•Free Cash Flow (deficit)(3) of ($91.9) million in Q2 2026 compared to $28.4 million in Q2 2025
Second Quarter 2026 Key Operational Highlights
•Driving Operational Improvements and Margin Expansion
◦Year-to-date Q2 2026 Operating Expense (excluding share-based compensation) improved by -5%, supported by lower truck rolls and call volumes, lower sales acquisition costs, and workforce optimization
◦Gross margin of 71.0% in Q2 2026 expanded by 180 basis points year over year
◦Adjusted EBITDA margin(3) of 38.8% in Q2 2026 expanded by 140 basis points year over year, reflecting cost discipline
◦Continued simplifying the end-to-end customer journey through improved customer communications, digital capabilities, and operational enhancements
•Strengthening Broadband Strategy Amid Competitive Market; Net Losses of 40k
◦Total broadband primary service units (PSUs) net losses of -40k in Q2 2026, which benefited from a bulk agreement, compared to -35k in Q2 2025, ending total broadband subscribers of 4.0 million
◦Sharpening go-to-market execution through simpler offers and pricing and packaging enhancements, supporting gross add performance
◦Enhancing customer retention through data-driven base management and proactive customer engagement

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◦Continued higher-speed tier adoption, with 53% of the residential broadband customer base taking 1 Gig or higher speeds at the end of Q2 2026, up from 38% in Q2 2025
•Growing Through Mobile; Best Second Quarter Mobile Line Net Add Performance, with +50k Line Net Additions in Q2 2026
◦Mobile line net additions of +50k in Q2 2026, representing the strongest second quarter performance, bringing total mobile lines to 724k
◦Residential mobile service revenue grew 40% year over year to $53 million in Q2 2026, compared to $38 million in Q2 2025
◦Total mobile penetration of the broadband base(5) reached 8.9% at the end of Q2 2026, compared to 6.9% in Q2 2025
•Improving Video Margin and Customer Retention with New Tiered Offerings
◦Newer tiered video packages, Entertainment TV, Extra TV, and Everything TV reached 18% penetration of the residential video base at the end of Q2 2026, up from 10% in Q2 2025
◦Continued migration from legacy video packages to new tiered offerings improves retention and strengthens video margin profile
◦Video gross margin in Q2 2026 expanded by approximately 1,000 basis points in the last three years compared to Q2 2023
◦Residential video ARPU(6) grew +1.4% year over year, partially offsetting video volume declines in revenue
•Expanding and Enhancing Our Networks
◦Added +68k total new passings in Q2 2026 and +223k total new passings in the last twelve months (LTM)
◦At the end of Q2 2026, approximately 97% of the total footprint had 1 Gig or higher speeds available
◦Demand for Lightpath's AI-grade infrastructure continues to be strong; Lightpath recently announced new fiber builds to support two hyperscale data center campuses, as well as a second infrastructure tenant on its Eastern Pennsylvania AI-grade fiber infrastructure build
Balance Sheet Review as of June 30, 2026
•Consolidated net debt(7) for Optimum Communications was $25,333 million, representing consolidated net leverage of 8.0x L2QA(8)
◦The weighted average cost of debt for consolidated Optimum Communications was 6.8% and the weighted average life of debt was 2.8 years
•Net debt(7) for CSC Holdings, LLC Restricted Group was $21,775 million, representing net leverage of 22.8x L2QA(8)
◦The weighted average cost of debt for CSC Holdings, LLC Restricted Group was 6.6% and the weighted average life of debt was 2.7 years
•Consolidated net debt(7) for Cablevision Litchfield, LLC and CSC Optimum Holdings, LLC (the "UnSub Group") was $2,317 million, representing consolidated net leverage of 1.2x L2QA(8)
◦The weighted average cost of debt for the UnSub Group was 9.0% and the weighted average life of debt was 2.4 years
•Consolidated net debt(7) for Lightpath was $1,570 million, representing net leverage of 5.5x L2QA(8)
◦The weighted average cost of debt for Lightpath Consolidated was 5.6% and the weighted average life of debt was 4.7 years

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Shares Outstanding
•As of June 30, 2026, Optimum Communications had 392,560,390 combined shares of Class A and Class B common stock outstanding.
Private Placement of Preferred Units
•On May 29, 2026, CSC Investments II LLC (“CSC II”), an indirect wholly owned subsidiary of Optimum Communications, Inc. completed a private placement of newly issued Series A Preferred Units to certain institutional accredited investors for an aggregate purchase price of $300 million.
The proceeds from the private placement were used for general corporate purposes, including financing a tender offer and paying related transaction expenses. The Preferred Units are perpetual preferred interests in CSC II, with quarterly dividends payable in cash or by compounding, at CSC II’s option. Dividends accrue at 13.0% per year if paid in cash or 15.0% per year if compounded, and the rate may increase by 2.0% per year during certain triggering events. The Preferred Units may be redeemed by CSC II at any time, subject to the applicable redemption price, and are subject to mandatory redemption upon certain events involving CSC II and its subsidiaries.
Private Exchange Transaction
•In a private exchange transaction completed on May 29, 2026, CSC II issued additional Preferred Units with an aggregate initial stated value of $212.5 million to Next Partner, L.P. and certain members of Optimum’s board of directors and executive management in exchange for shares of Optimum Class A and Class B common stock. Such exchanged common shares were not canceled.
Cash Tender Offer
•In July 2026, CSC II completed its tender offer to purchase shares of Class A common stock of Optimum Communications, Inc. from unaffiliated stockholders at a purchase price of $2.50 per share. In accordance with the terms and conditions of the tender offer, CSC II accepted for purchase 120 million shares for an aggregate purchase price of $300 million, excluding fees and expenses related to the tender offer. Such purchased common shares were not canceled.


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Customer Metrics (in thousands, except per customer amounts)
 
Q1-25Q2-25Q3-25Q4-25FY-25
Q1-26(9)
Q2-26
Total Passings(10)
9,856.19,891.59,942.910,008.210,008.210,045.910,114.1
Total Passings additions 25.235.451.465.2177.337.868.2
Total Customer Relationships(11)(12)
Residential 4,130.54,088.04,028.63,963.83,963.83,897.03,855.6
SMB 375.3374.3371.9369.9369.9367.1362.5
Total Unique Customer Relationships4,505.94,462.24,400.54,333.64,333.64,264.14,218.0
Residential net additions (losses)(43.2)(42.5)(59.3)(64.9)(209.9)(66.8)(41.4)
Business Services net additions (losses)(1.3)(1.1)(2.4)(2.0)(6.7)(2.8)(4.7)
Total customer net additions (losses)(44.4)(43.6)(61.7)(66.9)(216.6)(69.5)(46.1)
Residential PSUs
Broadband3,963.33,928.33,872.23,811.43,811.43,749.63,714.3
Video1,792.41,736.31,674.91,628.41,628.41,570.71,526.6
Telephony1,200.01,147.81,093.11,041.61,041.6994.9951.3
Broadband net additions (losses)(36.6)(35.0)(56.2)(60.7)(188.4)(61.9)(35.3)
Video net additions (losses)(87.7)(56.1)(61.4)(46.5)(251.7)(57.7)(44.1)
Telephony net additions (losses)(69.2)(52.2)(54.7)(51.5)(227.7)(46.7)(43.5)
Residential ARPU(1) ($)
133.93133.68133.28134.49134.18132.32132.22
Convergence ARPU(2) ($)
78.3877.9578.2680.8779.0979.3279.80
SMB PSUs
Broadband345.7345.6343.6342.0342.0339.7335.4
Video78.776.674.672.672.670.468.7
Telephony191.9188.9185.6182.5182.5179.2175.0
Broadband net additions (losses)(0.4)(0.1)(2.1)(1.5)(4.1)(2.3)(4.3)
Video net additions (losses)(2.4)(2.0)(2.0)(2.0)(8.5)(2.1)(1.8)
Telephony net additions (losses)(2.6)(3.0)(3.3)(3.1)(12.0)(3.3)(4.2)
Total Mobile Lines(13)
Mobile ending lines508.6546.4584.4622.5622.5674.1724.0
Mobile line net additions49.037.838.038.1162.951.649.9
Fiber (FTTH) Customer Metrics (in thousands)
 
Q1-25
Q2-25Q3-25Q4-25FY-25Q1-26Q2-26
FTTH Total Passings(14)
2,995.03,023.43,053.03,096.03,096.03,121.63,155.8
FTTH Total Passing additions33.228.529.643.0134.225.634.1
FTTH Residential customer relationships590.2644.6683.6694.8694.8706.7725.2
FTTH SMB customer relationships16.518.519.821.221.222.423.7
FTTH Total Customer Relationships(15)
606.7663.0703.5715.9715.9729.1748.9
FTTH Residential net additions66.754.439.011.1171.312.018.5
FTTH SMB net additions1.81.91.41.36.41.21.3
FTTH Total Customer Net Additions68.556.340.412.5177.813.219.8

4
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Optimum Communications, Inc. Consolidated Operating Results
($ and shares in thousands, except per share data)
(unaudited)
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
Revenue:
Broadband$840,919 $885,139 $1,690,958 $1,784,700 
Video587,830 660,540 1,190,053 1,326,108 
Telephony56,296 64,633 114,702 131,045 
Mobile52,553 37,621 102,102 74,320 
Residential revenue1,537,598 1,647,933 3,097,815 3,316,173 
Business services and wholesale366,286 361,788 730,586 725,333 
News and Advertising99,978 118,771 219,652 221,181 
Other19,841 18,711 41,018 36,798 
Total revenue2,023,703 2,147,203 4,089,071 4,299,485 
Operating expenses:
Programming and other direct costs587,654 662,690 1,218,783 1,333,221 
Other operating expenses655,956 696,867 1,316,159 1,395,053 
Restructuring, impairments and other operating items206,968 66,826 2,934,597 88,448 
Depreciation and amortization407,076 409,697 813,572 828,182 
Operating income (loss) 166,049 311,123 (2,194,040)654,581 
Other income (expense):
Interest expense, net(475,576)(444,659)(933,395)(872,675)
Gain (loss) on investments and sale of affiliate interests(10,958)— (10,958)5 
Gain (loss) on interest rate swap contracts, net— 430 2,398 (1,289)
Loss on extinguishment of debt and write-off of deferred financing costs — (1,693)(106,045)(1,693)
Other expense, net(315)(834)(844)(1,797)
Loss before income taxes(320,800)(135,633)(3,242,884)(222,868)
Income tax benefit 38,671 47,647 83,779 63,611 
Net loss(282,129)(87,986)(3,159,105)(159,257)
Net income attributable to noncontrolling interests(9,632)(8,265)(16,727)(12,670)
Net loss attributable to Optimum Communications, Inc. stockholders$(291,761)$(96,251)$(3,175,832)$(171,927)
Net loss per share:
Basic and diluted net loss per share attributable to Optimum Communications, Inc. stockholders$(0.67)$(0.21)$(6.93)$(0.37)
Basic and diluted weighted average common shares (in thousands)445,703 467,744 458,988 466,311 










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Optimum Communications, Inc. Consolidated Statements of Cash Flows
($ in thousands)
(unaudited)
Six Months Ended June 30,
20262025
Cash flows from operating activities:
Net loss$(3,159,105)$(159,257)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization813,572 828,182 
Indefinite-lived cable franchise rights impairment2,700,000 — 
Loss (gain) on investments, sale of assets or sale of affiliate interests10,958 (5)
Loss on extinguishment of debt and write-off of deferred financing costs106,045 1,693 
Amortization of deferred financing costs and discounts (premiums) on indebtedness32,406 8,138 
Share-based compensation expense20,616 31,615 
Deferred income taxes(200,891)(260,615)
Decrease in right-of-use assets21,802 22,401 
Non-cash exchange of shares for redeemable preferred units156,555 — 
Allowance for credit losses39,616 30,589 
Other3,156 1,253 
Change in operating assets and liabilities, net of effects of acquisitions and dispositions:
Accounts receivable, trade(31,839)2,590 
Prepaid expenses and other assets(117,538)(62,685)
Amounts due from and due to affiliates(20,139)15,072 
Accounts payable and accrued liabilities(58,699)114,732 
Interest payable24,730 (3,242)
Deferred revenue56,232 23,425 
Interest rate swap contracts932 5,562 
Net cash provided by operating activities398,409 599,448 
Cash flows from investing activities:
Capital expenditures(627,729)(739,643)
Payments for acquisitions, net of cash acquired— (7,616)
Proceeds related to sale of equipment, net of costs of disposal12,138 2,337 
Other, net(7,260)(633)
Net cash used in investing activities(622,851)(745,555)
Cash flows from financing activities:
Proceeds from long-term debt2,856,954 675,000 
Repayment of debt(2,544,621)(404,839)
Principal payments on finance lease obligations(12,636)(92,579)
Additions to deferred financing costs(128,130)— 
Proceeds from issuance of redeemable preferred units, net289,197 — 
Distributions to noncontrolling interests— (26,452)
Other, net(13,268)(15,148)
Net cash provided by financing activities447,496 135,982 
Net increase (decrease) in cash and cash equivalents223,054 (10,125)
Effect of exchange rate changes on cash and cash equivalents2 884 
Net increase (decrease) in cash, cash equivalents and restricted cash223,056 (9,241)
Cash, cash equivalents and restricted cash at beginning of year1,141,443 256,824 
Cash, cash equivalents and restricted cash at end of year$1,364,499 $247,583 

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Reconciliation of Non-GAAP Financial Measures
We define Adjusted EBITDA, which is a non-GAAP financial measure, as net income (loss) excluding income taxes, non-operating income or expenses, gain (loss) on extinguishment of debt and write-off of deferred financing costs, gain (loss) on interest rate swap contracts, gain (loss) on derivative contracts, gain (loss) on investments and sale of affiliate interests, interest expense, net, depreciation and amortization, share-based compensation, restructuring, impairments and other operating items (such as significant legal settlements and contractual payments for terminated employees). We define Adjusted EBITDA margin as Adjusted EBITDA divided by total revenue.
Adjusted EBITDA eliminates the significant non-cash depreciation and amortization expense that results from the capital-intensive nature of our business and from intangible assets recognized from acquisitions, as well as certain non-cash and other operating items that affect the period-to-period comparability of our operating performance. In addition, Adjusted EBITDA is unaffected by our capital and tax structures and by our investment activities.
We believe Adjusted EBITDA is an appropriate measure for evaluating our operating performance. Adjusted EBITDA and similar measures with similar titles are common performance measures used by investors, analysts and peers to compare performance in our industry. Internally, we use revenue and Adjusted EBITDA measures as important indicators of our business performance and evaluate management’s effectiveness with specific reference to these indicators. We believe Adjusted EBITDA provides management and investors a useful measure for period-to-period comparisons of our core business and operating results by excluding items that are not comparable across reporting periods or that do not otherwise relate to our ongoing operating results. Adjusted EBITDA should be viewed as a supplement to and not a substitute for operating income (loss), net income (loss), and other measures of performance presented in accordance with U.S. generally accepted accounting principles (“GAAP”). Since Adjusted EBITDA is not a measure of performance calculated in accordance with GAAP, this measure may not be comparable to similar measures with similar titles used by other companies.
We also use Free Cash Flow (defined as net cash flows from operating activities less cash capital expenditures) as a liquidity measure. We believe this measure is useful to investors in evaluating our ability to service our debt and make continuing investments with internally generated funds, although it may not be directly comparable to similar measures reported by other companies.


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Reconciliation of Net Loss to Adjusted EBITDA
($ in thousands)
(unaudited)
Three Months Ended June 30,Six Months Ended June 30,
 
2026202520262025
Net loss$(282,129)$(87,986)$(3,159,105)$(159,257)
Income tax benefit(38,671)(47,647)(83,779)(63,611)
Other expense, net315 834 844 1,797 
Loss (gain) on interest rate swap contracts, net— (430)(2,398)1,289 
Loss (gain) on investments and sale of affiliate interests10,958 — 10,958 (5)
Loss on extinguishment of debt and write-off of deferred financing costs— 1,693 106,045 1,693 
Interest expense, net475,576 444,659 933,395 872,675 
Depreciation and amortization 407,076 409,697 813,572 828,182 
Restructuring, impairments and other operating items 206,968 66,826 2,934,597 88,448 
Share-based compensation5,639 16,166 20,616 31,615 
Adjusted EBITDA$785,732 $803,812 $1,574,745 $1,602,826 
Adjusted EBITDA margin38.8 %37.4 %38.5 %37.3 %

Reconciliation of net cash flow from operating activities to Free Cash Flow (Deficit)
(in thousands)
(unaudited)
Three Months Ended June 30,Six Months Ended June 30,
 
2026202520262025
Net cash flows from operating activities$228,126 $411,965 $398,409 $599,448 
Less: Capital expenditures (cash)320,025 383,519 627,729 739,643 
Free Cash Flow (Deficit)$(91,899)$28,446 $(229,320)$(140,195)










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Consolidated Net Debt as of June 30, 2026
($ in millions)
CSC Holdings, LLC Restricted Group
Principal
Amount		Coupon /
Margin		Maturity
Drawn RCF$2,225SOFR+2.350%2027
Term Loan B-52,813
ABR(16)
2027
Guaranteed Notes1,3105.500%2027
Guaranteed Notes1,0005.375%2028
Guaranteed Notes1,00011.250%2028
Guaranteed Notes2,05011.750%2029
Guaranteed Notes1,7506.500%2029
Guaranteed Notes1,1004.125%2030
Guaranteed Notes1,0003.375%2031
Guaranteed Notes1,5004.500%2031
Senior Notes1,0467.500%2028
Legacy unexchanged Cequel Notes47.500%2028
Senior Notes2,2505.750%2030
Senior Notes2,3254.625%2030
Senior Notes5005.000%2031
CSC Holdings, LLC Restricted Group Gross Debt21,873
CSC Holdings, LLC Restricted Group Cash(98)
CSC Holdings, LLC Restricted Group Net Debt$21,775
CSC Holdings, LLC Restricted Group Undrawn RCF$75.2
UnSub Group Credit AgreementPrincipal AmountCoupon / MarginMaturity
Term Loan B-8$3,1009.000%2028
UnSub Group cash(783)
UnSub Net Debt$2,317
Lightpath ConsolidatedPrincipal AmountCoupon / MarginMaturity
Secured Fiber Network Revenue Note$1,5275.597%2031
Secured Fiber Network Revenue Note1305.890%2031
Lightpath Consolidated Gross Debt1,657
Lightpath Consolidated Cash(87)
Lightpath Consolidated Net Debt$1,570
Lightpath Consolidated amount undrawn under Variable Funding Notes, subject to covenant limitations $93.7


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Net Leverage Schedule as of June 30, 2026
($ in millions)
CSC Holdings Restricted Group(17)
Lightpath Consolidated(18)
UnSub GroupOptimum Communications Consolidated
Gross Debt Consolidated(19)
$21,873$1,657$3,100$26,630
Cash(98)(87)(783)(1,296)
Net Debt Consolidated(7)
$21,775$1,570$2,317$25,333
LTM EBITDA$999$303$1,996$3,308
L2QA EBITDA$955$284$1,902$3,149
 Net Leverage (LTM) 21.8x5.2x1.2x7.7x
 Net Leverage (L2QA)(8)
22.8x5.5x1.2x8.0x
 WACD(%)6.6%5.6%9.0%6.8%

Reconciliation to Financial Reported Debt
Optimum Communications Consolidated
Total Debenture and Loans from Financial Institutions (Carrying Amount)$26,439
Unamortized financing costs and discounts, net of unamortized premiums191
Gross Debt Consolidated(19)
26,630
Finance leases112
Total Debt26,742
Cash(1,296)
Net Debt Including Finance Leases$25,446











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(1)Residential ARPU is calculated by dividing the average monthly revenue for the respective period derived from the sale of broadband, video, telephony and mobile services to residential customers by the average number of total residential customers for the same period and excludes mobile-only customer relationships.
(2)Convergence ARPU is calculated by dividing the average monthly revenue for the respective period derived from the sale of broadband and mobile services to residential customers by the average number of total residential broadband customers for the same period and excludes mobile-only customer relationships.
(3)See “Reconciliation of Non-GAAP Financial Measures” beginning on page 7 of this earnings release.
(4)Capital intensity refers to total cash capital expenditures as a percentage of total revenue.
(5)Total mobile penetration of broadband base is expressed as the percentage of customers subscribing to both broadband and mobile services divided by the total broadband customer base. Excludes mobile only customers. As of Q2-26, this metric in the current period and historical periods has been restated to align with total broadband counts versus previously disclosed residential only.
(6)Residential video ARPU is calculated by dividing the average monthly residential video revenue for the respective period by the average number of total residential video customers for the same period.
(7)Net debt, defined as the principal amount of debt less cash, and excluding finance leases and other notes.
(8)L2QA leverage is calculated as quarter end net debt consolidated divided by the last two quarters of Adjusted EBITDA annualized.
(9)Broadband subscriber net adds and video subscriber net adds in Q1-26 include subscriber adjustments taken in the quarter related to prior periods. Excluding these adjustments total residential and SMB broadband subscriber net losses would have been 56k and total residential and SMB video subscriber net losses would have been 50k.
(10)Total passings represents the estimated number of single residence homes, apartments and condominium units passed by the hybrid-fiber-coaxial (HFC) and fiber-to-the-home (FTTH) network in areas serviceable without further extending the transmission lines. In addition, it includes commercial establishments that have connected to our HFC and FTTH network.
(11)Total Unique Customer Relationships represent the number of households/businesses that receive at least one of our fixed-line services. Customers represent each customer account (set up and segregated by customer name and address), weighted equally and counted as one customer, regardless of size, revenue generated, or number of boxes, units, or outlets on our HFC and FTTH network. Free accounts are included in the customer counts along with all active accounts, but they are limited to a prescribed group. Most of these accounts are also not entirely free, as they typically generate revenue through pay-per-view or other pay services and certain equipment fees. Free status is not granted to regular customers as a promotion. In counting bulk residential customers, such as an apartment building, we count each subscribing unit within the building as one customer, but do not count the master account for the entire building as a customer. We count a bulk commercial customer, such as a hotel, as one customer, and do not count individual room units at that hotel.
(12)Total Customer Relationship metrics do not include mobile-only customers.
(13)Mobile lines represent the number of residential and business customers’ wireless connections, which include mobile phone handsets and other mobile wireless connected devices. An individual customer relationship may have multiple mobile lines. The FY 2025, Q1 2026, and Q2 2026 ending lines include approximately 17.6 thousand, 20.9 thousand and 25.5 thousand lines related to business customers, respectively. The service revenue related to these business customers is reflected in "Business services and wholesale" in the table above.
(14)Represents the estimated number of single residence homes, apartments and condominium units passed by the FTTH network in areas serviceable without further extending the transmission lines. In addition, it includes commercial establishments that have connected to our FTTH network.
(15)Represents number of households/businesses that receive at least one of our fixed-line services on our FTTH network. FTTH customers represent each customer account (set up and segregated by customer name and address), weighted equally and counted as one customer, regardless of size, revenue generated, or number of boxes, units, or outlets on our FTTH network. Free accounts are included in the customer counts along with all active accounts, but they are limited to a prescribed group. Most of these accounts are also not entirely free, as they typically generate revenue through pay-per view or other pay services and certain equipment fees. Free status is not granted to regular customers as a promotion. In counting bulk residential customers, such as an apartment building, we count each subscribing unit within the building as one customer, but do not count the master account for the entire building as a customer. We count a bulk commercial customer, such as a hotel, as one customer, and do not count individual room units at that hotel.
(16)The interest on the Incremental Term Loan B-5 at a rate equal to the alternate base rate (“ABR”), plus the applicable margin, where the ABR is the greater of (x) prime rate or (y) the federal funds effective rate plus 50 basis points, and the applicable margin for any ABR loan is 1.50% per annum.
(17)CSC Holdings, LLC Restricted Group excludes the unrestricted subsidiaries, primarily Lightpath Fiber Issuer LLC, Cablevision Funding LLC, Cablevision Litchfield, LLC and CSC Optimum Holdings, LLC, and certain subsidiaries of CSC Holdings designated as “unrestricted subsidiaries” for the purposes of the CSC Holdings silo on November 25, 2025.
(18)Amounts represent Lightpath Consolidated, which primarily consists of Lightpath Fiber Issuer LLC, as well as certain network assets between New York City and Ashburn, Virginia.
(19)Principal amount of debt excluding finance leases and other notes.

Certain numerical information is presented on a rounded basis. Minor differences in totals and percentage calculations may exist due to rounding.

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Contacts
Investor Relations
John Hsu: +1 917 405 2097 / john.hsu@optimum.com
Sarah Freedman: +1 631 660 8714 / sarah.freedman@optimum.com
Media Relations
Lisa Anselmo: +1 516 279 9461 / lisa.anselmo@optimum.com
Janet Meahan: +1 516 519 2353 / janet.meahan@optimum.com
About Optimum Communications
Optimum Communications, Inc. (NYSE: OPTU) is one of the largest broadband communications and video services providers in the United States, delivering broadband, video, mobile, proprietary content and advertising services to approximately 4.2 million residential and business customers across 21 states through its Optimum brand. We operate Optimum Media, an advanced advertising and data business, which provides audience-based, multiscreen advertising solutions to local, regional and national businesses and advertising clients. We also operate News 12, which is focused on delivering best-in-class hyperlocal news content.
FORWARD-LOOKING STATEMENTS
Certain statements in this earnings release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, all statements other than statements of historical facts contained in this earnings release regarding our intentions, beliefs or current expectations concerning, among other things, our future financial condition, liquidity, capital structure and results of operations; our strategy, objectives, prospects and trends, including driving margin expansion, improving broadband trends (including simplifying products and services and pricing and improving convergence and value-added product sell-in), maintaining financial discipline (including base management, , cost optimization and our AI and automation capabilities) and investing for long-term value creation (including fiber expansion, network upgrades and investments); our capital structure, including our ability to address upcoming maturities, refinancing activities, deleveraging initiatives and transformation plans; our subscriber trends (including broadband, mobile, video and fiber, churn, customer growth, retention, and penetration) and competitive dynamics; our go-to-market strategies and pricing and rate management strategies and the anticipated benefits thereof; our expectations regarding future financial performance, including revenue, ARPU, Adjusted EBITDA, cash capital expenditures and passings additions; network enhancements (including fiber expansion, HFC network upgrades, multi-gig speeds and related growth opportunities); and future developments in the markets in which we participate or are seeking to participate. These forward-looking statements can be identified by the use of forward-looking terminology, including without limitation the terms “anticipate”, “believe”, “could”, “estimate”, “expect”, “forecast”, “intend”, “may”, “opportunity”, “plan”, “project”, “should”, “target”, “outlook”, or “will” or, in each case, their negative, or other variations or comparable terminology. Where, in any forward-looking statement, we express an expectation or belief as to future results or events, such expectation or belief is expressed in good faith and believed to have a reasonable basis, but there can be no assurance that the expectation or belief will result or be achieved or accomplished. To the extent that statements in this earnings release are not recitations of historical fact, such statements constitute forward-looking statements, which, by definition, involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements including risks referred to in our SEC filings, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 and subsequent Quarterly Reports on Form 10-Q. You are cautioned to not place undue reliance on Optimum Communications’ forward-looking statements. Any forward-looking statement speaks only as of the date on which it was made. Optimum Communications specifically disclaims any obligation to publicly update or revise any forward-looking statement, as of any future date.

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