AcquisitionsMay 5, 2026, 04:23 PM
Lumen to Acquire Alkira; Q1 Revenue $2.899B; FCF Outlook Raised
AI Summary
Lumen Technologies announced an agreement to acquire Alkira, aiming to extend its leadership in programmable networking for global enterprises. The company reported Q1 2026 financial results, with total revenue of $2.899 billion and a net loss of $(200) million. Strategic revenue now accounts for 51% of business revenue, surpassing Legacy revenue, and the company significantly raised its full-year 2026 Free Cash Flow outlook to $1.9 billion-$2.1 billion.
Key Highlights
- Lumen Technologies entered an agreement to acquire Alkira, enhancing programmable networking.
- Q1 2026 Total Revenue was $2.899 billion, a 9% decrease year-over-year.
- Q1 2026 Net Loss was $(200) million, with diluted loss per share of $(0.20).
- Q1 2026 Adjusted EBITDA (excluding Special Items) was $849 million.
- Q1 2026 Free Cash Flow (excluding Special Items) was $756 million, up from $354 million in Q1 2025.
- Strategic revenue reached 51% of total business revenue, surpassing Legacy revenue.
- 2026 Free Cash Flow outlook revised to $1.9 billion-$2.1 billion, up from $1.2 billion-$1.4 billion.
- Net Debt to LTM adjusted EBITDA is below 4.0x following the fiber-to-the-home sale.