| Metric | Value ($ M) | Q2 FY26 | Q3 FY25 |
|---|---|---|---|
| Revenue | 231.20 | 1.9% | 4.4% |
| Total Income | 231.20 | 1.9% | 4.4% |
| Expenditure | 243.33 | 2.7% | 7.3% |
| PBT | -33.88 | 140.8% | 35.6% |
| Net Profit | -29.77 | 144.7% | 28.3% |
| OPM | -3.00% | 53.49pp | 4.49pp |
| NPM | -12.87% | 41.16pp | 4.30pp |
| EPS | -0.62 | 144.6% | 28.7% |
Cogent Communications Reports Q3 2026 Results
05 Nov 2026 · 3h ago
Summary
Cogent Communications reported Q3 2026 service revenue of $231.2 million, down 1.8% sequentially and 4.4% year-over-year. However, adjusted EBITDA increased by 3.9% sequentially to $73.9 million, with the adjusted EBITDA margin improving to 32.0% from 30.2% in the prior quarter. The company also noted a significant increase in wavelength revenue, up 7.8% sequentially and 57.0% year-over-year, and announced plans to sell four data centers for approximately $100 million.
Key Highlights
- 1
Service revenue for Q3 2026 totaled $231.2 million, a decrease of 1.8% sequentially from Q2 2026 and a decrease of 4.4% from Q3 2025.
- 2
On-net revenue increased by 1.9% sequentially to $137.9 million for Q3 2026 and increased by 1.9% from Q3 2025.
- 3
Wavelength revenue increased by 7.8% sequentially to $16.0 million for Q3 2026 and increased by 57.0% from Q3 2025.
- 4
EBITDA, as adjusted, was $73.9 million for Q3 2026, an increase of 3.9% from Q2 2026.
- 5
EBITDA, as adjusted, margin was 32.0% for Q3 2026, up from 30.2% in Q2 2026.
- 6
Network operations expenses decreased by 3.1% from Q2 2026 to $121.0 million.
- 7
Selling, general and administrative expenses decreased by 5.1% from Q2 2026 to $61.3 million.
- 8
Cogent has entered into two non-binding letters of intent to sell four data centers for approximately $100.0 million in cash.
Management Comments
David Schaeffer
The $8.3 million monthly payment for July 2026 was paid to Cogent on June 30, 2026. Amounts paid under the IP Transit Services Agreement were $75.0 million for the nine months ended September 30, 2026 and $75.0 million for the nine months ended September 30, 2025. On November 4, 2026, Cogent’s Board voted to suspend its dividend program. The payment of any future dividends and any other returns of capital will be at the discretion of the Board and may be reduced, eliminated or increased and will be dependent upon Cogent’s financial position, results of operations, available cash, cash flow, capital requirements, limitations under Cogent’s debt indentures and other factors deemed relevant by the Board.
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