COGENT COMMUNICATIONS HOLDINGS, INC.

Cogent Communications Holdings, Inc. reported a significant swing to net income in the second quarter of 2026, posting $66.6 million compared to a net loss of $57.8 million in the same period last year. This improvement was largely driven by $132.0 million in gains from asset sales, despite a decrease in service revenue to $235.6 million. The company also announced a substantial reduction in its quarterly dividend to $0.02 per share from $1.010 previously.

Cogent Communications reported its second-quarter 2026 financial results, with diluted EPS of $1.38, significantly boosted by the sale of ten data centers for $224.2 million, which resulted in a $130.7 million gain. Service revenue for the quarter was $235.6 million, a 1.5% sequential decrease, while adjusted EBITDA increased by 1.3% sequentially to $71.1 million. The company also approved a quarterly dividend of $0.02 per share and actively repurchased its 2032 secured notes, totaling $138.8 million through July 2026, following an amendment to its indenture.

Cogent Communications Holdings, Inc.'s indirect wholly owned subsidiary, Cogent Fiber, LLC, has completed the sale of 10 data center facilities to an affiliate of I Squared Capital. The transaction, which also included certain personal property and customer contracts, was finalized on June 29, 2026. The sale generated an aggregate purchase price of $225 million in cash for the company.

Cogent Communications Holdings, Inc. subsidiaries, Cogent Group and Cogent Finance, entered into a First Supplemental Indenture on June 15, 2026. This amendment increases the secured leverage ratio under the "ratio liens" basket from 4.00:1.00 to 4.75:1.00. It also mandates that proceeds from certain data center sales be used by Cogent Group to repurchase or retire existing indebtedness at a discount, with at least 50% specifically targeting the 6.500% Senior Secured Notes due 2032. The changes also restrict the use of these proceeds for increasing restricted payment capacity and prohibit certain transfers of indefeasible rights of use (IRUs).

Cogent Communications Holdings, Inc. announced that its indirect wholly-owned subsidiary, Cogent Fiber, LLC, entered into a definitive agreement to sell 10 data center facilities to an affiliate of I Squared Capital. The transaction is valued at $225 million in cash and includes associated personal property and customer contracts. The sale is expected to close on the later of June 12, 2026, or following Hart-Scott-Rodino Antitrust Improvements Act approval.

Cogent Communications Holdings, Inc. stockholders approved the Third Amended and Restated 2017 Incentive Award Plan, increasing available shares by 1.5 million and extending the award period to 2036. Following this approval, CEO David Schaeffer was granted 1,000,000 restricted shares under a performance award, vesting in three tranches based on stock price targets of $70.00, $85.00, and $100.00. Additionally, all director nominees were elected at the Annual Meeting held on May 1, 2026.

Cogent Communications reported a net loss per common share of $(0.83) for Q1 2026, an improvement from $(1.09) in Q1 2025. However, service revenue decreased to $239.2 million from $247.0 million year-over-year. The company also significantly reduced its dividend declared per common share to $0.02, down from $1.005 in the prior year period, indicating a major shift in shareholder returns. Operating loss improved to $(13.5) million from $(40.3) million.

Cogent Communications reported its first quarter 2026 financial results, with service revenue reaching $239.2 million, a slight sequential decrease. Despite the overall revenue dip, the company saw strong growth in wavelength revenue and on-net revenue. Adjusted EBITDA increased year-over-year, and the company's Board approved a regular quarterly dividend.